A Missouri law, if passed, could put an end to a taxing practice that has cost some Camden County homeowners thousands of dollars.
A bill filed in the Missouri House yesterday would require counties to tax vacation rental homes—those rented on a short-term basis—at a residential rate. In Camden County, outgoing Assessor Kayla Henry has been reassessing homes that are rented on a transient basis at a commercial rate, which has dramatically increased property taxes for those homeowners. Henry says she was continuing the practice begun by the previous assessor, Eddie Whitworth. She was narrowly beaten by challenger Marty McGuire in the November 2016 election. McGuire will take office this fall, and he has promised to end the unpopular reassessment practice.
District 123 Representative Diane Franklin introduced the bill for its first reading on the Missouri House floor, on Tuesday, Jan. 17.
LAKE OF THE OZARKS, Mo. -- A proposed state law could remove a major roadblock for Missouri …
“I filed HB 632 to protect homeowners who want to rent their homes to others for a short period of time. Many people in our area, and throughout our state, purchase homes as an investment or maybe as a home to someday retire in, but in the meantime choose to rent it to vacationers to help offset the investment” Representative Franklin said. “This legislation does one thing and one thing only. It states that a home, regardless if the homeowner lives in it year round or decides to rent it to others, must be assessed at a residential rate.”
Franklin said her bill would also protect those homeowners from other government regulations and requirements, by putting them at a residential rate. She pointed out many people had expressed concerns that once their home was assessed at a commercial rate, it would open the door for them to be subject to commercial-type regulations.
Stone and Taney counties, which encompass the Branson and Table Rock Lake area, also tax vacation rental homes at a commercial rate, though each county has created its own unique calculation and procedures for doing so, which differ from Camden County's.
“Vacation home rentals are big in the State of Missouri, and especially in our area. My legislation will protect the homeowner’s right to continue to do with their property as they wish without an increased tax burden and fear of more government regulation. These homeowners contribute a great deal to our economy and I am just trying to help protect their investment and basic property rights,” Franklin ended
