135.030. Formula for determining credits — table to be prepared by director of revenue — taxpayer not applying for credit to be notified of eligibility.

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135.030. Formula for determining credits — table to be prepared by director of revenue — taxpayer not applying for credit to be notified of eligibility. — 1. As used in this section:

(1)The term "maximum upper limit" shall, for each calendar year after December 31, 1997, but before calendar year 2008, be the sum of twenty-five thousand dollars. For all calendar years beginning on or after January 1, 2008, but ending on or before December 31, 2025, the maximum upper limit shall be the sum of twenty-seven thousand five hundred dollars. In the case of a homestead owned and occupied for the entire year by the claimant, for all calendar years ending on or before December 31, 2025, the maximum upper limit shall be the sum of thirty thousand dollars. For all calendar years beginning on or after January 1, 2026, the maximum upper limit shall be the sum of:

(a)Thirty-eight thousand two hundred dollars for claimants with a filing status of single;

(b)Forty-two thousand two hundred dollars for claimants with a filing status of single and who owned and occupied a homestead for the entire year;

(c)Forty-one thousand dollars for claimants with a filing status of married filing combined; and

(d)Forty-eight thousand dollars for claimants with a filing status of married filing combined and who owned and occupied a homestead for the entire year.

Beginning January 1, 2027, such amounts shall be adjusted annually for inflation based on the Consumer Price Index for All Urban Consumers, as defined and officially recorded by the United States Department of Labor or its successor;

(2)The term "minimum base" shall, for each calendar year after December 31, 1997, but before calendar year 2008, be the sum of thirteen thousand dollars. For all calendar years beginning on or after January 1, 2008, the minimum base shall be the sum of fourteen thousand three hundred dollars.

(1)If the income on a return is equal to or less than the maximum upper limit for the calendar year for which the return is filed, the property tax credit shall be determined from a table of credits based upon the amount by which the total property tax described in section 135.025 exceeds the percent of income in the following list:

If the income on the return is: The percent is:

Not over the minimum base 0 percent with credit not to exceed $1,100 in actual property tax or rent equivalent paid up to $750

Over the minimum base but not over the maximum upper limit 1/16 percent accumulative per $300 from 0 percent to 4 percent.

(2)The director of revenue shall prescribe a table based upon subdivision

(1)of this subsection. The property tax shall be in increments of twenty-five dollars and the income in increments of three hundred dollars. The credit shall be the amount rounded to the nearest whole dollar computed on the basis of the property tax and income at the midpoints of each increment. As used in this subsection, the term "accumulative" means an increase by continuous or repeated application of the percent to the income increment at each three hundred dollar level.

(1)For all calendar years beginning on or after January 1, 2026, if the income on a return is equal to or less than the maximum upper limit for the calendar year for which the return is filed, the property tax credit shall be determined from a table of credits based upon the amount by which the total property tax described in section 135.025 exceeds the percent of income in the following list:

If the income on the return is: The percent is:

Not over the minimum base 0 percent with credit not to exceed $1,550 in actual property tax or rent equivalent paid up to $1,055, as adjusted for inflation.

Over the minimum base but not over the maximum upper limit 1/16 percent accumulative per $495, as adjusted for inflation, from 0 percent to 2 percent.

(2)The director of revenue shall prescribe a table based upon subdivision

(1)of this subsection. The property tax shall be in increments of twenty-five dollars and the income in increments of four hundred ninety-five dollars, with such amount adjusted annually for inflation based on the Consumer Price Index for All Urban Consumers, as defined and officially recorded by the United States Department of Labor or its successor. The credit shall be the amount rounded to the nearest whole dollar computed on the basis of the property tax and income at the midpoints of each increment. As used in this subsection, the term "accumulative" means an increase by continuous or repeated application of the percent to the income increment at each four hundred ninety-five dollar level, as adjusted pursuant to this subdivision.

4. Notwithstanding subsection 4 of section 32.057 , the department of revenue or any duly authorized employee or agent shall determine whether any taxpayer filing a report or return with the department of revenue who has not applied for the credit allowed pursuant to section 135.020 may qualify for the credit, and shall notify any qualified claimant of the claimant's potential eligibility, where the department determines such potential eligibility exists.

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(L. 1973 H.B. 149, et al. § 5, A.L. 1975 H.B. 121, et al., A.L. 1977 S.B. 387, et al., A.L. 1979 S.B. 247, et al., A.L. 1983 S.B. 47 & 29, A.L. 1985 S.B. 69, A.L. 1986 S.B. 751, A.L. 1988 S.B. 555, A.L. 1998 S.B. 675, et al. , A.L. 2007 S.B. 30, A.L. 2008 S.B. 711, A.L. 2025 H.B. 594 & 508)