Prop-19 Base Year Value Transfers

Frequently ​Asked Questions Effective 4/1/2021​​

No, the operative requirement is that the transfer of the base year value must be on or after April 1, 2021, and not the purchase or sale of either the original or replacement property. Assuming a claim is timely filed, the qualified transfer occurs on the later of either the date of the sale of the original primary residence or the date of the purchase or new construction of the replacement primary residence.

Prop 19 requires that a claimant be “severely disabled," not “severely and permanently disabled".  In the Legal Analysis of the CA BOE, “severely disabled" is more broad than “severely and permanently disabled" as defined in RTC section 74.3, subdivision (b) and as required by RTC section 69.5, and is not limited to a physical disability.

The value of the original and replacement primary residences are determined for purposes of calculating the transferrable taxable value as of the date of sale or the date of purchase or completion of new construction, respectively.

Each spouse may transfer a base year value up to three times.

Yes, there is no requirement as to the order of the events.  The requirement is that the two events must occur within 2 years of each other.  ​Please note: If you purchase or construct your replacement dwelling first and sell your original primary residence second, you will be responsible for the increased taxes on your replacement primary residence until your original primary residence is sold.​

No, direct levies like Mello-Roos bonds or school bonds are not covered by Proposition 19.  Proposition 19 only affects the taxable value.

PLEASE NOTE: direct levies vary between properties and this can impact your tax bill substantially.

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