H.B. 378 Enrolled

1

CIRCUIT BREAKER AMENDMENTS
2 2009 GENERAL SESSION
3 STATE OF UTAH
4 Chief Sponsor: Tim M. Cosgrove
5 Senate Sponsor: Wayne L. Niederhauser
6
7 LONG TITLE
8 General Description:
9 This bill amends the Property Tax Act to amend the household income qualifying
10 limits of some claimants applying for certain property tax relief programs.
11 Highlighted Provisions:
12 This bill:
13 . for taxable year 2009, decreases a claimant's household income by $1,000 for a
14 dependent that the claimant is eligible to claim on the claimant's federal taxes for
15 purposes of qualifying for a homeowner's credit for a maximum household income
16 decrease of $1,000;
17 . for taxable year 2009, decreases a claimant's household income by $1,000 for a
18 dependent that the claimant is eligible to claim on the claimant's federal taxes for
19 purposes of qualifying for a renter's credit for a maximum household income
20 decrease of $1,000; and
21 . makes technical changes.
22 Monies Appropriated in this Bill:
23 None
24 Other Special Clauses:
25 This bill provides retrospective operation for a taxable year beginning on or after
26 January 1, 2009.
27 Utah Code Sections Affected:
28 AMENDS:
29 59-2-1208, as last amended by Laws of Utah 2006, Chapter 363

30 59-2-1209, as last amended by Laws of Utah 2006, Chapter 363
31
32 Be it enacted by the Legislature of the state of Utah:
33 Section 1. Section 59-2-1208 is amended to read:
34 59-2-1208. Amount of homeowner's credit -- Cost-of-living adjustment --
35 Limitation -- General Fund as source of credit -- Dependent credit.
36 (1) (a) Subject to [Subsection] Subsections (2) and (4), for calendar years beginning
37 on or after January 1, 2007, a claimant may claim a homeowner's credit that does not exceed
38 the following amounts:
39 If household income is Homeowner's credit
40 $0 -- $9,159 $798
41 $9,160 -- $12,214 $696
42 $12,215 -- $15,266 $597
43 $15,267 -- $18,319 $447
44 $18,320 -- $21,374 $348
45 $21,375 -- $24,246 $199
46 $24,247 -- $26,941 $98
47 (b) (i) For calendar years beginning on or after January 1, 2008, the commission shall
48 increase or decrease the household income eligibility amounts and the credits under
49 Subsection (1)(a) by a percentage equal to the percentage difference between the consumer
50 price index for the preceding calendar year and the consumer price index for calendar year
51 2006.
52 (ii) For purposes of Subsection (1)(b)(i), the commission shall calculate the consumer
53 price index as provided in Sections 1(f)(4) and 1(f)(5), Internal Revenue Code.
54 (2) An individual who is claimed as a personal exemption on another individual's
55 individual income tax return during any portion of a calendar year for which the individual
56 seeks to claim a homeowner's credit under this section may not receive the homeowner's
57 credit.

58 (3) The homeowner's credit allowed by this section, and provided for in Section
59 59-2-1204 , shall be derived from the General Fund and appropriate transfers made to
60 effectuate this credit.
61 (4) (a) Subject to Subsection (4)(b), for purposes of calculating a claimant's household
62 income to determine the amount of the claimant's homeowner's credit under Subsection (1),
63 for the taxable year that begins on January 1, 2009 and ends on December 31, 2009, a
64 claimant's household income shall be decreased by $1,000 for a dependent with respect to
65 whom a claimant is eligible to make a deduction as allowed as a personal exemption deduction
66 on the claimant's federal individual income tax return for the taxable year for which the
67 household income is calculated.
68 (b) For purposes of Subsection (4)(a):
69 (i) the maximum amount a claimant's household income may be decreased is $1,000;
70 and
71 (ii) "dependent" does not include the claimant or the claimant's spouse.
72 Section 2. Section 59-2-1209 is amended to read:
73 59-2-1209. Amount of renter's credit -- Cost-of-living adjustment -- Limitation --
74 General Fund as source of credit -- Maximum credit -- Renter's credit may be claimed
75 only for rent that does not constitute a rental assistance payment -- Dependent credit.
76 (1) (a) Subject to Subsections (2) [and], (3), and (6), for calendar years beginning on
77 or after January 1, 2007, a claimant may claim a renter's credit for the previous calendar year
78 that does not exceed the following amounts:
79 If household income is Percentage of rent
80 allowed as a credit
81 $0 -- $9,159 9.5%
82 $9,160 -- $12,214 8.5%
83 $12,215 -- $15,266 7.0%
84 $15,267 -- $18,319 5.5%
85 $18,320 -- $21,374 4.0%

86 $21,375 -- $24,246 3.0%
87 $24,247 -- $26,941 2.5%
88 (b) (i) For calendar years beginning on or after January 1, 2008, the commission shall
89 increase or decrease the household income eligibility amounts under Subsection (1)(a) by a
90 percentage equal to the percentage difference between the consumer price index for the
91 preceding calendar year and the consumer price index for calendar year 2006.
92 (ii) For purposes of Subsection (1)(b)(i), the commission shall calculate the consumer
93 price index as provided in Sections 1(f)(4) and 1(f)(5), Internal Revenue Code.
94 (2) A claimant may claim a renter's credit under this part only for rent that does not
95 constitute a rental assistance payment.
96 (3) An individual who is claimed as a personal exemption on another individual's
97 individual income tax return during any portion of a calendar year for which the individual
98 seeks to claim a renter's credit under this section may not receive a renter's credit.
99 (4) The renter's credit allowed by this section, and provided for in Section 59-2-1204 ,
100 shall be derived from the General Fund and appropriate transfers made to effectuate this credit.
101 (5) For calendar years beginning on or after January 1, 2007, a credit under this
102 section may not exceed the maximum amount allowed as a homeowner's credit for each
103 income bracket under Subsection 59-2-1208 (1)(a).
104 (6) (a) Subject to Subsection (6)(b), for purposes of calculating a claimant's household
105 income to determine the amount of the claimant's renter's credit under Subsection (1), for the
106 taxable year that begins on January 1, 2009 and ends on December 31, 2009, a claimant's
107 household income shall be decreased by $1,000 for a dependent with respect to whom a
108 claimant is eligible to make a deduction as allowed as a personal exemption deduction on the
109 claimant's federal individual income tax return for the taxable year for which the household
110 income is calculated.
111 (b) For purposes of Subsection (6)(a):
112 (i) the maximum amount a claimant's household income may be decreased is $1,000;
113 and

114 (ii) "dependent" does not include the claimant or the claimant's spouse.
115 Section 3. Retrospective operation.
116 This bill has retrospective operation for a taxable year beginning on or after January 1,
117 2009.