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When the market value of residential property is increased
greatly because of its location in a commercial zone, a property owner may
qualify for property tax relief through what is affectionately known as the
"Homebelt Law".
In order to qualify, a property owner must make application
with the Assessor of Property and the following requirements must be met:
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The property must be located and zoned for commercial use.
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The property owner must use the property solely for
residential purposes.
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The dwelling must have been occupied by the property owner
or their lineal descendants for a period of twenty five (25) years or
more.
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The property owner must live in the dwelling at least nine
(9) months each calendar year.
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The maximum land area that can qualify is five (5) acres.
Once approved by the assessor, the assessment on such
property will be based on an appraisal as if the property were located in a
typical residential area.
Should the use of the property change and no longer qualify,
the property owner has the duty of notifying the assessor. Upon discovering
that the use of the property under "Homebelt" has changed, the assessor
shall reclassify the property at its market value for subsequent tax years.
Any change in use of qualified property that does not timely come to the
assessor's attention the property owner is subject to pay the difference in
taxes plus penalty and interest from the date of the change of use. |