S.F. No. 3796 Summary

• Replaces variable dependent exemption multipliers with fixed dollar amounts: $5,810 for first dependent, $5,395 for second, $4,980 for third, $4,565 for fourth, and $4,150 for fifth dependent and disability/age 65+ exemption.

• Establishes annual inflation adjustments to dependent exemption amounts using the Consumer Price Index for All Urban Consumers, beginning with property tax refunds payable in 2019.

• Updates the Internal Revenue Code reference from December 16, 2016 to December 31, 2017 for calculating income and exemption amounts in property tax refund eligibility.

• Requires the commissioner to calculate inflation adjustments by comparing the 12-month periods ending June 30, 2017 to June 30 of the year preceding the taxable year, with results rounded to the nearest $5.

• Applies to property tax refunds based on property taxes payable after December 31, 2017 and rent paid after December 31, 2016.