House File 92 - Introduced HOUSE FILE 92 BY JACOBY A BILL FOR An Act modifying provisions relating to the additional property 1 tax credit for elderly persons and including applicability 2 provisions. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 1287YH (2) 90 md/jh

H.F. 92 Section 1. Section 425.17, subsection 2, paragraph a, Code 1 2023, is amended to read as follows: 2 a. “Claimant” means any of the following: 3 (1) A person filing a claim for credit under this subchapter 4 who has attained the age of sixty-five years but who has 5 not attained the age of seventy years on or before December 6 31 of the base year, a person filing a claim for credit or 7 reimbursement under this subchapter who is totally disabled 8 and was totally disabled on or before December 31 of the base 9 year, or a person filing a claim for reimbursement under this 10 subchapter who has attained the age of sixty-five years on or 11 before December 31 of the base year and who is domiciled in 12 this state at the time the claim is filed or at the time of the 13 person’s death in the case of a claim filed by the executor or 14 administrator of the claimant’s estate. 15 (2) A person filing a claim for credit or reimbursement 16 under this subchapter who has attained the age of twenty-three 17 years on or before December 31 of the base year or was a head 18 of household on December 31 of the base year, as defined in 19 the Internal Revenue Code, but has not attained the age or 20 disability status described in subparagraph (1) or the age 21 status and eligibility criteria of subparagraph (3), and is 22 domiciled in this state at the time the claim is filed or at the 23 time of the person’s death in the case of a claim filed by the 24 executor or administrator of the claimant’s estate, and was not 25 claimed as a dependent on any other person’s tax return for the 26 base year. 27 (3) A person filing a claim for credit under this subchapter 28 who has attained the age of seventy sixty-five years on or 29 before December 31 of the base year , who has a household income 30 of less than two hundred fifty percent of the federal poverty 31 level, as defined by the most recently revised poverty income 32 guidelines published by the United States department of health 33 and human services, and is domiciled in this state at the time 34 the claim is filed or at the time of the person’s death in the 35 -1- LSB 1287YH (2) 90 md/jh 1/ 3

H.F. 92 case of a claim filed by the executor or administrator of the 1 claimant’s estate. 2 Sec. 2. APPLICABILITY. This Act applies to claims under 3 chapter 425, subchapter II, filed on or after January 1, 2024. 4 EXPLANATION 5 The inclusion of this explanation does not constitute agreement with 6 the explanation’s substance by the members of the general assembly. 7 This bill modifies the eligibility for and the calculation 8 of the amount of the property tax credit under Code chapter 9 425, subchapter II. 10 Under current law, a person filing a claim for the property 11 tax credit who is at least 65 years of age, meets certain 12 income requirements, and does not meet other age and income 13 eligibility criteria, is eligible for a credit based on income 14 equal to specified percentages of property taxes due under 15 the schedule in Code section 425.23(1)(a), but not to exceed 16 $1,000. However, if the person filing a claim for the property 17 tax credit is at least 70 years of age and has a household 18 income of less than 250 percent of the federal poverty level, 19 the tentative credit amount is equal to the greater of the 20 following: (1) the amount of the credit as calculated under 21 the schedule of credit amounts specified in Code section 22 425.23(1)(a) as if the claimant was an eligible claimant for 23 a credit under that provision; and (2) the difference between 24 the actual amount of property taxes due on the homestead during 25 the applicable fiscal year minus the actual amount of property 26 taxes due on the homestead based on a full assessment during 27 the first fiscal year for which the claimant filed for a credit 28 calculated under the Code chapter and if the claimant has filed 29 for the credit for each of the subsequent fiscal years after 30 the first credit claimed. 31 The bill modifies the eligibility for the credit under 32 current law available to claimants who have reached the age 33 of 70 with a household income of less than 250 percent of the 34 federal poverty level to include claimants who have reached the 35 -2- LSB 1287YH (2) 90 md/jh 2/ 3

H.F. 92 age of 65 regardless of income level. 1 The bill applies to claims under Code chapter 425, 2 subchapter II, filed on or after January 1, 2024. 3 -3- LSB 1287YH (2) 90 md/jh 3/ 3