New Hampshire State Office of Veterans Services NH PROPERTY TAX CREDIT TRAINING

Transcription

1 NH PROPERTY TAX CREDIT TRAINING

2 PURPOSE FOR THIS TRAINING

3 At the close of this training Assessors will: - Define Veteran - Attain a better understanding of the RSA s governing tax credits for Veterans - Attain a better understanding of Title 10 as it applies to the tax credits for Veterans - Attain a better understanding of the different types of Separation Documentation - Understand the types of 100% Service Connected Veterans out there and develop a better understanding of the term Permanent and Total - Understand the differences between a Service Connected Death and someone who Died while on Active Duty

4 WHAT IS A VETERAN?

5 What is a Veteran The Veterans Administration: A Veteran is a person who served in the Active military, Naval or Air Service, and was discharged or released under conditions other than Dishonorable. Merriam-Webster: A Veteran is a person who is a former member of the Armed Forces or an old soldier of long service Bill Gaudreau: A Veteran is a person who signed a contract to serve and he/she served honorably

6 What is a Veteran State of New Hampshire: A Veteran is a person who served in the United States Armed Forces for more than 4 years and continues to serve or has been discharged or released from duty in the United States Armed Forces with an honorable discharge; or an uncharacterized discharge based on a service-connected injury, illness, or disability.

7 APPLICABLE RSA S

8 Current Veteran Tax Law: New Hampshire Applicable Property Tax Related RSA s - 72:23-a (June 22, 1993): Veterans Organizations - 72:36-a (June 22, 1993): Certain Disabled Veterans - 72:23-c (April 1, 1994): Annual List - 72:29-a (April 1,2003): Surviving Spouse - 72:35 (April 1, 2003): Tax Credit for Service-Connected Total Disability - 72:28 (August 8, 2016): Standard and Optional Veteran s Tax Credit - 72:28-b (August 8, 2016): All Veterans' Tax Credit - 72:30 (August 8, 2016): Persons and Property Liable to Taxation - 72:31 (August 8, 2016): Persons and Property Liable to Taxation (Husband and Wife) - 72:33 (August 8, 2016): Persons and Property Liable to Taxation (Application)

9 Applicable Property Tax Related RSA s 72:23-a Veterans Organization. The real estate and the personal property owned, occupied and used directly by the New Hampshire Veterans Association, the United Spanish War Veterans, Veterans of Foreign Wars, the American Legion, the Disabled American Veterans, Sons of Union Veterans of the Civil War, Veterans of World War I Incorporated and any other veterans organization incorporated by Act of Congress or of its departments or local chapters or posts, shall be exempt from taxation.

10 Applicable Property Tax Related RSA s 72:36-a Certain Disabled Veterans. Any person, who is discharged from military service of the United States under conditions other than dishonorable, or an officer who is honorably separated from military service, who is totally and permanently disabled from service connection and satisfactory proof of such service connection is furnished to the assessors and who is a double amputee of the upper or lower extremities or any combination thereof, paraplegic, or has blindness of both eyes with visual acuity of 5/200 or less as the result of service connection and who owns a specially adapted homestead which has been acquired with the assistance of the Veterans Administration or which has been acquired using proceeds from the sale of any previous homestead which was acquired with the assistance of the Veterans Administration, the person or person's surviving spouse, shall be exempt from all taxation on said homestead.

11 Applicable Property Tax Related RSA s 72:23-c Annual List. I. List that establishes State sites that are exempt from taxation. II. City assessors, boards of selectmen, and other officials having power to act under the provisions of this chapter to grant or deny tax exemptions to religious, educational, and charitable organizations shall have the authority to request such materials concerning the organization seeking exemption including its organizational documents, nature of membership, functions, property and the nature of that property, and such other information as shall be reasonably required to make determinations of exemption of property under this chapter. Such information shall be provided within 30 days of a written request. Failure to provide information requested under this section shall result in a denial of exemption unless it is found that such requests were unreasonable.

12 Applicable Property Tax Related RSA s 72:29-a Surviving Spouse. I. The surviving spouse of any person who was killed or died while on active duty in the armed forces of the United States or any of the armed forces of any of the governments associated with the United States in the wars, conflicts or armed conflicts, or combat zones set forth in RSA 72:28, shall receive a tax credit in the amount of $700 for the taxes due upon the surviving spouse's real and personal property, whether residential or not, in the same municipality where the surviving spouse is a resident. II. Upon the adoption of this paragraph by a city or town as provided in RSA 72:27-a, the surviving spouse of any person who was killed or died while on active duty in the armed forces of the United States or any of the armed forces of any of the governments associated with the United States in the wars, conflicts or armed conflicts, or combat zones set forth in RSA 72:28, shall receive a tax credit in the amount from $701 up to $2,000 for the taxes due upon the surviving spouse's real and personal property, whether residential or not, in the same municipality where the surviving spouse is a resident.

