21.447.10 96th Legislative Session 694

2021 South Dakota Legislature

House Bill 1099

Introduced by: Representative Chaffee

An Act to revise the property tax exemption amount for certain agricultural property.

Be it enacted by the Legislature of the State of South Dakota:

Section 1. That § 10-4-13.1 be AMENDED.

10-4-13.1. Agricultural structures specially classified--Amount exempt from taxation--Relative defined.

Buildings and structures, other than normally occupied dwellings on agricultural land and automobile garages or portions of buildings used for that purpose, which are used exclusively for agricultural purposes and situated on agricultural land, are hereby specifically classified for tax purposes as agricultural property. Ten One hundred thousand dollars of the full and true value of all buildings located upon each building site and used in connection with the taxpayer's agricultural pursuits is exempt if there is a dwelling which that is occupied by an owner or relative of an owner or a beneficiary of a trust or a trustee for at least six months of a year but not necessarily on the assessment date. Such The dwelling shall be located on agricultural land and classified as nonagricultural property under § 10-6-31. The application requirement in § 10-4-15 does not apply to this section. If an owner is a corporation, trust, or a partnership, each stockholder, member, beneficiary, trustee, or partner who resides on such the property shall be an owner pursuant to this section. For the purposes of this section, a relative is a person who is related within the third degree of kinship. However, no a building site may not receive more than one ten a one-hundred-thousand-dollar exemption pursuant to this section. For the purposes of this section, a manufactured home or a mobile home is a dwelling.

Beginning on January 1, 2023, and again on January first of each year thereafter, the exemption value shall be adjusted by the percentage change in the cost of living. The change in the cost of living shall be measured by the percentage change as of August of the immediately preceding year over the level as measured as of August of the previous year of the Consumer Price Index (all urban consumers, U.S. city average for all items) as published by the U.S. Department of Labor, with the amount of the change, if any, rounded to the nearest dollar. The secretary of the Department of Revenue shall publish the adjusted exemption value for the forthcoming year on the department's internet website by October fifteenth of each year, and the adjusted exemption value becomes effective on January first of the following year.

Catchlines are not law. (§ 2-16-13.1) Underscores indicate new language.

Overstrikes indicate deleted language.