The Property Tax Refund Act introduces a new section, 5747.87, to the Revised Code, establishing 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. This new section defines key terms such as "claim year," "eligible claimant," "gross rent," and "qualifying homestead," and sets eligibility criteria, including a requirement for claimants to have occupied a homestead for at least six months and to have household resources below a specified threshold. The bill also outlines a tiered credit system based on income, allowing those earning $60,000 or less to claim a maximum of $1,000, with decreasing amounts for higher income brackets up to $100,000.

In addition to establishing the new credit, the bill repeals existing sections 5747.08 and 5747.98, which previously governed similar tax credits or rebates. The new provisions will take effect for claim years ending on or after the enactment date, ensuring that eligible claimants can access updated tax relief measures. Overall, the legislation aims to alleviate the financial burden of high property taxes and rent costs for low- to moderate-income households in Ohio, enhancing housing affordability and providing necessary financial support.

Statutes affected:
As Introduced: 5747.08, 5747.98