To assist taxpayers, below are comparison charts reflecting the effects of Proposition 19.
PARENT-CHILD & GRANDPARENT-GRANDCHILD EXCLUSION
| |
Former Law | Proposition 19 (Current Law) |
| Principal Residence |
- Principal residence of transferor
- No value limit
- Residence and homesite (excess land may be excluded as "other property")
|
- Principal residence of transferor and transferee
- Value limit of current taxable value plus $1,000,000 (as annually adjusted)
- Family homes and farms
|
|---|
| Other Real Property |
- Transferor lifetime limit of $1,000,000 of factored base year value
|
- Eliminates exclusion for other real property other than the principal residence
|
|---|
| Grandparent-Grandchild Middle Generation Limit |
- Parent(s) of grandchild, who qualifies as child(ren) of grandparent, must be deceased on date of transfer
|
- No change: parent(s) of grandchild, who qualifies as child(ren) of grandparent, must be deceased on date of transfer
|
|---|
| Filing Period |
- File claim within 3 years or before transfer to third party
|
- File for homeowners' exemption within 1 year of transfer
|
|---|
| Implementing Statute |
- Revenue & Taxation Code section 63.1 (implements Propositions 58/193)
|
|
|---|
| Important Dates |
- Through February 15, 2021
|
- Effective February 16, 2021
|
|---|
BASE YEAR VALUE TRANSFER – PERSONS AT LEAST AGE 55/DISABLED
| |
Current Law | Proposition 19 |
| Type of Property |
|
|
|---|
| Timing |
- Purchase or newly construct residence within 2 years of sale
|
- Purchase or newly construct residence within 2 years of sale
|
|---|
| Location of Replacement Home |
|
|
|---|
| Value Limit |
- 100% if replacement purchased/new construction prior to sale
- 105% if replacement purchased/new construction in first year after sale
- 110% if replacement purchased/new construction in second year after sale
|
- Any value
- Amount above 100% is added to transferred value
|
|---|
| How many transfers? |
- One time
- Exception: After using once for age, second time for subsequent disability
|
|
|---|
| Implementing Statute |
- Revenue & Taxation Code section 69.5 (implements Propositions 60/90/110)
|
|
|---|
| Important Dates |
|
|
|---|
BASE YEAR VALUE TRANSFER – INTRACOUNTY DISASTER RELIEF
| |
Current Law | Proposition 19 |
| Type of Property |
|
|
|---|
| Timing |
- Purchase or newly construct property within 5 years of disaster
|
- Purchase or newly construct residence within 2 years of sale
|
|---|
| Location of Replacement Property |
|
|
|---|
| Value Limit |
- Any value
- Amount above 120% is added to transferred value
|
- Any value
- Amount above 100% is added to transferred value
|
|---|
| Type of Disaster |
- Disaster for which the Governor proclaims a state of emergency
|
- Wildfire, as defined, or natural disaster as declared by the Governor
|
|---|
| Implementing Statute |
- Revenue & Taxation Code section 69 (implements Proposition 50)
|
|
|---|
| Important Dates |
|
|
|---|
BASE YEAR VALUE TRANSFER – INTERCOUNTY DISASTER RELIEF
| |
Current Law | Proposition 19 |
| Type of Property |
|
|
|---|
| Timing |
- Purchase or newly construct principal residence within 3 years of disaster
|
- Purchase or newly construct principal residence within 2 years of sale
|
|---|
| Location of Replacement Home |
|
|
|---|
| Value Limit |
- 105% if purchased/new construction in first year after disaster
- 110% if purchased/new construction in second year after disaster
- 115% if purchased/new construction in third year after disaster
|
- Any value
- Amount above 100% is added to transferred value
|
|---|
| Type of Disaster |
- Disaster for which the Governor proclaims a state of emergency
|
- Wildfire, as defined, or natural disaster as declared by the Governor
|
|---|
| Implementing Statute |
- Revenue & Taxation Code section 69.3 (implements Proposition 171)
|
|
|---|
| Important Dates |
|
|
|---|
Note: The information presented is intended to provide general and summary information about Proposition 19. It is not intended to be a legal interpretation or official guidance or relied upon for any purpose, but is instead a presentation of summary information. If there is a conflict between the information presented and the text of the proposition or its implementation, the text of the proposition or legal interpretation will prevail. It is highly encouraged that you consult an attorney for advice specific to your situation.
