Sec. 7. 36 MRSA §6207, sub-§2, as amended by PL 1997, c. 557, Pt. A, §3 and affected by Pt. G, §1, is further amended to read:

2. Income eligibility. Single-member households with household incomes in excess of $25,700 $40,000 and households with 2 or more members with a household income in excess of $40,000 $60,000 are not eligible for a benefit.

SUMMARY

This bill does the following:

1. It repeals the Maine resident homestead property tax exemption and instead expands the Maine Residents Property Tax Program, commonly known as the "circuit breaker" program;

2. It increases the benefits for renters under the Maine Residents Property Tax Program by increasing the percentage of rent constituting property taxes from 18% to 20% of rent paid;

3. It expands the circuit breaker program by reducing the income tax thresholds from 4% and 8% to 3% and 6%, respectively, and by increasing the maximum benefit payment from $1,000 to $3,000; and

4. It expands the circuit breaker program by increasing the income thresholds from $25,700 for singles and $40,000 for joint filers to $40,000 and $60,000, respectively.