AlaskaMunicipalities may offer property tax breaks for homes and rentals
Municipalities may choose tax breaks for certain homes and rentals, and must refund protested or excess taxes in the cases described.
What it does
A municipality may exempt or partly exempt the permanent home of a resident who volunteers in firefighting, emergency medical, paramedic, or hazardous materials response. The municipality must choose to offer the exemption.
Municipalities may offer tax breaks for buildings converted to long-term rentals, mobile home parks, qualifying low-income family rentals, residents’ homes, and first-time buyers’ homes. Each break is optional.
A municipality must refund taxes paid under protest in specified cases, with interest set by a federal discount rate formula. It must also refund excess payments when an audit confirms them.
Argument forMunicipalities could use tax breaks to encourage longer rentals and help qualifying families afford housing, while taxpayers might recover certain taxes paid in error.
Argument againstBecause each tax break is optional, homeowners and landlords could face different property tax bills depending on whether their municipality offers it.
More detail
A municipality may exempt or partly exempt a volunteer emergency responder’s home from property taxes. The home must be the responder’s permanent place of abode in the municipality where the responder provides volunteer service. Responders must provide firefighting, emergency medical, mobile intensive care paramedic, or hazardous materials response services; firefighters must be certified, and medical responders must be certified or licensed under state law. The municipality must choose to offer the exemption by ordinance. No start or end date for this exemption is stated.
A municipality may exempt or partly exempt certain rental housing, mobile home parks, and homes. The options cover buildings converted from short-term to long-term rentals, mobile home parks, rentals to qualifying low-income families, residents’ permanent homes, and residential property owned and occupied by first-time homebuyers. The municipality must choose each exemption by ordinance. Rent for a qualifying low-income family may not exceed 30 percent of the family’s monthly income, calculated using earners’ adjusted gross income from the previous tax year. A converted rental must be used exclusively for long-term rentals of at least 31 consecutive days. The definition of short-term rental excludes hotels, motels, bed and breakfasts, hunting or wilderness camps, and temporary housing run by a government or charity for people receiving treatment for trauma, injury, or disease. A mobile home park exemption may last up to 10 years after the park is built or renovated.
A municipality must refund certain taxes paid under protest, with interest set by a rate formula, and must refund excess tax payments found in an audit. These rules cover taxpayers who paid taxes under protest or paid more than the amount legally due. For taxes paid under protest, the municipality must refund the taxes if a court orders recovery or its governing body concludes that a court would award recovery. The refund includes costs. For excess payments, an audit must satisfy the municipality that the taxpayer paid more than the amount legally due. Interest on a protested-tax refund runs from the payment date. A claim for an excess-payment refund is barred if filed one year after the tax due date.
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Where it stands
- Introduced
- Passed House
- Passed Senate
- To Governor
- Became Law
Looking ahead
No hearings or votes scheduled.
History
- 2026
- Jul 3(H) EFFECTIVE DATE(S) OF LAW 9/20/26Latest
- Jul 3(H) LAW W/O GOVERNOR SIGNATURE 6/22 CHAPTER 25 SLA 26Major
- Jun 4(H) MANIFEST ERROR(S)
- Jun 4(H) 2:45 P.M. 6/4/26 Transmitted to GovernorTo Governor
- May 20(H) CONCUR AM OF (S) Y32 N7 A1
- Vote recorded (S) PASSED Y20 N- #2844. Result: pass.Upper
