HomeMy WebLinkAboutBIL 320 Draft 01 2002-2004
COUNTY OF HAWAII ~ ~ STATE OF HAWAII
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BILL NO. 320
ORDINANCE NO.
AN ORDINANCE AMENDING CHAPTER 19 OF THE HAWAII COUNTY CODE 1983
(1995 EDITION), AS AMENDED, REAL PROPERTY TAXES, RELATING TO HOME
EXEMPTIONS.
BE IT ORDAINED BY THE COUNCIL OF THE COUNTY OF HAWAII:
SECTION 1. The purpose of this measure is (1) to amend section 19-71, home
exemptions, by creating an additional exemption of 20% of the pre-exemption assessed value to
a maximum of $80,000 for those eligible for homeowners exemption and (2) to clarify and
improve the definition of real property owned and occupied as a principal home.
SECTION 2. Chapter 19, article 10, section 19-71, Hawaii County Code 1983 (1995
Edition), as amended, is amended to read as follows
"Section 19-71. Homes.
(a) Real property owned and occupied as a principal home as of the date of assessment shall
be exempt to the following extent from property taxes:
(1) Totally exempt where the value of the property is not in excess of $40,000;
(2) Where the value of the property is in excess of $40,000, the exemption shall be
the amount of 40,000.
Provided:
(A) That no such exemption shall be allowed to any corporation,
co-partnership, or company;
(B) That the exemption shall not be allowed on more than one home for any
one taxpayer;
(C) That where the taxpayer has acquired his or her home by a deed made on
or after July 1, 1951, the deed shall have been recorded on or before
December 31 immediately preceding the yeaz for which the exemption is
claimed;
(D) That a husband and wife shall not be permitted exemption of separate
homes owned by each of them, unless they aze living separate and apart, in
which case they shall be entitled to one exemption, to be apportioned
equally between each of their respective homes; [end]
(E) That a person living on premises, a portion of which is used for
commercial purposes, shall not be entitled to an exemption with respect to
such portion, but shall be entitled to an exemption with respect to the
portion thereof used exclusively as a home;
(F) That in the case of a lease of Hawaiian homestead ]ands, where either a
husband or wife is ofnon-Hawaiian descent, either spouse shall be entitled
to the home exemption in the same manner as if either spouse was
considered the owner thereof, provided proof of marriage is submitted to
the director of finance.
(b) The use of a portion of any building or structure for the purpose of drying coffee and the
use of a portion of real property, including structures, in connection with the planting and
growing for commercial purposes, or the packing and processing for such purposes, of
flowers, plants, or foliage, shall not affect the exemptions provided for by this section.
(c) Where two or more individuals by life estate and remainder, jointly, by the entirety, or in
common own or lease land on which their homes aze located, each home, if otherwise
qualified for the exemption granted by this section, shall receive the exemption. If a
portion of land held by life estate and remainder, jointly, by the entirety, or in common
by two or more individuals is not qualified to receive an exemption, such disqualification
shall not affect the eligibility for an exemption or exemptions of the remaining portion.
(d) A taxpayer who is sixty years of age or over and who qualifies under subsection (a) shall
be entitled to one of the following [kyles-eI] home exemptions:
Age of Taxpayer Exemption Amount
60 years of age or over but
not 70 years of age or over [~A] 80 000
70 yeazs of age or over [~3] 100 000
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For the purpose of this subsection, a husband and wife who own property by life
estate and remainder, jointly, by the entirety, or in common, on which a home exemption
under the provisions of subsection (a) has been granted shall be entitled to the applicable
[maltiplee€J home exemption set forth above when at least one of the spouses qualifies
each year for the applicable [~ttkiple-el;] home exemption.
(e) For purposes of this section, the term "real propertv owned and occupied as a principal
home" is defined as the place where an individual has a true, fixed, permanent home and
principal establishment, and to which place the individual has, whenever absent, the
intention of returning. It is the place in which an individual has voluntarily fixed
habitation, not for mere special, temporary, or vacation purpose, but with the intention of
making a permanent home.
Three elements are necessary for real property to be considered a "principal home."
Owner's abandonment of all other previous principal homes.
Intent of the owner to create or maintain a principal home within the Countv.
Owner's actual phvsica] occupancv of the principal home within the Countv.
"Intent of the owner to create or maintain a principal home" maybe evidenced bv, but not
be limited to, anv of the following indicia:
(A1 Occupancv of the home in the Countv for more than 270 calendar davs of a
calendar vear;
B~ Registering to vote in the Countv;
Being stationed in the Countv under military orders of the United States; or
f D~ Possession of anv of the following with a reported address within the Countv of
Hawaii:
Valid Hawaii drivers license.
ii Hawaii state identification card.
iii Income tax return as a resident of the State of Hawaii.
iv Resident aliens possessing a valid resident alien card ("green card") must
claim residency only in Hawaii.
The director of finance may require documentation of the above or additional
indicia of intent to reside in the Countv from a property owner applying for an exemption
or from an owner as evidence of continued qualification for an exemption. Failure to
respond to the director's reuuest or in the event the director receives satisfactory evidence
that a claimant occupies a permanent home outside the Countv and there is documented
evidence of the claimant's intent to reside outside of the Countv. shall be deemed grounds
for denying a claim for exemption or disallowing an existing exemption.
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~I Real pronerty aualifvin¢ under subsection (al shall be entitled to an additional exemytion
of 20% of the assessed value of the nronerty not to exceed $80,000."
SECTION 3. Material to be repealed is bracketed. New material is underscored. In
printing this ordinance, the brackets, bracketed material and underscoring need not be included.
SECTION 4. If any provision of this ordinance, or the application thereof to any person
or circumstance, is held invalid, such invalidity shall not affect other provisions or applications
of the ordinance which can be given effect without the invalid provision or application, and to
this end, the provisions of this ordinance are declared to be severable.
SECTION 5. This ordinance shall take effect upon its approval.
IN O ED BY:
a
COUNCIL MEM ER, CO • T OF HAWAII
Hawaii
Date of Introduction:
Date of 1st Reading:
Date of 2nd Reading:
Effective Date:
?.EfERFNC:c: Comm. 75___.„3~~..~
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