§358.__Certain taxes prohibited

A special district tax, user fee tax or county tax may not be imposed on any real or personal property.

§359.__Construction

This article may not be construed to prevent or prohibit a town, city, county, plantation, unorganized territory, county or district from initiating taxes or fees with a 2/3 vote in a general election, except no ad valorem tax on real and personal property or a transaction tax or sales tax on the sale of real and personal property within such city, county, town, plantation, unorganized territory, county or district may be imposed.

§360.__Application

This Act applies to all government entities that assess ad valorem taxes on real and personal property tax.__This Act does not preclude or prohibit a city, town, plantation, unorganized territory or district from assessing or collecting taxes and fees, except no ad valorem taxes on real and personal property or a transaction tax or sales tax on the sale of real and personal property within such city, town, plantation, unorganized territory, county or special district may be imposed.

§361.__Severability

If any portion, word, clause or phrase of this initiative for any reason is held to be invalid or unconstitutional by a court of competent jurisdiction, the remaining portions, clauses and phrases may not be affected, but shall remain in full force and effect.

SUMMARY

This initiated bill limits the ad valorem taxes levied on real or personal property to a maximum rate of 1% of the value of the property. The base value of the property is the 1996-97 assessed value. For property constructed, sold or transferred after the 1996-97 assessment, the base value is the appraised value at the time of construction or acquisition. This base value may be adjusted up or down each year by a maximum of 2%. Certain exemptions, including transfers between spouses and transfers between a parent and child, are included.