13 Applicable Property Tax Related RSA s 72:35 Tax Credit for Service-Connected Total Disability. I. Any person who has been honorably discharged or an officer honorably separated from the military service of the United States and who has total and permanent service-connected disability, or who is a double amputee or paraplegic because of service-connected injury, or the surviving spouse of such a person, shall receive a standard yearly tax credit in the amount of $700 of property taxes on the person's residential property. I-a. The optional tax credit for service-connected total disability, upon adoption by a city or town pursuant to RSA 72:27-a, shall be an amount from $701 up to $2,000. The optional tax credit for service-connected total disability shall replace the standard tax credit in its entirety and shall not be in addition thereto. I-b. Either the standard tax credit for service-connected total disability or the optional tax credit for serviceconnected total disability shall be subtracted each year from the property tax on the person's residential property. II. The standard or optional tax credit under this section may be applied only to property which is occupied as the principal place of abode by the disabled person or the surviving spouse. The tax credit may be applied to any land or buildings appurtenant to the residence or to manufactured housing if that is the principal place of abode.

14 Applicable Property Tax Related RSA s 72:35 Tax Credit for Service-Connected Total Disability (continued). III. (a) Any person applying for the standard or optional tax credit under this section shall furnish to the assessors or selectmen certification from the United States Department of Veterans' Affairs that the applicant is rated totally and permanently disabled from service connection. The assessors or selectmen shall accept such certification as conclusive on the question of disability unless they have specific contrary evidence and the applicant, or the applicant's representative, has had a reasonable opportunity to review and rebut that evidence. The applicant shall also be afforded a reasonable opportunity to submit additional evidence on the question of disability. (b) Any decision to deny an application shall identify the evidence upon which the decision relied and shall be made within the time period provided by law. (c) Any tax credit shall be divided evenly among the number of tax payments required annually by the town or city so that a portion of the tax credit shall apply to each tax payment to be made.

15 Applicable Property Tax Related RSA s 72:28 Standard and Optional Veterans' Tax Credit. I. The standard veterans' tax credit shall be $50. II. The optional veterans' tax credit, upon adoption by a city or town pursuant to RSA 72:27-a, shall be an amount from $51 up to $500. The optional veterans' tax credit shall replace the standard veterans' tax credit in its entirety and shall not be in addition thereto. III. Either the standard veterans' tax credit or the optional veterans' tax credit shall be subtracted each year from the property tax on the veteran's residential property. However, the surviving spouse of a resident who suffered a service-connected death may have the amount subtracted from the property tax on any real property in the same municipality where the surviving spouse is a resident. IV. The following persons shall qualify for the standard veterans' tax credit or the optional veterans' tax credit:

16 Applicable Property Tax Related RSA s 72:28 Standard and Optional Veterans' Tax Credit (Continued) (a) Every resident of this state who served not less than 90 days on active service in the armed forces of the United States in any qualifying war or armed conflict listed in this section and was honorably discharged or an officer honorably separated from service; or the spouse or surviving spouse of such resident, provided that Title 10 training for active duty by a member of a national guard or reserve shall be included as service under this subparagraph; (b) Every resident of this state who was terminated from the armed forces because of service-connected disability; or the surviving spouse of such resident; and (c) The surviving spouse of any resident who suffered a service-connected death.

17 Applicable Property Tax Related RSA s 72:28 Standard and Optional Veterans' Tax Credit (Continued) V. Service in a qualifying war or armed conflict shall be as follows: (a) "World War I'' between April 6, 1917 and November 11, 1918, extended to April 1, 1920 for service in Russia; provided that military or naval service on or after November 12, 1918 and before July 2, 1921, where there was prior service between April 6, 1917 and November 11, 1918 shall be considered as World War I service; (b) "World War II'' between December 7, 1941 and December 31, 1946; (c) "Korean Conflict'' between June 25, 1950 and January 31, 1955; (d) "Vietnam Conflict'' between December 22, 1961 and May 7, 1975; (e) "Vietnam Conflict'' between July 1, 1958 and December 22, 1961, if the resident earned the Vietnam service medal or the armed forces expeditionary medal; (f) "Persian Gulf War'' between Aug 2, 1990 and date prescribed by Presidential proclamation or by law; and (g) Any other war or armed conflict that has occurred since May 8, 1975, and in which the resident earned an armed forces expeditionary medal or theater of operations service medal.

