Relating to the taxation of religious institutions and societies

Under current law, certain grounds used or under construction by a religious institution or society are exempt from property taxes. To claim such exemption, the religious institution or society must file a statement describing the nature of the property upon which the exemption is claimed and setting out in detail any uses and income from the property derived from the rentals, leases, or other uses of the property not solely for the appropriate objects of the religious institution or society. Once the claim has been allowed, and the exemption is applied to the property, the claim is allowed on the property for successive years without further filing as long as the property is used for the purposes specified in the original claim for exemption. When the property is sold or transferred, the county recorder shall provide notice of the transfer to the assessor. The notice shall describe the property transferred and the name of the person to whom title to the property is transferred. This bill provides that for assessment years beginning on or after January 1, 2027, a determination letter issued by the internal revenue service recognizing exemption of a religious institution or society under section 501(c)(3) of the Internal Revenue Code shall be conclusive evidence of eligibility for exemption of property taxes. A claim that has been allowed on property of a religious institution or society shall be allowed after the transfer of the property if the property continues to be used for the purposes specified in the original claim for exemption. The county recorder shall notify both the transferor and the transferee before the termination of any exemption of a religious institution or society and the filing requirements to continue the exemption on the property transferred.