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REG-45-001 NATURE OF THE HOMESTEAD EXEMPTION (1/24/1993) |
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REG-45-002 DEFINITIONS (1/24/1993) |
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REG-45-003 EXTENT OF HOMESTEAD EXEMPTION (1/24/1993) |
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REG-45-004 CLAIM FOR HOMESTEAD EXEMPTION (1/24/1993) |
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REG-45-005 PROCESSING OF HOMESTEAD EXEMPTION APPLICATIONS (1/24/1993) |
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REG-45-006 TAX RATE (1/24/1993) |
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REG-45-007 TAX LISTS AND UNIT LEDGERS (1/24/1993) |
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REG-45-008 HOMESTEAD EXEMPTION SUMMARY CERTIFICATE (1/24/1993) |
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REG-45-009 DISTRIBUTION OF REIMBURSEMENT FOR HOMESTEAD EXEMPTION (1/24/1993) |
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REG-45-010 COUNTY ASSESSOR PROCEDURE (1/24/1993) |
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REG-45-011 ABSTRACT OF ASSESSMENT (1/24/1993) |
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REG-45-012 FORMS PRESCRIBED AND AUTHORIZED (1/24/1993) |
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REG-45-013 HOMESTEAD EXEMPTION TRANSFER (1/24/1993) |
REG-45-001 NATURE OF THE HOMESTEAD EXEMPTION
001.01 The homestead exemption provides qualified homeowners with a measure of property tax relief. Revenue lost from this exemption is reimbursed to local taxing subdivisions by the state with funds appropriated by the Legislature from the General Fund.
(Sections 77-3507, 77-3509, and 77-3523, R.R.S. 1943, and sections 77-3508 and 77-3527, R.S.Supp., 1992. January 24, 1993.)
002.01 Homestead shall mean the following residences, if actually occupied by a natural person who is the owner of record from January 1 through August 15 of each year, or is occupied by the surviving spouse and minor children, if any, during the year of the owner‘s death:
002.01A A residence, and the contiguous land surrounding it, not exceeding one acre;
002.01B A residence located on leased land;
002.01C A residential unit in a dwelling complex, if the record title owner of the complex is a not-for-profit corporation, and if the purchaser, for fair market value, has a life tenancy in a taxable unit of the dwelling complex, and is entitled to exclusive right of occupancy of that unit for life; or,
002.01D A mobile home, which includes every transportable or relocatable device whether or not it is permanently attached to real estate, but shall not include any mobile residence registered for highway use.
002.02 Residence shall mean all of, or any portion of, a building, mobile home, or unlicensed cabin trailer occupied by the owner as his or her primary home.
002.02A An applicant residing in a nursing home may qualify for a homestead exemption if he or she intends to return to the residence, the household furnishings have not been removed, and the home has not been rented or leased.
002.03 Household income shall mean the total federal adjusted gross income, as defined in the Internal Revenue Code of the United States, plus any Nebraska adjustments increasing the total federal adjusted gross income, of the claimant, spouse, and any additional owners who occupy the homestead, for the taxable year immediately prior to the year for which the claim for exemption is made. If the claimant was married and/or there were additional owner/occupants during any part of the taxable year immediately prior to the year the exemption is claimed, then the household income shall include the income of that spouse and/or additional owner/occupants.
002.04 Owner shall mean a natural person, or surviving spouse, who:
002.04A Holds the recorded fee simple title to the homestead;
002.04B Is in possession of and resides in a homestead under a bona fide contract to purchase or a deed of conveyance;
002.04C Resides in a homestead holding a life estate, which is an estate limited in time by deed, will, or settlement;
002.04D Is one of the joint tenants or tenants in common of a homestead;
002.04E Is a beneficiary of a trust of which the trustee is the record title owner and the beneficiary-occupant:
002.04E(1) Has a specific right to occupy the premises as stated in the trust agreement;
002.04E(2) Has the right to amend or revoke the trust to obtain such power of occupancy or of title; or,
002.04E(3) Has the power to withdraw the homestead premises from the trust and place the record title in such occupant’s name; or,
002.04F Is a resident of a dwelling complex, the record title owner of which is a not-for-profit corporation, who has by purchase for fair market value secured a life tenancy in a taxable unit of the complex.
