§ 44-51. Tax credit for elderly homeowners.

(a)

The City of Danbury hereby enacts a tax credit for elderly homeowners, pursuant to C.G.S. § 12-129n, for eligible residents of the City of Danbury on the terms and conditions provided herein. This section is enacted for the purpose of assisting elderly homeowners with a portion of the cost of property taxation commencing with the Assessment List of 1986.

(b)

Any person who owns real property in the City of Danbury or is liable for the payment of taxes thereon, pursuant to C.G.S. § 12-48, and who occupies the property as a principal residence shall be entitled to a credit of up to four hundred and fifty dollars ($450.00), if single, or to a credit of up to six hundred dollars ($600.00), if married, on the real estate tax bill, provided the following conditions are complied with:

(1)

Age of homeowner for eligibility.

a.

Such person is sixty-five (65) years of age or over at the close of the previous calendar year, or his spouse is sixty-five (65) years of age or over at the close of the previous calendar year and resides with such person, or such person is sixty (60) years of age or over and the surviving spouse of a taxpayer qualified for tax credit under this section at the time of his death; or

b.

Such person is under age sixty-five (65) and eligible in accordance with applicable federal regulations to receive permanent total disability benefits under Social Security, or has not been engaged in employment covered by Social Security and accordingly has not qualified for benefits thereunder, but has become qualified for permanent total disability benefits under any federal, state or local government retirement or disability plan, including the Railroad Retirement Act and any government related teacher's retirement plan, in which requirements with respect to qualifications for such permanent total disability benefits are comparable to such requirements under Social Security.

(2)

Such person must have a principal residence located in Danbury and must have paid taxes in Danbury for one (1) year immediately preceding his receipt of tax benefits hereunder.

(3)

The property for which the credit is claimed must be the primary legal residence of such person and occupied more than one hundred eighty-three (183) days of each calendar year.

(4)

Applications must be filed with the Assessor's office between February 1 and May 15 in the year following the list year with respect to which benefits are claimed hereunder, in triplicate, one (1) copy going to the taxpayer, one (1) to the Tax Collector and one (1) to the Assessor. The applicant must reapply every two (2) years in order to continue eligibility for relief hereunder.

(5)

Such person shall not have received qualifying income during the calendar year preceding the fiscal year for which a tax benefit is claimed in excess of an amount which shall be ten thousand dollars ($10,000.00) greater than the limits as established and adjusted pursuant to C.G.S. § 12-170aa(b). For purposes hereof, the term "qualifying income" includes total adjusted gross income, tax-exempt interest, realized capital gains, and Social Security payments, as determined under the Internal Revenue Code of 1986, or any subsequent corresponding Internal Revenue Code of the United States, as from time to time amended. An application for benefits offered pursuant to state tax relief programs for elderly homeowners may be accepted by the Tax Assessor as an application for benefits hereunder.

(6)

No tax credits shall be given under this section to any persons who owe delinquent taxes to the City of Danbury. The applicant shall submit a certificate from the Tax Collector to the effect that no such delinquent taxes are owed.

(7)

No property tax relief authorized hereunder, together with any relief received by any such resident under provisions of C.G.S. §§ 12-129b through 12-129c, and 12-170aa, shall exceed, in the aggregate, seventy-five (75) percent of the tax which would, except for said C.G.S. §§ 12-129b through 12-129c, inclusive, and 12-170aa and this section, be laid against the taxpayer.

(c)

The tax credit for real property as provided herein shall apply to only the residence itself and the lot on which the residence is located, but such credit shall not apply to more than the minimum lot size permitted by the zoning ordinances of the City of Danbury.

(d)

The Assessor shall determine whether each applying taxpayer is entitled to tax credit under this section and shall compute the amount of tax credit to which each qualified taxpayer is entitled and cause a certificate of tax credit to be issued in such form as to permit the Tax Collector to reduce the amount of tax levied against the taxpayer. The tax credit shall be applied proportionately to the tax payments.

(e)

Only one (1) tax credit shall be allowed for each parcel of land eligible for the tax credit under this section. In any case where title to such real property is recorded in the name of the taxpayer or his spouse, who are eligible for tax credit, and any other person or persons, the amount shall be prorated to allow a tax credit equivalent to the fractional share in the property of such taxpayer or spouse, and if such property is a multiple-family dwelling, such credit shall be prorated to reflect the fractional portion of such property occupied by the taxpayer, as provided by state statutes, as they may be amended. Persons not otherwise eligible shall not receive any tax credit. No tax credit shall be allowed hereunder if such dwelling is used for more than four (4) families.

(f)

The tax credit allowed hereunder shall not apply to any water rent, water use charge, water tax, sewer tax or sewer use charge which may be levied against real property in the City of Danbury.

(g)

If a taxpayer has qualified and received tax relief under the provision of this section and subsequently becomes disqualified for any reason, he shall notify the Tax Assessor on or before February 1 of the year in which he becomes disqualified and his exemption shall cease for such fiscal year and such disqualification shall continue until he becomes eligible again and has filed a new application.

(h)

The total of all tax credits granted under this section shall not exceed for each fiscal year an amount equal to five (5) percent of the total real estate property tax assessed in the City of Danbury during the preceding fiscal year; tax credits given to eligible applicants hereunder shall be prorated in such a manner so that the total amount of City tax relief hereunder shall remain within the limits fixed herein.

(i)

If any person with respect to whom a claim for tax credit in accordance with this section has been approved for any assessment year transfers, assigns, grants or otherwise conveys in such assessment year the interest in real property to which such claim for tax credit is related, regardless of whether such transfer, assignment, grant or conveyance is voluntary or involuntary, the amount of such tax credit shall be a pro rata portion of the amount otherwise applicable in such assessment year to be determined by a fraction the numerator of which shall be the number of full months from the October 1st in such assessment year to the date of such conveyance and the denominator of which shall be twelve (12). If such conveyance occurs in the month of October, the grantor shall be disqualified for tax credit in such assessment year. The grantee shall be required within a period not exceeding ten (10) days immediately following the date of such conveyance to notify the Assessor thereof, whereupon the Assessor shall determine the amount of tax credit to which the grantor is entitled for such assessment year with respect to the interest in real property conveyed and notify the Tax Collector of the reduced amount of tax credit applicable to such interest. Upon receipt of such notice from the Assessor, the Tax Collector shall, if such notice is received after the tax due date in the Municipality, within ten (10) days thereafter mail or hand a bill to the grantee stating the additional amount of tax due as determined by the Assessor. Such tax shall be due and payable and collectible as other property taxes and subject to the same liens and processes of collection, provided such tax shall be due and payable in an initial or single installment not sooner than thirty (30) days after the date such bill is mailed or handed to the grantee and in equal amounts in any remaining, regular installments as the same are due and payable.

(Code 1961, § 18-12; Ord. No. 264, 11-20-1980; Ord. No. 277, 12-1-1981; Ord. No. 333, 4-1-1986; Ord. No. 343, 2-3-1987; Ord. No. 381, 2-6-1990; Ord. No. 557, 11-8-2001; Ord. No. 669, 7-3-2007)