TN HB2409

Amends Tennessee Code § 67-5-502(d) to exempt certain leasehold interests from separate property tax assessment when subject to a payment in lieu of taxes (PILOT) agreement with state or local government entered into or amended on or after April 30, 2019

Creates a new exemption for leases entered into or amended on or after April 30, 2026 where the lessee is a corporate instrumentality of a housing authority or an entity in which such instrumentality holds an interest, provided improvements are used for affordable housing purposes

Requires that qualifying properties be assessed solely to the governmental entity (including housing authorities) rather than to the lessee, with all applicable exemptions applying

Takes effect immediately upon becoming law