If the deed, trust instrument, contract or memorandum showing proof of ownership has not been recorded as a matter of public record as of January 1 of the year for which the claim is made, a copy of the instrument shall be attached to the application.
002.05 Qualified claimant shall mean an owner of a homestead who was 65 years of age or over before January 1 of the year for which the claim is made.
002.06 Qualified disabled individual shall mean an owner of a homestead who was disabled on or before January 1 of the year for which the claim is made and:
002.06A Who is paralyzed in both legs so as to preclude locomotion without the regular aid of braces, crutches, canes, or wheelchairs;
002.06B Who has undergone amputation of both lower extremities so as to preclude locomotion without the regular aid of braces, crutches, canes, wheelchairs, or artificial limbs;
002.06C Who has a progressive neuromuscular or neurological disease such as to preclude locomotion without the regular aid of braces, crutches, canes, wheelchairs, or artificial limbs; or,
002.06D Who has undergone amputation of both arms above the elbow or has permanently lost the use or control of both arms.
002.07 Veteran shall mean a person who has been on active duty in the armed forces of the U.S., or a citizen of the U.S. who served with the military forces of a government allied with the U.S. during the following years: April 21, 1898 to July 4, 1902; April 6, 1917 to November 11, 1918; December 7, 1941 to December 31, 1946; June 25, 1950 to January 31, 1955; August 5, 1964 to May 7, 1975; or, the Persian Gulf War beginning August 2, 1990; and, who has received an honorable discharge or the equivalent, and:
002.07A Who is certified as totally disabled due to a non-service-connected accident or illness on January 1 of the year for which the claim is made;
002.07B Who, on January 1 of the year for which the claim is made, is certified as drawing compensation from the United States Department of Veterans Affairs because of one hundred percent disability; or, the unremarried widow or widower of such veteran,
002.07C The unremarried widow or widower of any veteran, including those not listed in Reg-45-002.07, who died because of a service-connected disability;
002.07D The unremarried widow or widower of a serviceman or servicewoman who died while on active duty during the dates described in Reg-45-002.07;
002.07E The unremarried widow or widower of a serviceman or servicewoman, including those not listed on Reg-45-002.07, whose death while on active duty was service-connected; or,
002.07F A veteran who occupies a home which was substantially contributed by the United States Department of Veterans‘ Affairs, and the unremarried spouse of such veteran. Substantially contributed shall mean the grant of any amount of money received from the United States Department of Veterans’ Affairs under Public Law 85-857 adopted September 2, 1958, as amended and in effect on January 1, 1979, by a veteran for the acquisition or construction of a specially adapted home, or the adaptation of an existing home. If such veteran disposes of the home and uses the proceeds of the sale, or a part thereof to purchase another home, within one year, it shall be deemed to be substantially contributed to by the United States Department of Veterans‘ Affairs.
002.08 Change in status shall mean a change in: the name of the owner-occupant of the homestead; residence; marital status; veteran status; rating by the United States Department of Veterans’ Affairs; or, any change that would affect the qualification for or type of exemption granted, except the income status determined by the State Tax Commissioner.
(Sections 77-3502, 77-3503, 77-3504, 77-3505, 77-3506, 77-3507, 77-3509, and 80-401.01, R.R.S. 1943, and sections 77-3508, 77-3514, and 77-3527, R.S.Supp., 1992. January 24, 1993.)
