WeVote
Log In

Bill

Bill

SB 247

Real Property - As enacted, clarifies that property that is qualified as agricultural, forest land, or open space land, owned by two individuals, and held under the titles of tenancy by the entireties or of joint tenancy with right of survivorship, is deemed to have unchanged ownership upon the death of an owner if the property is retained by the other owner through a right of survivorship or upon the divorce of the owners if the property is retained by either owner through division and distribution of property in the divorce proceeding. - Amends TCA Title 11, Chapter 14, Part 2; Title 11, Chapter 15 and Title 67, Chapter 5.

114th Regular Session (2025-2026) Introduced by Ferrell Haile

Two-owner Greenbelt property remains classified as such after a death or divorce if it still meets size and eligibility criteria.

Comp. became Pub. Ch. 138
#realproperty
0
WeVote Research Nonpartisan
Bill Summary · SB 247

Summary of SB 247 (Session 114, Tennessee)

Purpose and Intent

SB 247 clarifies and extends the treatment of Greenbelt property (agricultural, forest, and open space land) owned by two individuals when the ownership is held in certain forms (tenancy by the entireties or joint tenancy with right of survivorship). Specifically, it provides that ownership remains unchanged for Greenbelt qualification upon the death of one owner (survivorship transfer) or upon divorce (division of property in a divorce proceeding), so long as the property continues to meet minimum size requirements and other eligibility criteria under the Agricultural, Forest and Open Space Land Act.

Key Provisions

  • Amends the following Tennessee Code provisions to incorporate two-owner survivorship/divorce scenarios for Greenbelt classifications:

    • 67-5-1005(a)(1) – Agricultural land
    • 67-5-1006(a)(1) – Forest land
    • 67-5-1007(b)(1) – Open space land

  • For each land category, the bill adds language stating that if property is:

    • qualified as the respective land type (agricultural, forest, or open space),
    • owned by two individuals, and
    • held under either tenancy by the entireties or joint tenancy, then ownership is deemed unchanged upon:
    • the death of an owner (survivorship transfer), or
    • divorce (division and distribution in a divorce proceeding), provided the property continues to meet minimum size and other qualifying criteria.

  • Effective date: Upon becoming law (no separate delay).

Who and What is Affected

  • Property Owners: Two-person ownership of Greenbelt properties (agricultural, forest, or open space) held as tenancy by the entirety or joint tenancy.
  • Property Classification: Greenbelt status for property tax purposes remains with the surviving owner or upon divorce, without requiring reapplication, so long as the land continues to meet Greenbelt criteria.
  • Tax Authority: State Board of Equalization (SBE) remains responsible for forms related to classification and changes of ownership, with no anticipated significant impact.

Procedural and Timeline Considerations

  • The measure is designed to streamline ongoing Greenbelt classification by avoiding reapplication when ownership changes occur due to death or divorce under survivorship/division frameworks.
  • No new filing requirements appear to be added for changing ownership status; rather, ownership is deemed unchanged for Greenbelt purposes under specified circumstances.
  • The fiscal notes indicate a NOT SIGNIFICANT fiscal impact to both state and local governments. Potential modest changes in recording or late filing fees are possible if fewer new applications are filed, but impacts are deemed minimal.

Fiscal Impact (Summary)

  • Not Significant: The amendment clarifies existing classifications and aligns survivorship/divorce events with Greenbelt eligibility without creating new tax liability or administrative burdens.
  • Potential revenue effects (recording/late fees) could be small and negative if applications decrease, but overall impact is considered minimal.

If you’d like, I can provide a short plain-language FAQ or a side-by-side comparison with current law to illustrate exactly what changes for property owners.

Compiled from official sources — confirm details with the bill’s official record.

Sign in to ask a question.