H 3629 General Bill, By J.J. Bailey
 A Bill to amend Section 12-43-220, as amended, Code of Laws of South Carolina,
 1976, relating to property classification and assessment ratios for purposes
 of ad valorem taxes, so as to provide that the four percent assessment ratio
 for owner occupied residential real property applies when the real property is
 held in trust and the trustee certifies to the assessor that the residence is
 occupied by the income beneficiary of the trust.

   03/04/93  House  Introduced and read first time HJ-9
   03/04/93  House  Referred to Committee on Ways and Means HJ-10
   05/05/93  House  Committee report: Favorable Ways and Means HJ-19
   05/19/93  House  Amended HJ-67
   05/19/93  House  Read second time HJ-68
   05/20/93  House  Read third time and sent to Senate HJ-12
   05/25/93  Senate Introduced and read first time SJ-19
   05/25/93  Senate Referred to Committee on Finance SJ-19

AMENDED

May 19, 1993

H. 3629

S. Printed 5/19/93--H.

Read the first time March 4, 1993.

A BILL

TO AMEND SECTION 12-43-220, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO

PROPERTY CLASSIFICATION AND ASSESSMENT RATIOS FOR PURPOSES OF AD VALOREM TAXES, SO AS TO PROVIDE THAT THE FOUR PERCENT ASSESSMENT RATIO FOR OWNER OCCUPIED RESIDENTIAL REAL PROPERTY APPLIES WHEN THE REAL PROPERTY IS HELD IN TRUST AND THE TRUSTEE CERTIFIES TO THE ASSESSOR THAT THE RESIDENCE IS OCCUPIED BY THE INCOME BENEFICIARY OF THE TRUST.

Amend Title To Conform

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

SECTION 1. The first paragraph of Section 12-43-220(c) of the 1976 Code, as last amended by Act 361 of 1992, is further amended to read:

"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. If residential real property is held in trust and the income beneficiary of the trust occupies the property as a residence, then the assessment ratio allowed by this item applies if the trustee certifies to the assessor that the property is occupied as a residence by the income beneficiary of the trust. 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 subsection (c) is not applicable unless the owner of the property or his agents make written application to the county assessor on or before the first penalty date for taxes due for 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 appropriate tax year'."

SECTION 2. Section 12-37-250 of the 1976 Code, as last amended by Act 54 of 1991, is further amended by adding at the end:

"If residential real property is held in trust and the income beneficiary of the trust occupies the property as a residence and is otherwise eligible for the exemption allowed by this section, then the exemption allowed by this section applies if the trustee certifies to the assessor that the property is occupied as a residence by the income beneficiary of the trust and the income beneficiary meets the eligibility criteria for the exemption allowed by this section."

SECTION 3. This act takes effect upon approval by the Governor.