REG-45-003 EXTENT OF HOMESTEAD EXEMPTION
003.01 A homestead exemption may be granted to:
003.01A A qualified claimant; qualified disabled individual; or qualified disabled veteran defined in Reg-45-002.07A, for 100 percent of the first $35,000 of the actual value of the homestead provided household income is $10,400 or less; or,
003.01B A qualified disabled veteran or unremarried widow or widower, as defined in Reg-45-002.07B through Reg-45-002.07E, for a percentage of the first $35,000 of the actual value of the homestead based on the following income table:
| Household Income in Dollars |
Percentage of Relief |
| 0 through 15,000 | 100 |
| 15,001 through 16,000 | 80 |
| 16,001 through 17,000 | 60 |
| 17,001 through 18,000 | 40 |
| 18,001 through 19,000 | 20 |
(Section 77-3507, R.R.S. 1943, and sections 77-3508 and 77-3527, R.S.Supp., 1992. January 24, 1993.)
REG-45-004 CLAIM FOR HOMESTEAD EXEMPTION
004.01 To claim a homestead exemption, the claimant must file Exemption Application, Form 458, after January 1 and on or before April 1 with the county assessor of the county wherein the homestead is located. Failure to timely file the properly completed application shall constitute a waiver of the exemption for that year. The county board of equalization may grant an extension for filing from April 1 to April 20, upon written appeal. (See Reg-45-005.01.)
The application shall be signed by the person claiming the exemption who is owner-occupant of the homestead. More than one qualified owner-occupant of the same residence may file an application. However, if the claimant is incompetent, a guardian or conservator may sign the application; or, if the claimant is unable to apply for a homestead exemption and has given a written power of attorney for that purpose, the attorney-in-fact may sign the application if a copy of the power of attorney is attached to the application.
If an owner-occupant who is qualified for a homestead exemption dies after January 1 and before April 1, the personal representative may sign and file the application on or before April 1 of that year if the surviving spouse of the owner continues to occupy the homestead. This application will be effective for that year only.
If a change in ownership or residency occurs between January 1 and August 15, the exemption will be rejected for that year, unless the claimant qualifies for a transfer under Reg-45-013. If such change occurs after August 15, the exemption will continue for that year only.
004.02 Additional information must be submitted with the Exemption Application, Form 458, for the following categories of exemption:
004.02A For purposes of an exemption claimed as a qualified disabled individual or a veteran totally disabled due to a non-service-connected accident or illness, the applicant shall file with the application a certification from a qualified medical physician on a form prescribed by the Nebraska Department of Revenue affirming the status of the claimant. A disabled veteran may substitute a certification from the United States Department of Veterans‘ Affairs affirming total disability.
004.02B For purposes of all other military related exemptions, the applicant shall file with the exemption application a certification from the United States Department of Veterans’ Affairs affirming the status of the claimant.
004.02C For purposes of an exemption claimed on a home substantially contributed to by the United States Department of Veterans‘ Affairs, the applicant shall file with the exemption application a certification from the United States Department of Veterans’ Affairs affirming the contribution to the homestead property. Once this certification is submitted and the application approved, it is not necessary to renew the certification with subsequent annual filings. A copy of the original certification shall be attached to subsequent annual applications, Forms 458.
004.03 An Exemption Application, Form 458, must be filed each year by:
004.03A A qualified veteran totally disabled due to a non-service-connected accident or illness and a veteran whose home was contributed to by the United States Department of Veterans‘ Affairs.
004.04 The claimant of a previously filed, approved homestead exemption who is not required to file an annual application shall file a Certification of Status, Form 458A, with the county assessor of the county where the homestead is located. The certification shall be filed after January 1 and on or before April 1 of each year. Failure to timely file the certification shall be a waiver of the exemption for that year. The county board of equalization may grant an extension for filing from April 1 to April 20, upon written appeal. (See Reg-45-005.01.)
If the claimant, when filing a certification, fails to notify the county assessor of a change in status and this results in an unlawful continuation of a homestead exemption, the tax that would have been due, together with penalty and interest, shall become a lien on the property when entered upon the books of the county treasurer. Any person who has permitted an unlawful allowance of a homestead exemption shall forfeit his or her right to a homestead exemption on any other property located in this state for the two succeeding years.
004.06 When an application is disapproved, it shall be the duty of the applicant to refile a new timely application and a new disability certification if pertinent, for any subsequent year.
