[Adopted 9-12-1984 as Ch. 9, Art. III, of the 1984 Frederick
County Code; amended in its entirety 1-14-2009]
[1]
Editor's Note: For statutory provisions relating
to this topic, see Code of Virginia, § 58.1-3210 et seq.
For the purposes of this article, the following
words and phrases shall have the meanings respectively ascribed to
them by this section, unless another meaning shall clearly appear
from the context:
The real estate tax exemption affidavit or written statement.
[Amended 11-8-2017[1]]
The sole residence of the person claiming exemption; provided,
however, that the fact that a person who is otherwise qualified for
tax exemption by the provisions of this article is residing in a hospital,
nursing home, convalescent home or other facility for physical or
mental care for an extended period of time shall not be construed
to mean that the real estate for which exemption is claimed ceases
to be the sole dwelling of such person during such period of other
residence, so long as the real estate in question is not used by or
leased to others for consideration.
The percentage exemption, allowable under the provisions
of this article, from the property tax imposed by the County.
[Amended 11-8-2017[2]]
As applied to a person claiming an exemption under this article, a person furnishing the certification or medical affidavits required by § 155-19 of this article and who is found by the Commissioner of the Revenue to be unable to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment or deformity which can be expected to result in death or can be expected to last for the duration of the person's life.
The calendar year, from January 1 through December 31, for
which such property tax exemption is claimed.
It is hereby declared to be the purpose of this
article to provide real estate tax exemptions or deferrals for qualified
property owners who are not less than 65 years of age or permanently
and totally disabled and who are otherwise eligible according to the
terms of this article. Pursuant to the authority of § 58.1-3210
et seq. of the Code of Virginia, the County finds and declares that
persons qualifying for exemption hereunder are bearing an extraordinary
real estate tax burden in relation to their income and financial worth.
Exemptions pursuant to this article shall be
granted to persons and for property complying with the following provisions:
A.
The title to the property for which exemption is claimed is held
or partially held i) by the eligible person alone or in conjunction
with his spouse as tenant or tenants for life or joint lives, ii)
in a revocable inter vivos trust over which the eligible person or
the eligible person and his spouse hold the power of revocation, or
iii) in an irrevocable trust under which an eligible person alone
or in conjunction with his spouse possesses a life estate or an estate
for joint lives or enjoys a continuing right of use or support. An
interest held under a leasehold or term of years does not qualify
for relief under the provisions of this article.
[Amended 11-8-2017[1]]
[1]
Editor's Note: This ordinance provided an effective date of
1-1-2018.
B.
The dwelling for which the exemption is claimed is
occupied as the sole dwelling of such claimant or claimants.
C.
If the dwelling for which the exemption is claimed
is a mobile home, the dwelling must be a structure subject to federal
regulation, which is transportable in one or more sections; is eight
body feet or more in width and 40 body feet or more in length in the
traveling mode, or is 320 or more square feet when erected on site;
is built on a permanent chassis; is designed to be used as a single-family
dwelling, with or without a permanent foundation, when connected to
the required utilities; and includes the plumbing, heating, air-conditioning,
and electrical systems contained in the structure.
D.
The person claiming such exemption is 65 years of
age or older or permanently and totally disabled as of December 31
of the year immediately preceding the taxable year for which the exemption
is claimed.
E.
Gross combined income.
(1)
The gross combined income from all sources of such
claimant owner or owners of such dwelling living therein, of their
relatives living in such dwelling, and of each nonrelative who is
not the bona fide tenant or bona fide paid caregiver of an owner living
in the dwelling, for the immediately preceding calendar year does
not exceed the sum of $50,000, regardless of whether an income tax
return was filed or was required to be filed, provided that the first
$7,500 of any income received by any claimant owner as permanent disability
compensation shall not be included in such total, and provided that
the first $8,500 of income of each relative, other than the spouse
of such claimant owner or owners, who is living in such dwelling,
and of each nonrelative, who is living in such dwelling and who is
not the bona fide tenant or bona fide paid caregiver of an owner living
in the dwelling, shall not be included in such total.
[Amended 11-8-2017]
(2)
Such gross combined income of the claimant owner or
owners shall not include life insurance proceeds, nor shall it include
proceeds from borrowing or other debt.
F.
The net combined financial worth of such claimant
owner or owners, of their relatives living in such dwelling, and of
each nonrelative who is not the bona fide tenant or bona fide paid
caregiver of an owner living in the dwelling, as of December 31 of
the year immediately preceding the taxable year for which the exemption
is claimed, does not exceed $150,000. "Net combined financial worth"
shall include the value of all assets, including equitable interests,
exclusive of the fair market value of the dwelling for which exemption
is claimed and of the land not exceeding one acre upon which it is
situated. Furniture, fixtures and appliances in such exempt residence
shall also be excluded from the net worth calculation, provided that
they are normal and reasonable to the use and maintenance of the property
as the residence of the claimant owner or owners. Net worth is computed
by subtracting liabilities from assets.
[Amended 11-8-2017]
G.
