The Association of Arkansas Counties recently heard good news about the governor’s intention regarding legislation that would increase the state’s Homestead Property Tax Credit, and that is a bit of good news for many Columbia County homeowners.
Chris Villines, the association’s director, reported that Gov. Asa Hutchinson will support legislation in 2019 that will increase the homestead credit from $350 to $375. That $25 increase in the credit might not seem like much individually, but across the state it is significant tax relief for homeowners.
What’s more, this tax relief is funded, which means it will neither burden the state’s budget nor take away from county tax revenue. According to the article reporting the association’s announcement, counties are reimbursed for homestead tax credits with monies from the Property Tax Relief Trust Fund. The fund, which can be used only for tax relief, has grown to $78 million.
Approximately 716,000 parcels in the state reportedly receive the Homestead Tax Credit with several of those pieces of real estate being right here in Columbia County.
It’s not a done deal yet, of course, hinging on action in the Arkansas General Assembly in 2019. But, considering that taxpayers often can only hold our breath and hope for the best when our state lawmakers head to Little Rock, this is something to look forward to for folks here and in all Arkansas counties.