For audit purposes, the county assessor shall retain a copy of all applications and certifications.
(Section 77-3511, R.R.S. 1943, and sections 77-3510, 77-3512 through 77-3515, and 77-3517, R.S.Supp., 1992. January 24, 1993.)
REG-45-005 PROCESSING OF HOMESTEAD EXEMPTION APPLICATION
005.01 The county assessor shall examine all homestead exemption applications and shall determine if all qualifications for exemption have been met, except for the income standard. If all qualifications for exemption have been met, except the income standard, the county assessor shall approve, sign the form, and forward the appropriate copy with a copy of the certification of disability status as required to the Tax Commissioner by May 1. If the assessor finds that any application should be disapproved by reason of its failure to conform to law, including the failure to timely file as set out in Reg-45-004.01 and Reg-45-004.04, he or she shall mark it disapproved and state thereon the reason for such disapproval. Disapproved applications shall not be forwarded to the Tax Commissioner. When the county assessor disapproves any exemption for any reason, either in the year of application or in any subsequent year, written notice of the action shall be mailed to the applicant at the address shown on the exemption application or certification of status. The notice shall be mailed no later than the fourth Monday in April, except in cases of a change in ownership or occupancy from January 1 through August 15, or other cases when the homestead exemption should not be granted, in which case the notice shall be sent within a reasonable time. The notice shall be on forms prescribed by the Tax Commissioner.
Within thirty days from receipt of such rejection notice, the applicant may file a written complaint with the county clerk to obtain a hearing before the county board of equalization. The complaint shall specify the grievances and the pertinent facts in ordinary language. The applicant may appeal the finding of the board in the same manner as appeals on questions of valuation of property. For more information, see Real Property Regulations, Chapter 40.
005.02 The Tax Commissioner shall examine the exemption applications received from the county assessor for the purpose of determining if the applicants meet the required income standards. The Tax Commissioner shall certify to the county assessor of each county those claimants who qualify or fail to qualify for that year by August 15. In any case where the Tax Commissioner disapproves or reduces an exemption application, written notice of the action shall be mailed to the applicant. The Tax Commissioner may, at any time, review all other information in order to determine whether the application should be accepted. An applicant whose exemption is disapproved or reduced by the Tax Commissioner may obtain a hearing before the Tax Commissioner by filing a written protest with the Tax Commissioner within thirty days of receipt of the notice of disapproval or reduction. The petition shall state the amount in controversy, issues involved, name and address of the applicant, and the relief demanded. The hearing shall be conducted in accordance with the Administrative Procedures Act.
005.03 No claimant shall be allowed more than one homestead exemption per year. The homestead exemption to be allowed is that homestead exemption which gives the highest exemption. If an application for homestead exemption is disapproved and the applicant would qualify for any other exemption, the disapproved application shall be treated as an application for the next highest homestead exemption for which the applicant is qualified. For purposes of this regulation, a reduction in the amount of homestead exemption shall be considered a disapproval.
When a disapproved application is treated as an application for the next highest homestead exemption for which the applicant is qualified, the county assessor shall notify the applicant of any additional statements or information needed to complete the application. The county assessor shall accept such additional statements or information for a reasonable time after such notification.
(Sections 77-3516 and 77-3517, R.S.Supp., 1992, and section 77-3529, R.R.S. 1943. January 24, 1993.)
006.01 The property tax rates set by a county board and other taxing subdivisions pursuant to their statutory authority shall be based on the actual value of property within the respective taxing jurisdictions prior to any reduction in value resulting from all approved homestead exemptions.
(Section 77-3521, R.R.S. 1943. January 24, 1993.)
REG-45-007 TAX LISTS AND UNIT LEDGERS
007.01 In each year, prior to the extension of taxes on the tax lists or unit ledgers by the county assessor or county clerk, the affected parcels of real estate shall be reduced by the amount of the allowable homestead exemption.
(Section 77-3523, R.R.S. 1943 and section 77-1613, R.S.Supp., 1992. January 24, 1993.)
