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7 LONG TITLE
8 General Description:
9 This bill modifies provisions of the Property Tax Act.
10 Highlighted Provisions:
11 This bill:
12 ▸ aligns the maximum annual amount allowed for a renter's credit with the amount
13 allowed for a homeowner's credit; and
14 ▸ makes technical changes.
15 Money Appropriated in this Bill:
16 None
17 Other Special Clauses:
18 This bill provides retrospective operation.
19 Utah Code Sections Affected:
20 AMENDS:
21 59-2-1209, as last amended by Laws of Utah 2022, Chapter 196
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23 Be it enacted by the Legislature of the state of Utah:
24 Section 1. Section 59-2-1209 is amended to read:
25 59-2-1209. Amount of renter's credit -- Cost-of-living adjustment -- Renter's
26 credit may be claimed only for gross rent that does not constitute a rental assistance
27 payment -- Calculation of credit when rent includes utilities -- Limitation -- General Fund
28 as source of credit -- Maximum credit.
29 (1) (a) Subject to Subsections (2) and (3), for a calendar year beginning on or after
30 January 1, 2021, a claimant may claim a renter's credit for the previous calendar year that does
31 not exceed the following amounts:
| 32 | Percentage of gross rent allowed as a credit | |
| 33 | 9.5% | |
| 34 | 8.5% | |
| 35 | 7.0% | |
| 36 | 5.5% | |
| 37 | 4.0% | |
| 38 | 3.0% | |
| 39 | 2.5% |
41 increase or decrease the household income eligibility amounts under Subsection (1)(a) by a
42 percentage equal to the percentage difference between the [
43 Price Index housing for the preceding calendar year and the [
44 Price Index housing for calendar year 2020.
45 (2) A claimant may claim a renter's credit under this part only for gross rent that does
46 not constitute a rental assistance payment.
47 (3) For purposes of calculating gross rent when a claimant's rent includes electricity or
48 natural gas and the utility amount is not itemized in the statement provided in accordance with
49 Section 59-2-1213, the commission shall deduct from rent:
50 (a) 7% of rent if the rent includes electricity or natural gas but not both; or
51 (b) 13% of rent if the rent includes both electricity and natural gas.
52 (4) An individual may not receive the renter's credit under this section if the individual
53 is:
54 (a) claimed as a personal exemption on another individual's federal income tax return
55 during any portion of a calendar year for which the individual seeks to claim the renter's credit
56 under this section; or
57 (b) a dependent with respect to whom another individual claims a tax credit under
58 Section 24(h)(4), Internal Revenue Code, during any portion of a calendar year for which the
59 individual seeks to claim the renter's credit under this section.
60 (5) A payment for a renter's credit allowed by this section, and provided for in Section
61 59-2-1204, shall be paid from the General Fund.
62 (6) A credit under this section may not exceed the maximum amount allowed as a
63 homeowner's credit for each income bracket under [
64 59-2-1208.
65 Section 2. Effective date.
66 This bill takes effect on May 1, 2024.
67 Section 3. Retrospective operation.
68 This bill has retrospective operation for a taxable year beginning on or after January 1,
69 2024.