If an owner qualifies for an exemption, and if the
owner can prove by clear and convincing evidence that his physical
or mental health has deteriorated to the point that the only alternative
to permanently residing in a hospital, nursing home, convalescent
home or other facility for physical or mental care is to have a person
move in and provide care for the owner, and if a person does then
move in for that purpose, then none of the income of that person or
of that person's spouse shall be counted towards the income limit,
provided the owner of the residence has not transferred assets in
excess of $10,000 without adequate consideration within a three-year
period prior to or after that person moves into such residence.
[Amended 11-8-2017[1]]
A.
Annually and not later than April 1 of each taxable year, every person
claiming an exemption under this article shall file a real estate
tax exemption affidavit or written statement with the Commissioner
of the Revenue of the County. The date for filing such an affidavit
or written statement by an applicant may be extended by the Commissioner
of the Revenue to July 1 of a taxable year in a hardship case in which
the Commissioner of the Revenue determines that the applicant was
unable to file by April 1 of the particular taxable year because of
illness of the applicant or confinement of the applicant in a nursing
home, hospital or other medical facility or institution, provided
that such real estate tax exemption affidavit or written statement
is accompanied by a sworn affidavit of one medical doctor licensed
to practice medicine in the commonwealth.
B.
The affidavit or written statement shall set forth the names of the claimant owner or owners, of their relatives living in such dwelling, and of each nonrelative who is not the bona fide tenant or bona fide paid caregiver of an owner living in the dwelling for which exemption is claimed and the total combined net worth and combined income of such persons as defined in this article. The form of such affidavit or written statement shall be determined by the Commissioner of the Revenue and shall contain such other information as may be required adequately to determine compliance with the provisions of § 155-18 of this article. The affidavit or written statement of any person less than 65 years of age who is claiming an exemption under this article shall be accompanied by a certification from the Social Security Administration, the Department of Veterans Affairs, or the Railroad Retirement Board or, if such person is not eligible for certification by any of these agencies, a sworn affidavit from two medical doctors licensed to practice medicine in the commonwealth or are military officers on active duty who practice medicine with the United States Armed Forces, to the effect that the applicant is permanently and totally disabled as defined in § 155-16 of this article. The affidavit of at least one of the doctors shall be based upon a physical examination of the person by such doctor. The affidavit of one of the doctors may be based upon medical information contained in the records of the Civil Service Commission which is relevant to the standards for determining permanent and total disability. In addition, the Commissioner of the Revenue may make such further inquiry of persons seeking to claim exemption requiring answers under oath and the production of certified tax returns, as may be deemed reasonably necessary, to determine eligibility for an exemption.
C.
The Commissioner of the Revenue, after audit and investigation of
such affidavits or written statements, shall certify a list of the
persons and property qualifying for exemption and the amount thereof
to the County Treasurer, who shall forthwith deduct the amounts of
such exemption from the real estate tax chargeable for the taxable
year to such persons and property.
[1]
Editor's Note: This ordinance provided an effective date of
1-1-2018.
The amount of the exemption granted pursuant
to this article shall be a percentage of the real estate tax assessed
for the applicable taxable year in accordance with the following scale:
|
Total Combined Income
|
Percentage of Exemption
|
|
$0 to $20,000
|
100%
|
|
$20,001 to $25,000
|
60%
|
|
$25,001 to $30,000
|
35%
|
|
$30,001 to $50,000
|
10%
|
Any person who would otherwise be eligible for
an exemption under this article but who, on account of his or her
total combined income being in excess of $20,000 but not greater than
$50,000, is only eligible for a partial exemption may request deferral
of the remainder of the real estate tax due. In the event of a deferral
of real estate taxes hereunder, the accumulated amount of taxes deferred
shall be paid to the County by the vendor of the dwelling upon the
sale of the dwelling, or from the estate of the decedent within one
year after the death of the last owner thereof who qualifies for tax
deferral by the provisions of this section. Such deferred real estate
taxes shall be paid without penalty but shall accrue interest at the
rate of 8% per annum on any amount so deferred, and such taxes and
interest shall constitute a lien upon the said real estate as if it
had been assessed without regard to the deferral permitted by this
article. Any such lien shall, to the extent that it exceeds in the
aggregate 10% of the price for which such real estate may be sold,
be inferior to all other liens of record.
[Amended 11-8-2017[1]]
Changes in respect to income, financial worth, ownership of property or other factors occurring during the taxable year for which the affidavit or written statement is filed and having the effect of violating or exceeding the limitations and conditions of § 155-18 of this article shall nullify any exemption or deferral for the then current taxable year and for the taxable year immediately following, provided that a change in income shall only operate to decrease the percentage of exemption or deferral previously determined by the Commissioner of the Revenue pursuant to § 155-20 of this article to the extent that the income amount exceeds the relevant range for a percentage of exemption or deferral set out in §§ 155-20 and 155-20.1 of this article.
[1]
Editor's Note: This ordinance provided an effective date of
1-1-2018.
It shall be unlawful for any person to falsely
claim an exemption or deferral under this article.
