Sec. 1. 36 MRSA §652, sub-§1, ¶G, as amended by PL 1971, c. 111, is further amended to read:

G. Houses of religious worship, including vestries, and the pews and furniture within the same; tombs and rights of burial; and property owned and used by a religious society as a parsonage to the value of $20,000 $100,000, and personal property not exceeding $6,000 in value, but so much of any parsonage as is rented is liable to taxation. For purposes of the tax exemption provided by this paragraph, a parsonage shall mean means the principal residence provided by a religious society for its clergyman cleric whether or not located within the same municipality or place as the house of religious worship where the clergyman cleric regularly conducts religious services. Beginning in 2004, the State Tax Assessor shall adjust annually the value of property owned and used by a religious society as a parsonage that is exempt from taxation pursuant to this paragraph by the percentage change in the Consumer Price Index for the previous year.

SUMMARY

Current law provides an exemption from the property tax for property owned and used by a religious society as a parsonage to the value of $20,000. This bill increases that limit to $100,000 and provides that the limit be adjusted annually for inflation.