Ohio lawmakers are considering House Bill 608, a property tax reform measure designed to address taxpayer frustrations and potentially provide small refunds to homeowners. The bill, co-sponsored by Rep. Chris Glassburn, a Democrat from North Olmstead, and Rep. David Thomas, a Republican, is described as a ‘catch-all’ bill with several minor adjustments to the current system.
Proposed Changes
The bill includes six modifications to the property tax system. One significant change allows county auditors to issue direct credits to owner-occupied taxpayers if they collect more Real Estate Assessment (REA) funds than necessary. This provision aims to return excess funds directly to homeowners, rather than to taxing entities, as is currently the practice.
Rep. Thomas explained that this approach would provide equitable relief to homeowners, who often need it more than businesses. However, some county auditors, like Warren County Auditor Matt Nolan, have expressed concerns about the feasibility of this refund method, citing potential issues with redistributing funds equitably among taxpayers.
Local Auditor Reactions
Auditors across Ohio have mixed reactions to the bill. Montgomery County Auditor Karl Keith criticized the proposal, arguing that it misleads taxpayers into expecting significant refunds when the amounts are minimal. He noted that only owner-occupied property owners would benefit, excluding commercial property owners and renters who also contribute to REA fees.
Butler County Auditor Nancy Nix has returned over $27 million to local taxing entities since 2008 by making conservative spending decisions. She expressed skepticism about the bill’s practicality, highlighting the challenges of directly refunding homeowners.
Additional Provisions
Besides the refund mechanism, the bill proposes other changes, such as extending the delivery period for tax bills from 20 to 30 days before the due date, allowing taxpayers to pay bills quarterly or monthly, and increasing residential land property tax exemptions from eight to ten years.
While the bill aims to simplify and improve the property tax system, some auditors believe it adds complexity to an already challenging process. State lawmakers had previously passed $3.8 billion in property tax relief, which county auditors are still implementing.
Original reporting: Dayton Daily News — read the source article.
