TO CONFIRM THE LAW RELATED TO THE ASSESSMENT OF A HOMESTEAD BELONGING TO A PERSON WITH A DISABILITY OR A PERSON SIXTY-FIVE YEARS OF AGE OR OLDER.

SB 131 clarifies how property tax assessment limitations, under Arkansas Constitution Amendment 79, apply to homesteads when ownership changes, particularly for disabled persons or those 65 years or older. The bill states that when a disabled or elderly person sells their home, the purchaser will not receive the previous assessment limitations, and the property will be reassessed at its full market value. However, it ensures that if a homeowner transfers title but retains a life estate, their homestead assessment protections will continue. Additionally, disabled or 65+ individuals who purchase a homestead will immediately qualify for assessment limitations without a waiting period.