Maine lawmakers on the Taxation Committee have unanimously rejected three proposals to increase the state’s homestead exemption, a program designed to help lower the property tax bill on Mainers’ primary residences.
While one of the now-defeated proposals would have increased the value of this exemption for all homeowners, the other two represented more targeted reforms aimed at increasing aid to seniors and low income residents.
By lowering the tax-assessed value of Mainers’ homes, the homestead exemption helps to reduce the total property tax bill for which homeowners are responsible.
Currently, the homestead exemption allows Mainers to take $25,000 off the total tax-assessed value of their homes.
[RELATED: Feeling the Property Tax Pinch? Here’s What Changes to the Homestead Exemption Could Mean for You]
LD 658, sponsored by House Minority Leader Billy Bob Faulkingham (R-Winter Harbor), would have immediately doubled the homestead exemption to $50,000, effective for the tax year beginning on April 1, 2025.
Sponsored by Sen. Rick Bennett (R-Oxford), LD 7 would have raised the homestead exemption to $75,000 for Mainers aged 65 and older who have resided in their home for at least the past ten years.
Sen. Cameron Reny’s (D-Lincoln) bill, LD 570, would have also increased the homestead exemption to $75,000 beginning in 2026, but only for those making less than a certain amount of money each year.
To qualify for this increased exemption, individuals would have needed to earn less than $100,000. Heads of household could have earned up to $150,000, and married couples would have been able to earn up to $200,000.
All three of these bills were unanimously rejected by the Legislature’s Taxation Committee on April 2, 2025.
[RELATED: Lawmakers Propose Nearly Quadrupling the Value of This Maine Property Tax Relief Program by 2033]
These, however, are not the only bills on the table this session concerning the homestead exemption.
LD 140 — a Democrat-led, bipartisan bill — would nearly quadruple the value of the homestead exemption by 2033.
This bill was sponsored by Sen. Joe Baldacci (D-Penobscot) and cosponsored by Sen. Donna Bailey (D-York), Sen. Scott Cyrway (R-Kennebec), Rep. Amy J. Roeder (D-Bangor).
Under the proposed legislation, the measure would increase the exemption by $10,000 annually beginning in 2026 until it reaches a total of $95,000 in 2033.
By the point it reaches that maximum, the homestead exemption would continue to increase annually in accordance with the cost of living.
On April 1, the Taxation Committee seemingly voted unanimously in support of an amended version of this bill, although they have not yet officially reported out their recommendations.
The amended text of LD 140 has not yet been made readily available online, but it is likely to be posted after the Committee reports to the Legislature.
Maine Democrats Want Higher Taxes – Do You ?
That’s a good bumper sticker for next year
NH doesn’t/didn’t charge the school portion for seniors. Seems fair.
Nanny State.
The Tax committee voted to increase the homestead exemption to $50,000. $5,000 per year for the next 5 years.
“Currently, the homestead exemption allows Mainers to take $25,000 off the total tax-assessed value of their homes.”
Circular reasoning here. Assessed? By whom? Do you want to try the “comparable sales” argument? I won’t insult your intelligence breaking this down word for word. I will cut to the chase. Property tax/income is UNCONSTITUTIONAL.
For those who don’t believe it, LOOK IT UP. DO YOUR OWN RESEARCH instead of relying on someone else to give you the answers. As you will only find more arguments to present in your own ignorance to cloud the facts and letter of the Law. Complete waste of time for both parties. Although that maybe the goal for some.
To the lawyers/attorneys/esquires etc., STUDY THE LAW not case law and start doing the right thing.
Wake up people, we may have a stab at this experiment one last time.
Peace Be With You
The only one that would really have helped seniors was the one that was enacted into law for a year then got repealed, the repeal was spearheaded by “RINO Rick” Bennet. It’s now too late to help my wife and I, we’ll be pushing up Daises before the “tax & spend” swamp creatures in Augusta are flushed down the drain. The time has come to forget about the dyed in the wool party loyalty that is literally destroying this State. Let’s make November, 2025 a year to remember in Maine politics, IF IN DOUBT, VOTE EM OUT !!
So…who’s on the Tax Committee?
All such bills are jokes in general. They don’t reduce spending or tax collections by a nickel.
They simply make you feel good because they tell you your property is “lower” than it would have been without it. But the town doesn’t reduce their spending one bit. They still add up what they want to spend every year, and set the tax rate to generate it, after considering other revenue sources.
In these cases, the added revenue is provided by the state, which adds it to their baseline spending.
This is shell game politics of the worst sort. The only way to lower property taxes is to limit valuation and tax rates like the TABOR proposal 20 years ago did.
You know it would have worked, because the governing class united and fought it tooth and nail.
But here, they’re volunteering the “benefits.” So you automatically know it’s a sham.
No way a democratic majority will ever support giving tax breaks, especially when the schools are funded mainly by property tax and the feds are shutting down funding because of the funt running the state.