REG-45-008 HOMESTEAD EXEMPTION SUMMARY CERTIFICATE
008.01 When adjustments or reductions in the actual values of real property by reason of approved homestead exemptions have been made by the county assessor, the official who has the responsibility for computing real estate taxes and preparing the tax list or unit ledgers shall compute the amount of tax which would have been due on the legally exempted percentages of the actual values of the several homesteads within each tax district within each county. Upon completion of the tax list or unit ledger and at the time of certification of the tax list to the county treasurer for collection, the official responsible for preparation of the tax list or unit ledger shall: summarize taxes as specified in section 77-3523 that would have been collected on the exempt portions of the qualifying homesteads; sign the certificate; and, forward the certificate to the county treasurer, who shall forward the certificate to the Department of Revenue on or before November 30 of each year. Until May 30 of the next succeeding year, the county treasurer may amend the current certificate to show any change in the tax that was lost due to allowed homestead exemptions for the preceding year.
(Section 77-3523, R.R.S. 1943. January 24, 1993.)
REG-45-009 DISTRIBUTION OF REIMBURSEMENT FOR HOMESTEAD EXEMPTION
009.01 Upon receipt of the reimbursement funds from the Director of Administrative Services for tax monies certified to have been lost by reason of the homestead exemption, the county treasurer shall distribute to each of the several taxing subdivisions within the county the amount of tax monies as specified in section 77-3523 less one percent thereof which shall be deposited in the county general fund. The one percent deduction shall not be made from tax monies lost and reimbursed to a Class V school district, but the county shall be compensated pursuant to Section 14-554.
(Sections 14-554 and 77-3523, R.R.S. 1943. January 24, 1993.)
REG-45-010 COUNTY ASSESSOR PROCEDURE
010.01 The real property assessment rolls, revised and completed by the county assessor by April 1 of each year, shall reflect the actual value of all property in the county without any reduction by reason of any approved homestead exemption.
(Section 77-3521, R.R.S. 1943 and 77-1315, R.S.Supp., 1992. January 24, 1993.)
REG-45-011 ABSTRACT OF ASSESSMENT
011.01 Real estate values placed on the County Abstract of Assessment and submitted to the State Board of Equalization shall reflect the valuations of all real estate in the county as equalized by the county board of equalization, and prior to any reduction in value resulting from any approved homestead exemption.
(Section 77-3521, R.R.S. 1943, and section 77-1514, R.S.Supp., 1992. January 24, 1993.)
REG-45-012 FORMS PRESCRIBED AND AUTHORIZED
012.01 The Tax Commissioner shall prescribe all forms necessary for the administration of the homestead exemption program. The forms so prescribed shall be the only forms used by the county. No changes or alterations shall be made to any form used in this program without the express written consent of the Tax Commissioner.
(Section 77-3521, R.R.S. 1943, and section 77-3510, R.S.Supp., 1992. January 24, 1993.)
REG-45-013 HOMESTEAD EXEMPTION TRANSFER
013.01 The owner of a homestead which has been granted an exemption provided in sections 77-3507 to 77-3509 may transfer the exemption to a newly acquired homestead within the county, if the new homestead was acquired between January 1 and August 15 of the year for which the exemption was claimed; and,
013.01A The claimant transfers ownership of the original homestead during the same time period; and,
013.01B The claimant occupies the new homestead prior to August 15 of that year.
013.02 The claimant must file an application for transfer with the county assessor on or before August 15 of that year. The transfer must be approved by the county assessor using the same criteria as previously applied to the original homestead, except the January through August 15 occupancy requirement. If the transfer is approved, the exemption, as applied to the original homestead, shall be disallowed for such year.
013.03 The Department of Revenue will process all applications received in April on or before May 1 without regard to the transfer provisions. For the year during which the transfer occurred, the approved roster certified by the Tax Commissioner will contain the legal description of the original homestead as provided on the application.
(Section 77-3509.01, R.R.S. 1943. January 24, 1993.)