The bill amends sections 5747.08 and 5747.98 of the Revised Code and enacts section 5747.87 to create a refundable income tax credit or rebate for homeowners and renters whose property taxes or a portion of their rent exceed five percent of their income. It defines key terms such as "claim year," "eligible claimant," "gross rent," and "qualifying homestead" to establish eligibility criteria for the credit. The legislation aims to alleviate financial burdens on low- to moderate-income households by providing tax relief based on housing expenses, with a limit of one thousand dollars for the first claim year and adjustments for subsequent years.

Additionally, the bill introduces a new credit for property taxes or rent-equivalent taxes, which is included in the list of business credits, allowing eligible claimants to benefit from this financial support. It specifies that certain types of income and benefits, such as lottery winnings and government payments, are exempt from being counted as total household resources. The bill also repeals existing sections related to tax credits and establishes a new order for claiming credits to ensure a uniform procedure. Overall, the legislation seeks to refine the criteria and processes for tax credits and rebates, enhancing financial relief for those facing high housing costs.

Statutes affected:
As Introduced: 5747.08, 5747.98