Bill 3473

                    Current Status

Bill Number:               3473
Ratification Number:       745
Act Number                 637
Introducing Body:          House
Subject:                   Legal residence

(A637, R745, H3473)

AN ACT TO AMEND SECTION 12-43-220, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE CLASSIFICATION AND ASSESSMENT RATIOS OF PROPERTY FOR PURPOSES OF AD VALOREM TAXATION, SO AS TO PROVIDE THAT AFTER AN INITIAL APPLICATION FOR CLASSIFICATION OF PROPERTY AS A LEGAL RESIDENCE IS FILED, NO FURTHER APPLICATION IS NECESSARY TO MAINTAIN THAT CLASSIFICATION UNTIL THE CLASSIFICATION OF THE PROPERTY CHANGES, TO REQUIRE NOTIFICATION TO THE ASSESSOR WITHIN SIX MONTHS WHEN PROPERTY USE CHANGES, AND TO ESTABLISH MINIMUM AND MAXIMUM PENALTIES FOR FAILING TO NOTIFY THE ASSESSOR IN A TIMELY MANNER.

Be it enacted by the General Assembly of the State of South Carolina:

Legal residence

SECTION 1. Section 12-43-220(c) of the 1976 Code is amended to read:

"(c) The legal residence and not more than five acres contiguous thereto, when owned totally or in part in fee or by life estate and occupied by the owner of the interest, is taxed on an assessment equal to four percent of the fair market value of the property. When the legal residence is located on leased or rented property and the residence is owned and occupied by the owner of a residence on leased property, even though at the end of the lease period the lessor becomes the owner of the residence, the assessment for the residence is at the same ratio as provided in this item. If the lessee of property upon which he has located his legal residence is liable for taxes on the leased property, then the property upon which he is liable for taxes, not to exceed five acres contiguous to his legal residence, must be assessed at the same ratio provided in this item. If this property has located on it any rented mobile homes or residences which are rented or any business for profit, this four percent value does not apply to those businesses or rental properties. This item is not applicable unless the owner of the property or his agents make written application to the county assessor on or before May first of the first tax year in which the assessment under this article is made and certify to the following statement: 'Under the penalty of perjury I certify that I meet the qualifications for the special assessment ratio for a legal residence as of January first of the current tax year'.

The assessor shall have printed in the local newspaper during the period January through April at least five notices calling to public attention the provisions of filing the application as a prerequisite for claiming this classification. Failure to file within the prescribed time constitutes abandonment of the owner's right for this classification for the current tax year, but the local taxing authority may extend the time for filing upon a showing satisfactory to it that the person had reasonable cause for not filing on or before May first.

No further applications are necessary while the property for which the initial application was made continues to meet the eligibility requirements of this item. The owner shall notify the assessor of any change in use within six months of the change.

If a person signs the certification and is not eligible or thereafter loses eligibility and fails to notify the county assessor within the allotted time, a penalty of ten percent and interest at the rate of one-half of one percent a month must be paid on the difference between the amount that was paid and the amount that should have been paid, but not less than thirty dollars nor more than the current year's taxes.

The governing body of the county concerned as an alternative may elect, determine, and direct that the tax assessor shall determine and designate the various properties to be subject to the special assessment ratio provided in this item. Upon the determination by the governing body of the county concerned, no publication of notice is required and no application or other certification is then required."

Time effective

SECTION 2. This act takes effect January 1, 1989.