Eye On Boise

House votes 54-16 to undo the indexing of the homeowner’s exemption to house prices

The House has voted to remove the indexing of the homeowner’s exemption from property taxes, instead setting it at a fixed maximum level of $90,000 or 50 percent of home value, whichever is less. In 2006, the Legislature raised the exemption from its previous cap of $50,000 to $75,000 and indexed the maximum amount to the Idaho Housing Index, so it would go up and down with the market. Since then, the exemption has risen to a high of more than $104,000 in 2009, and dropped back down to $81,000 in 2012.

Rep. Janet Trujillo, R-Idaho Falls, said the time lag between the index and market changes posed problems. “During the recent housing collapse … the index did create some very negative consequences for taxpayers,” she told the House. “As home values were dropping, the taxes were actually increasing. … I believe that removing the index makes good sense for the state of Idaho.”

The House vote was 54-16 in favor of the bill, HB 594, which now moves to the Senate side; the House has now recessed until 1:30 p.m. The Senate remains in session; it’s debating SB 1314, the payday loan bill.

You must be logged in to post comments. Please log in here or click the comment box below for options.

comments powered by Disqus
« Back to Eye On Boise
Betsy Z. Russell
Betsy Russell covers Idaho news from the state capitol in Boise and writes the Eye on Boise blog.

Follow Betsy online:



Contact the Spokesman

Main switchboard:
(509) 459-5000
Customer service:
(800) 338-8801
(509) 459-5400
(800) 789-0029
Back to Spokesman Mobile