- Vote recorded (H) CONCUR AM OF (S) Y32 N7 A1 #2998. Result: pass.Lower
- Vote recorded (H) CONCUR AM OF (S) Y30 N9 A1 #2985. Result: pass.Lower
- May 20(H) RESCINDED ACTION (CONCURRENCE) UC
- May 20(H) CONCUR AM OF (S) Y30 N9 A1
- May 20(H) TITLE CHANGE: SCR 14
- May 20(H) CONCUR MESSAGE TAKEN UP
- May 20(H) CONCUR MESSAGE RECEIVED
- May 20(S) VERSION: SCS CSSSHB 13(STA)
- May 20(S) TRANSMITTED TO (H) AS AMENDEDMajor
- May 20(S) PASSED Y20 N-Major
- May 20(S) READ THE THIRD TIME SCS CSSSHB 13(STA)Minor
- May 19(S) ADVANCED TO THIRD READING 5/20 CALMinor
- May 19(S) STA SCS ADOPTED UC
- May 19(S) READ THE SECOND TIMEMinor
- May 19(S) RULES TO CALENDAR 5/19/2026
- May 15(S) FN3: ZERO(CED)
- May 15(S) NR: GRAY-JACKSON, TILTON
- May 15(S) AM: KAWASAKI
- May 15(S) TITLE CHANGE: SCR 14
- May 15(S) STA RPT SCS 1AM 2NR NEW TITLE
- May 14(S) Minutes (SSTA)
- May 14(S) Moved SCS CSSSHB 13(STA) Out of Committee
- May 14(S) STATE AFFAIRS at 03:30 PM BELTZ 105 (TSBldg)
- May 13(S) CROSS SPONSOR(S): YUNDT, KAWASAKI, BJORKMAN, DUNBAR
- May 2(S) Minutes (SSTA)
- May 2(S) Heard & Held -- Please Note Time Change --
- May 2(S) STATE AFFAIRS at 10:00 AM BUTROVICH 205
- Apr 28(S) Minutes (SSTA)
- Apr 28(S) Heard & Held
- Apr 28(S) STATE AFFAIRS at 03:30 PM BELTZ 105 (TSBldg)
- Mar 18(S) FN2: ZERO(CED)
- Mar 18(S) DP: DUNBAR, GRAY-JACKSON, YUNDT
- Mar 18(S) NR: MERRICK, OLSON
- Mar 18(S) TITLE CHANGE: SCR 14
- Mar 18(S) CRA RPT SCS 2NR 3DP NEW TITLE
- Mar 17(S) Moved SCS CSSSHB 13(CRA) Out of Committee
- Mar 17(S) COMMUNITY & REGIONAL AFFAIRS at 01:30 PM BELTZ 105 (TSBldg)
- Mar 3(S) Heard & Held
- Mar 3(S) COMMUNITY & REGIONAL AFFAIRS at 01:30 PM BELTZ 105 (TSBldg)
- 2025
- May 13(S) CRA, STA
- May 13(S) READ THE FIRST TIME - REFERRALSMinor
- May 12(H) VERSION: CSSSHB 13(CRA)
- Vote recorded (H) PASSED Y25 N15 #1152. Result: pass.Lower
- May 12(H) TRANSMITTED TO (S)Passed Senate
- May 12(H) PASSED Y25 N15Passed House
- May 12(H) READ THE THIRD TIME CSSSHB 13(CRA)Minor
- May 10(H) COSPONSOR(S): FIELDS, GALVIN, JOSEPHSON, MINA
- Vote recorded (H) AM NO 2 FAILED Y15 N23 E2 # 1121. Result: fail.Lower
- Vote recorded (H) AM NO 4 FAILED Y15 N23 E2 # 1122. Result: fail.Lower
- Vote recorded (H) AM NO 5 FAILED Y17 N21 E2 # 1125. Result: fail.Lower
- Vote recorded (H) AM NO 3 FAILED Y16 N21 E2 A1 # 1122. Result: fail.Lower
- Vote recorded (H) AM NO 1 FAILED Y15 N23 E2 # 1120. Result: fail.Lower
- May 10(H) ADVANCED TO THIRD READING 5/12 CALENDARMinor
- May 10(H) AM NO 5 FAILED Y17 N21 E2Minor
- May 10(H) AM NO 4 FAILED Y15 N23 E2Minor
- May 10(H) AM NO 3 FAILED Y16 N21 E2 A1Minor
- May 10(H) AM NO 2 FAILED Y15 N23 E2Minor
- May 10(H) AM NO 1 FAILED Y15 N23 E2Minor
- May 10(H) CRA CS ADOPTED UC
- May 10(H) READ THE SECOND TIMEMinor
- May 10(H) MOVED TO BOTTOM OF CALENDAR
- May 10(H) RULES TO CALENDAR 5/10/2025
- May 2(H) COSPONSOR(S): EISCHEID
- Apr 25(H) FIN REFERRAL REMOVED
- Apr 25(H) FN1: ZERO(CED)
- Apr 25(H) DNP: PRAX, RUFFRIDGE
- Apr 25(H) DP: HOLLAND, HALL, MEARS, HIMSCHOOT
- Apr 25(H) CRA RPT CS(CRA) 4DP 2DNP
- Apr 24(H) Minutes (HCRA)
- Apr 24(H) Moved CSSSHB 139(CRA) Out of Committee
- Apr 24(H) COMMUNITY & REGIONAL AFFAIRS at 08:00 AM BARNES 124
- Apr 22(H) Minutes (HCRA)
- Apr 22(H) Heard & Held
- Apr 22(H) COMMUNITY & REGIONAL AFFAIRS at 08:00 AM BARNES 124
- Apr 15(H) -- Invited & Public Testimony -- -- MEETING CANCELED --
- Apr 15(H) COMMUNITY & REGIONAL AFFAIRS at 08:00 AM BARNES 124
- Apr 10(H) Minutes (HCRA)
- Apr 10(H) Heard & Held
- Apr 10(H) COMMUNITY & REGIONAL AFFAIRS at 08:00 AM BARNES 124
- Mar 27(H) Minutes (HCRA)
- Mar 27(H) Heard & Held
- Mar 27(H) COMMUNITY & REGIONAL AFFAIRS at 08:00 AM BARNES 124
- Mar 25(H) Minutes (HCRA)
- Mar 25(H) Heard & Held
- Mar 25(H) COMMUNITY & REGIONAL AFFAIRS at 08:00 AM BARNES 124
- Mar 10(H) CRA, FIN
- Mar 10(H) READ THE FIRST TIME - REFERRALSMinor
- Mar 10(H) SPONSOR SUBSTITUTE INTRODUCED
- Jan 22(H) CRA, FIN
- Jan 22(H) READ THE FIRST TIME - REFERRALSMinor
- Jan 22(H) Prefile released 1/10/25Introduced
Taxes & BudgetHousingPublic Safety