Sen. Baldacci introduces bill to assist with property taxes
AUGUSTA – On March 19, Sen. Joe Baldacci, D-Bangor, introduced LD 140, “An Act to Incrementally Increase the Homestead Property Tax Exemption,” to the Joint Standing Committee on Taxation during a public hearing for the bill.
“In the 131st Legislature, my colleagues and I took action to ensure Maine people, especially seniors, can afford to age in their homes without being overly burdened by property taxes,” said Sen. Baldacci. “We need to take further steps to provide property tax relief, without causing negative economic outcomes. By strengthening our existing programs, I believe we can provide relief to Mainers while setting the program up for improvement moving forward.”
LD 140 increases the homestead property tax exemption by $10,000 of the just value of the homestead each property tax year starting April 1, 2026 until the total exemption reaches $95,000. In subsequent property tax years, the exemption amount is adjusted annually for inflation.
The homestead exemption currently provides a reduction of up to $25,000 in the value of a home for property tax purposes. To qualify, you must be a permanent resident of Maine, the home must be your permanent residence, you must have owned a home in Maine for the twelve months prior to applying and an application must be filed on or before April 1 with the municipality where the property is located. The exemption applies to any residential property that is assessed as real property. For instance, a mobile home located on a rented lot may qualify for the exemption.
LD 140 awaits further action in committee.
