Homestead property tax exemption proposed

January 23, 2008

OLYMPIA – Several legislators are pushing for a bill which would provide a "homestead" property tax exemption for the first $50,000 on the state portion of personal and business property taxes.

"With rising assessments, it’s tough for many Whatcom residents to afford the property taxes on both their homes and their businesses. This bill would provide some relief," said Rep. Kelli Linville (D-Bellingham), one of the sponsors of House Bill 3162.

The measure is similar to a Senate bill presented last year that would have required an amendment to the Washington’s state constitution. The inclusion of both personal and business properties in House Bill 3162 bypasses that requirement.

Despite statewide unemployment being at a low, financial uncertainties loom for Washingtonians, a homestead property tax like HB 3162, sponsored by Rep. Kevin Van De Wege (D-Sequim), seeks to unite both the concerns of citizens and business owners.

"There are also small business owners to think about," Linville said. "In Whatcom County, where we don’t have a Microsoft or larger corporations, this kind of bill would help our communities to sustain themselves."

The bill has been referred to the House Finance Committee.

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Information:

HB 3162: http://apps.leg.wa.gov/billinfo/summary.aspx?bill=3162&year=2008 

Property Tax Homestead Exemption background (Institute on Taxation and Economic Policy): http://www.itepnet.org/pb12home.pdf