Republican lawmakers have introduced a bill that would exempt Maine seniors from paying property taxes.
LD 1541 was sponsored by Sen. Joseph Martin (R-Oxford) and cosponsored by House Minority Leader Billy Bob Faulkingham (R-Winter Harbor) and Senate Minority Leader Trey Stewart (R-Aroostook).
This bill looks to amend the now-defunct property tax stabilization program for seniors to exempt this demographic from property taxes entirely.
Should this bill be approved, the exemption would be effective beginning on April 1, 2027.
This exemption would include an individual’s primary residence, as well as up to an acre of land surrounding their home.
In order to be eligible for this exemption, homeowners would need to be at least 65 years old, or about to turn 65 years old during the upcoming tax year, and have lived in the state for at least 10 consecutive years prior to submitting their application.
After applying for the initial exemption, homeowners would need to file an annual affidavit declaring their continued eligibility for the program.
Exemptions would only be transferable to a joint owner of the property who is also eligible for the exemption.
Towns would be fully reimbursed for any revenue lost as a result of this program.
This bill would also require the Office of Program Evaluation and Government Accountability to conduct a review of this program in 2030.
As part of this review, that office would look into whether the program has succeeded in its purpose of reducing seniors’ tax burdens and allowing them to remain in their homes.
The office would also need to examine if the program is fiscally sustainable and explore the potential of expanding or modifying the program.
This report would need to be submitted to the Government Oversight and Taxation Committees by January 15, 2031.
“This bill not only helps seniors — it also helps the state save money in the long run. When seniors are able to stay in their homes longer, they are less likely to need state-supported nursing home care, which is more expensive,” Sen. Martin said when introducing this bill. “Helping people age in place is both more affordable and more humane.”
“This bill is about giving seniors stability, dignity, and the chance to stay in the homes they’ve built their lives in,” Martin added.
He suggested in his testimony that he would be interested in amending the bill to include a provision limiting the exemption to homes valued at less than $500,000.
While several Maine residents submitted testimony expressing support for this proposals, representatives of the Maine Center for Economic Policy (MCEP), the Maine Municipal Association, and the Department of Administrative and Financial Service (DAFS) testified in opposition.
MCEP argued that the “fiscal impact of LD 1541 would be significant.”
“This bill would unfairly transfer the property taxes of older Mainers who can afford them onto the rest of the people in their communities, including low income families and individuals,” said MCEP. “This doubles down on the failed idea under the former property tax stabilization program that all older Mainers cannot afford to pay property taxes.”
“While some older Mainers struggle to stay in their homes due to the rising cost of property taxes, some do not,” MCEP said. “Requiring the rest of the community to pick up the tab for wealthier older Mainers who can well afford their property taxes, while siphoning money away from education and community services, is wrong.”
“The exemption proposed by LD 1541 is not well-targeted and will have a fiscal cost that will increase exponentially over time. The bill provides a full exemption without any means-testing,” argued the DAFS. “The result is that most of the property tax relief will end up being provided to wealthier taxpayers with higher value properties in higher income areas.”
DAFS also raised concerns over the potential financial impact of this program, noting that it would “result in a significant increase in annual reimbursement costs to municipalities for revenues lost as a result [of it].”
The Taxation Committee has scheduled a work session for this bill on May 1 at 3pm in Room 127 of the State House.
A simpler aolution. Just spend less.
Maine must derive huge amounts of taxes from senior citizens. From my brief experiences as a BDN subscriber – and sort of kind of allowed to express my opinions on rare occasions, the BDN comment posse overwhelmingly despised any tax breaks for senior citizens in Maine.
I’m a senior and live on less that 20k a year. I wouldn’t mind paying the taxes so much if I didn’t see the level waste from our state and local government.
All fluff. They ain’t going to give any seniors a break on anything. Someone is up for re selection Their only goal is take their house and property when they die. Seen that to many times.
Yeah baby! I am up for this. It would be a dream come true.
Police, fire, road should be shared. School taxes absolutely not.
My folks planned ahead and were privileged to remain in their own home
and afford the taxes until death. ( Many times I recall my father saying, ” The only thing I am sure of is death and taxes.” )
The same property has been re-evaluated for a tax burden of @2.5X the original tax value. This robbery is not sustainable and un-American. The commandment I recall is respect your elders not ROB YOUR ELDERS. See you in jail, Janet.
My roomate’s mom-in-regulation makes usd eighty one each hour at the laptop . She has been fired for eight months but remaining month her paycheck turned into usd 17367 just operating on the pc for a few hours…..
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At the very least seniors should only have to pay taxes on purchase price of their homes.
Why are liberals assuming seniors can afford high taxes?
Seniors are past their earning years.
These leftists want everyone govt dependent. They never consider not spending like 10 yr olds who just found a wallet full of money.
Govt employees also should not be unionized.
I am approaching 80 years of age. If I live another 5 years I will be amazed. Now, just how much is the State going to lose if I am exempted from paying property taxes for maybe 3 years ? After that, they will AGAIN be “putting the tax boots” to whomever subsequently picks up ownership of my property. The freaking democrats are so damn greedy that they can’t hardly stand to see a few elderly people be exempted from property taxes during their final few years. All they seem to want is to create new welfare systems and income levels and property values testing on people who are too old to defend themselves. For you younger property owners who may be opposed to this proposal, it was just yesterday that I was your age, age 65 and beyond happened at the speed of light, it won’t be long before you are 65 and eligible for property tax exemption, IF IT EXISTS, I guarantee you will soon be wishing for property tax relief just like people my age now are. Augusta, do what is right for a change ! And while you are at it, get the spending under control. If in doubt, vote em out !
@ Beachmom, at the very least the union should not be negotiating with the same people that they donate to. As a taxpayer we should vote on their contract since they work for US
the state is taxing on unrealized gains when the value of your house goes up.
taxation is theft.