|HOMESTEAD PRESERVATION ACT
The Homestead Preservation Act (SB 730) allows qualified senior citizens and 100 percent disabled individuals to apply
for a credit on their real estate property tax if those taxes increase more than 2.5 percent in a non-reassessment year or 5
percent in reassessment year. The credit would be for the amount that exceeds the 2.5 or 5 percent increase in taxes.
The act requires a legislative appropriation to fund the credit. If funding for the credit is less than 100 percent, the credit
will be a flat statewide percentage based on the appropriated amount. This credit will be applied against the taxes for the
* Age 65 or older (if married, at least one 65 or older and the other at least 60), or 100 percent disabled.
* Federal adjusted gross income cannot exceed $70,000 for the year.
* All real estate taxes must have been paid for current year and previous two years.
* The property (home and up to five acres) must be owned and occupied by the claimant.
* Cannot file for Missouri Property Tax Credit (MO-PTC) for the same period.
* The Department of Revenue has a team developing the procedures, guidelines, and forms.
* The team will be consulting with counties throughout the development process.
* The action plan calls for public communication before implementation of the program.
* The application forms and instructions will be distributed to all County Assessors before April 1, 2011.
* Forms and Instructions will also be available in all Department of Revenue offices throughtout the state as
well as the Department of Revenue web site.
* April 1, 2011 to September 30, 2011 - Application period.
* December 15, 2011 - Department of Revenue sends a list of verified owners to County Collectors.
* January 15, 2012 - County Collectors send a list ot the Department of Revenue of owners who failed to
pay current taxes.
* January 31, 2012 - Department of Revenue calculates necessary appropriation and sends to the Speaker
of the House of Representatives, the President Pro Tempore of the Senate, and the Director of the Office
of Budget and Planning in the in the Office of Administration.
* July 31, 2011 - Credit limit is set based on funding. (Amounts of credit depends on the amount
* August 31, 2011 - Department of Revenue sends list of eligible owners and amount of credit to County
* October 1, 2011 - Funds are deposited with collectors.
* October/November - Credit reflected on approved applicants' tax bill for 2012.