A new bill introduced in the Legislature on Monday would allow Idaho cities to issue property tax refunds.
The measure is co-sponsored by House Majority Leader Mike Moyle (R-Star) and Rep. John Gannon (D-Boise), who took it to the House Revenue and Taxation Committee.
Gannon said the bill allows cities to refund property taxes by passing an ordinance.
“In other words, a city can do with property taxes what the state is doing with income and sales taxes this year,” Gannon said.
The bill states that a property cannot receive tax relief greater than the amount it pays in taxes. This would allow cities to access a list of properties with cut-throat tax relief to avoid overpayments or to target those most in need of relief.
Cities could have additional property taxes if there is an influx of funds from the federal government or other local sources, Gannon said.
“For example, when the city of Boise was awarded the title of an expiring urban renewal district, there was $4 million in the district fund, which the city got,” he said.
Lawmakers also plan to introduce similar legislation to give counties that power.
Find journalist Rachel Cohen on Twitter @racheld_cohen
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