18 Applicable Property Tax Related RSA s 72:28-b All Veterans' Tax Credit. I. A town or city may adopt or rescind the all veterans' property tax credit granted under this section by the procedure in RSA 72:27-a. II. The credit granted under this section shall be the same as the amount of the standard or optional veterans' tax credit in effect in the town or city under RSA 72:28. III. The all veterans' tax credit shall be subtracted each year from the property tax on the veteran's residential property. IV. A person shall qualify for the all veterans' tax credit if the person is a resident of this state who served not less than 90 days on active service in the armed forces of the United States and was honorably discharged or an officer honorably separated from service; or the spouse or surviving spouse of such resident, provided that Title 10 training for active duty by a member of a national guard or reserve shall be included as service under this paragraph; provided however that the person is not eligible for and is not receiving a credit under RSA 72:28 or RSA 72:35.

19 Applicable Property Tax Related RSA s 72:30 Persons and Property Liable to Taxation If any entitled person or persons shall own a fractional interest in residential real estate, each such entitled person shall be granted a tax credit in proportion to his or her interest therein with other persons so entitled, but in no case shall the total tax credit exceed the tax credit allowed under RSA 72:28, I or II, or RSA 72:28-b, except as provided in RSA 72:31.

20 Applicable Property Tax Related RSA s 72:31 Persons and Property Liable to Taxation Husband and Wife. A husband and wife, each qualifying for a tax credit, shall each be granted a tax credit upon their residential real estate as provided under RSA 72:28, I or II, or RSA 72:28-b.

21 Applicable Property Tax Related RSA s 72:33 Application for Exemption or Tax Credit. I. No person shall be entitled to the exemptions or tax credits provided by RSA 72:28, 28-b, 29-a, 30, 31, 32, 35, 36-a, 37, 37-a, 37-b, 38-b, 39-b, 62, 66, and 70 unless the person has filed with the selectmen or assessors, by April 15 preceding the setting of the tax rate, a permanent application therefor, signed under penalty of perjury, on a form approved and provided by the commissioner of revenue administration, showing that the applicant is the true and lawful owner of the property on which the exemption or tax credit is claimed and that the applicant was duly qualified upon April 1 of the year in which the exemption or tax credit is first claimed, or, in the case of financial qualifications, that the applicant is duly qualified at the time of application. The form shall include the following and such other information deemed necessary by the commissioner: (a) Instructions on completing and filing the form, including an explanation of the grounds for requesting tax exemptions and credits pursuant to RSA 72.

22 Applicable Property Tax Related RSA s 72:33 Application for Exemption or Tax Credit (Continued). (b) Sections for information concerning the applicant, the property for which the relief is sought, and other properties owned by the person applying. (c) A section explaining the appeal procedure and stating the appeal deadline in the event the municipality denies the tax relief request in whole or in part. (d) A place for the applicant's signature with a certification by the person applying that the application has a good faith basis and the facts in the application are true. I-a. If any person, otherwise qualified to receive an exemption or credit, shall satisfy the selectmen or assessors that he or she was prevented by accident, mistake, or misfortune from filing a permanent application or amended permanent application on or before April 15 of the year in which he or she desires the exemption to begin, said officials may receive the application at a later date and grant an exemption or credit for that year; but no such application shall be received or exemption or credit granted after the local tax rate has been approved for that year.

23 Applicable Property Tax Related RSA s 72:33 Application for Exemption or Tax Credit (Continued). II. Any person who changes residence after filing such a permanent application shall file an amended permanent application on or before December 1 immediately following the change of residence. The filing of the permanent application shall be sufficient for said persons to receive these exemptions or tax credits on an annual basis so long as the applicant does not change residence. III. If the selectmen or assessors are satisfied that the applicant has willfully made any false statement in the application to obtain an exemption or tax credit, they may refuse to grant the exemption or tax credit. IV. [Repealed.] V. In addition to the above requirements, applicants for exemption who claim ownership pursuant to RSA 72:29, VI shall file with their application an additional statement signed under penalty of perjury, on a form approved and provided by the commissioner of revenue administration, showing they meet the requirements of RSA 72:29, VI.

24 Applicable Property Tax Related RSA s 72:33 Application for Exemption or Tax Credit (Continued). VI. The assessing officials may require applicants for any exemption or tax credit to file the information listed in RSA 72:34, or the statement required by RSA 72:33, V periodically but no more frequently than annually. Failure to file such periodic statements may, at the discretion of the assessing officials, result in a loss of the exemption or tax credit for that year.

