prop.-19-residential-property-tax-changes-is-ahead

Proposition 19, which would provide property tax relief for people who are over 55, disabled or disaster victims while cutting home inheritance tax breaks, is running ahead for voter approval.

As of Thursday morning, Nov. 5, “yes” votes had 51.5% of the total vs. 48.5% for “no” votes.

Prop 19 would let homeowners 55 and older, the severely disabled, or the victims of a wildfire, to move a favorable property tax rate to wherever they move statewide for up to three moves. Currently, you can get a favorable tax rate for one move — and it must be to a home of equal or lesser value. Also, only a handful of counties allow this benefit.

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Under Proposition 58, passed overwhelmingly by voters in 1986, a home and up to $1 million of assessed value of other property are excluded from reassessment when transferred between parents and children. This keeps the property tax bill the same.

But if Proposition 19 passes, property transferred between parents and children would be reassessed to market value as of the date of transfer, which in the case of inheritance is the date of death. A child would have to move in and make the parent’s home his or her primary residence within one year in order to qualify for an exclusion from reassessment.

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By Kelley Wheeler

Kelley Wheeler is a Metro reporter covering political issues and general assignments. A second-generation journalist, worked with all major news outlet, she holds a vast expeirience. Kelley is a graduate of USC with degrees in journalism and English literature. She is a recipient of Yale’s Poynter Fellowship in Journalism.

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