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Bill

HB 1534

TO INCREASE THE HOMESTEAD PROPERTY TAX CREDIT.

2025 Regular Session Introduced by Brandon Achor and 106 co-sponsors

House Bill 1534 aimed to raise Arkansas' Homestead Property Tax Credit from $500 to $600, providing homeowners with financial relief by lowering their tax burden.

Died in Senate Committee at Sine Die adjournment.
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WeVote Research Nonpartisan
Bill Summary · HB 1534

Summary of House Bill 1534: Increase the Homestead Property Tax Credit

Bill Overview

  • Bill Number: HB 1534
  • Title: To Increase the Homestead Property Tax Credit
  • Status: Died in Senate Committee at Sine Die adjournment
  • Introduced: February 19, 2025
  • Classification: Legislative Bill

Purpose and Intent

House Bill 1534 aimed to increase the Homestead Property Tax Credit in Arkansas from $500 to $600. The intent of this legislation was to provide financial relief to homeowners by reducing their property tax liabilities, thereby making homeownership more affordable.

Key Provisions

  • Increased Credit Amount: The bill proposed raising the Homestead Property Tax Credit from $500 to $600 for each assessment year.
  • Eligibility: Homeowners would need to register with their county assessor and provide proof of eligibility to claim the credit.
  • Effective Date: The changes would apply to assessment years beginning on or after January 1, 2025.

Fiscal Impact

  • The estimated total impact of the increased tax credits was projected to be:
    • CY2026: $56 million
    • CY2027: $56.8 million
  • The bill was designed to have no impact on general revenue.

Taxpayer Impact

Homeowners eligible for the Homestead Property Tax Credit would benefit from a $600 credit against their real property tax liability, effectively lowering their tax burden.

Procedural Changes

  • Notification Requirement: County Assessors and Tax Collectors would need to be informed about the increased credit amount to implement the changes effectively.
  • Software Adjustments: Modifications to existing software systems used by county offices would be necessary to accommodate the new credit amount.

Legislative Actions

  • February 19, 2025: Bill filed and read for the first time.
  • March 3, 2025: Passed in the House and transmitted to the Senate.
  • May 5, 2025: The bill died in the Senate Committee at Sine Die adjournment.

Conclusion

While HB 1534 sought to enhance the financial support for homeowners in Arkansas through an increased property tax credit, it ultimately did not progress past the Senate Committee stage. The proposed changes would have provided significant benefits to eligible homeowners, but the bill's failure to advance means that the existing credit remains unchanged at $500.

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

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