25 TITLE 10

26 Title 10 Title 10 of the United States Code outlines the role of armed forces in the United States Code. It provides the legal basis for the roles, missions and organization of each of the services as well as the United States Department of Defense. Each of the five subtitles deals with a separate aspect or component of the armed services. Bill Gaudreau s Take: Title 10 is the US law that gives the military the ability to wage war. Members who serve on Active Duty will ALWAYS be considered title 10 while NG and Reservists fall under Title 32 until they are Activated. At the time of Activation they are considered Active Duty in the eyes of the Armed Forces (they receive full Active Duty pay) thereby qualifying for the Tax Credit under RSA 72:28-b. RSA 72:28 required that they served 90 days of Title 10 AND served in a qualifying war; 72:28-b drops the war requirement which is why it is the All Veterans Tax Credit.

27 SEPARATION DOCUMENTS

28 DD-214/215 DD Form 214s First issued in 1950, replacing the older "WD AGO" (War Department Adjutant General's Office) Forms and the NAVPERS (Naval Personnel) discharge documents. Earliest versions of the form called the "Report of Separation from Active Duty"; until the name changed to Certificate of Release or Discharge from Active Duty in July DD Form 214 is the capstone military service document, as it represents the complete, verified record of a service member's time in the military (Active and Reserve), awards and medals, and other pertinent service information, such as highest rank/rate and pay grade held on active duty, total military combat service and/or overseas service, Military Occupational Specialty (MOS), Air Force Specialty Code (AFSC) or Navy officer designator, Navy Officer Billet Code (NOBC), Additional Qualification Designation (ACD) or Navy Enlisted Classification (NEC) identifiers and a record of training and schools completed. Individuals who served exclusively in the Air National Guard or Army National Guard do not receive a DD Form 214, but will receive a form called NGB-22 from the National Guard Bureau.

29 DD-214/215 The DD Form 214 is a powerful document commonly used by various government agencies, such as the Department of Veterans Affairs, to secure veteran benefits, and may be requested by employers should a person indicate he or she has served in the military. DD Form 214 can also be used to immediately prove eligibility for interment in VA cemetery and/or obtaining a grave marker and/or provide military honors to a deceased veteran. Copies of DD Form 214s are typically maintained by the government as part of a service member's 201 file or OMPF (Official Military Personnel File). The 201 file generally contains additional personnel related forms. DD Form 214 s and NGB-22 s can also be found at State Level Archivists in the State where the military member entered Active Duty.

30 DD-214/215 Eight copies distributed as follows: Copy 1 Service Member Copy 2 Service Personnel File Copy 3 United States Department of Veterans Affairs Copy 4 Member (if initialed in Block 30) Copy 5 United States Department of Labor Copy 6 State Director of Veteran Affairs Copy 7 & 8 Distributed in accordance with Military Service Department directions (shredded and retain)

31 Older Separation Documents: USN Coast Guard NAVPERS 554 NAVCG 2510 NAVPERS 660 NAVPERS 661 NAVPERS 553 OLDER SEPARATION DOCUMENTS USA WD AGO WD AGO WD AGO 755 USMC NAVMC 70-PD NAVMC 78-PD

32 Other Separation Documents: - GSA Form NA Form NA Form Verification of Service letter from the United States Department of Veterans Affairs; OTHER SEPARATION DOCUMENTS

33 SERVICE CONNECTION

34 TYPES OF 100% SERVICE CONNECTION 100% Service Connections: - Combined 100%: A mathematical result of the member s Combined Service Connected disabilities - Individual Unemployability (IU): Pays a member at the 100% rate even thought they may not be 100% - Permanent and Total (P&T or PNT): Assigned to members who are typically 100% however there is a very real possibility that a member could be Permanent and Total and NOT be 100%. - Note: Some Veterans assume because they are 100% that they are Permanent and Total

35 SERVICE CONNECTED DEATH VS DIED ON ACTIVE DUTY

36 SERVICE CONNECTED DEATH VS DIED ON ACTIVE DUTY Tax Credit for Surviving Spouses - A Service Member who dies as a result of a Service Connected Death is a VETERAN who died of a condition that the VA deemed compensable Example: Vietnam Veteran dies of Agent Orange related lung cancer. - A Service Member who died on Active Duty is not a Veteran as he/she was never able to reach Veteran status as they were killed on Active Duty (and that death does not have to be related to combat).

37 RECAP

38 Hopefully Assessors now: - Know NH s definition of a Veteran - Attain a better understanding of the RSA s governing tax credits for Veterans - Attain a better understanding of Title 10 as it applies to the tax credits for Veterans - Attain a better understanding of the different types of Separation Documentation - Understand the types of 100% Service Connected Veterans out there and develop a better understanding of the Permanent and Total - Understand the differences between a Service Connected Death and someone who Died while on Active Duty

39 QUESTIONS