Maine bill targets property tax relief for seniors

A new bill aimed at helping older residents in Maine with property tax relief is currently under consideration. The legislative committee focused on this issue held a public hearing on March 19 for a proposed law known as LD 559. This bill, introduced by Senator Donna Bailey from Saco, would allow towns to create their own property tax stabilization programs for seniors. Under this proposal, municipalities could also impose a one percent local sales tax on meals and lodging. The tax revenue would help fund the stabilization programs. Senator Bailey noted that many constituents have expressed concern about rising property taxes, particularly how it affects older residents. She highlighted the emotional distress that tax bills can cause and emphasized the importance of keeping seniors in their communities. Bailey has previously supported measures to provide targeted property tax relief for older Mainers. These efforts include strengthening existing programs, such as the Property Tax Fairness Credit and the State Property Tax Deferral Program. The Property Tax Fairness Credit was recently expanded for residents aged 65 and older, increasing the maximum benefit from $1,500 to $2,000. Additionally, it allows both homeowners and renters to benefit even if they do not owe income taxes. The State Property Tax Deferral Program, which Senator Bailey helped revive, allows seniors to defer their property tax payments until their homes are sold or inherited. This program aims to provide immediate financial relief and prevent seniors from losing their homes due to unaffordable taxes. The legislative committee will review LD 559 further in the coming weeks.