What are Props 60 and 90?
What are propositions 60 and 90?
They are constitutional initiatives passed by California voters. They provide property tax relief by preventing reassessment when a senior citizen sells his/her existing residence and purchases or constructs a replacement residence worth the same or less than the original.
Why were they enacted?
They encourage a person, age 55 or older to "move down" to a smaller residence. When a senior citizen acquires a replacement property worth less than the original property, he/she will continue to pay approximately the same amount of annual property taxes as before.
How do these propositions work?
When the senior citizen purchases or constructs a new residence, it is not reassessed, if he/she qualifies. The Assessor transfers the factored base value of the original residence to the replacement residence. Proposition 60 originally required that the replacement and the original be located in the same county. Later, Proposition 90 enabled this to be modified by local ordinance. Los Angeles County enacted an ordinance to provide that when the replacement is located in Los Angeles County, the original property may be located in any other California county.
The seller of the original residence, or spouse who resides with the seller, must be at least 55 years of age at the time of the sale.
When are these propositions effective?
The replacement residence must have been purchased or constructed on or after November 5, 1986 if the original was located in Los Angeles County. The replacement residence must have been purchased or constructed on or after November 9, 1988 if the original was located in any other California county. Claims must be filed within three years following the purchase of the replacement residence.
Where are claims forms available?
The seller of the original residence, or spouse who resides with the seller, must be at least 55 years of age at the time of the sale. They are distributed at Assessor's public counters, in Room 225 of the Kenneth Hahn Hall of Administration, and in regional offices. If you need additional information, call (213) 893-1239.