House File 2237      



                                    HOUSE FILE       
                                    BY  WINDSCHITL,
                                        ZIRKELBACH, and
                                        CHAMBERS

                                         A BILL FOR

     1 An Act relating to an additional homestead credit available
     2    to disabled veterans and including effective date and
     3    applicability provisions.
     4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
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PAG LIN



  1  1    Section 1.  NEW SECTION.  425.15A  Disabled veteran tax
  1  2 freeze.
  1  3    1.  For purposes of this section, unless the context
  1  4 otherwise requires:
  1  5    a.  "Base year" means the fiscal year immediately preceding
  1  6 the first fiscal year in which the additional homestead
  1  7 credit  under this section is allowed on the disabled veteran's
  1  8 homestead.
  1  9    b.  "Disabled veteran" means either of the following:
  1 10    (1)  A veteran who is entitled to compensation or who, but
  1 11 for the receipt of military retirement pay, would be entitled
  1 12 to compensation under laws administered by the secretary of  the
  1 13 United States department of veterans affairs.
  1 14    (2)  A person who was discharged or released from active  duty
  1 15 because of a service=connected disability.
  1 16    2.  A disabled veteran who is eligible for the credit  allowed
  1 17 under section 425.1 may claim an additional homestead  credit
  1 18 pursuant to this section.  To claim the credit under  this
  1 19 section, the disabled veteran shall file on or before  June 30
  1 20 of the base year for which the veteran is first  claiming the
  1 21 credit.  The amount of the credit equals the  amount of property
  1 22 taxes, less the regular homestead credit  allowed under section
  1 23 425.1, due and payable in the coming  fiscal year that exceeds
  1 24 the amount of property taxes, less  the regular homestead credit
  1 25 allowed under section 425.1, that  were due and payable in the
  1 26 base year.  The credit under this  section is payable from the
  1 27 homestead credit fund created in  section 425.1.
  1 28    3.  Upon the filing and allowance of the claim, the claim
  1 29 shall be allowed on the disabled veteran's homestead for
  1 30 successive years without further filing as long as the  property
  1 31 is legally and equitably owned and used as a  homestead by
  1 32 the disabled veteran on July 1 of each of those  successive
  1 33 years.  The credit allowed shall be continued to  the estate
  1 34 of the disabled veteran who is deceased or the  surviving
  1 35 spouse and any child, as defined in section 234.1,  who are the
  2  1 beneficiaries of the deceased, disabled veteran,  so long as the
  2  2 surviving spouse remains unmarried.
  2  3    Sec. 2.  EFFECTIVE DATE AND APPLICABILITY.  This Act, being
  2  4 deemed of  immediate importance, takes effect upon enactment
  2  5 and applies  to property taxes due and payable in fiscal years
  2  6 beginning on  or after July 1, 2010.
  2  7                           EXPLANATION
  2  8    This bill provides that the property tax on a disabled
  2  9 veteran's homestead shall not increase from year to year.  To
  2 10 receive this credit, the veteran must file on or before June  30
  2 11 in a manner similar to filing for the regular homestead  credit.
  2 12 Once the claim is filed and allowed, the veteran does  not have
  2 13 to file for successive years so long as the property  is still
  2 14 owned and used by the veteran as a homestead.
  2 15    A disabled veteran is one who is entitled to compensation  for
  2 16 injuries from active duty or would have received  compensation
  2 17 but for retirement pay or is one who was  discharged or released
  2 18 from active duty because of a  service=connected disability.
  2 19    The bill takes effect upon enactment and applies to  property
  2 20 taxes due and payable in fiscal years beginning on or  after
  2 21 July 1, 2010.
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