To assist taxpayers, below are comparison charts reflecting the effects of Proposition 19 .
PARENT-CHILD & GRANDPARENT-GRANDCHILD EXCLUSION
Former Law
Proposition 19 (Current Law)
Principal Residence
Principal residence of transferor
No value limit
Residence and homesite (excess land may be excluded as “other property”)
Principal residence of transferor and transferee
Value limit of current taxable value plus $1,000,000 (as annually adjusted)
Family homes and farms
Other Real Property
Transferor lifetime limit of $1,000,000 of factored base year value
Eliminates exclusion for other real property other than the principal residence
Grandparent-Grandchild Middle Generation Limit
Parent(s) of grandchild, who qualifies as child(ren) of grandparent, must be deceased on date of transfer
No change: parent(s) of grandchild, who qualifies as child(ren) of grandparent, must be deceased on date of transfer
Filing Period
File claim within 3 years or before transfer to third party
File for homeowners’ exemption within 1 year of transfer
Implementing Statute
Revenue & Taxation Code section 63.1 (implements Propositions 58/193)
Important Dates
Through February 15, 2021
Effective February 16, 2021
BASE YEAR VALUE TRANSFER – PERSONS AT LEAST AGE 55/DISABLED
Former Law
Proposition 19 (Current Law)
Type of Property
Timing
Purchase or newly construct residence within 2 years of sale
Purchase or newly construct residence within 2 years of sale
Location of Replacement Home
Value Limit
100% if replacement purchased/new construction prior to sale
105% if replacement purchased/new construction in first year after sale
110% if replacement purchased/new construction in second year after sale
Any value
Amount above 100% is added to transferred value
How many transfers?
One time
Exception: After using once for age, second time for subsequent disability
Implementing Statute
Revenue & Taxation Code section 69.5 (implements Propositions 60/90/110)
Important Dates
BASE YEAR VALUE TRANSFER – INTRACOUNTY DISASTER RELIEF
Former Law
Proposition 19 (Current Law)
Type of Property
Timing
Purchase or newly construct property within 5 years of disaster
Purchase or newly construct residence within 2 years of sale
Location of Replacement Property
Value Limit
Any value
Amount above 120% is added to transferred value
Any value
Amount above 100% is added to transferred value
Type of Disaster
Disaster for which the Governor proclaims a state of emergency
Wildfire, as defined, or natural disaster as declared by the Governor
Implementing Statute
Revenue & Taxation Code section 69 (implements Proposition 50)
Important Dates
BASE YEAR VALUE TRANSFER – INTERCOUNTY DISASTER RELIEF
Former Law
Proposition 19 (Current Law)
Type of Property
Timing
Purchase or newly construct principal residence within 3 years of disaster
Purchase or newly construct principal residence within 2 years of sale
Location of Replacement Home
Value Limit
105% if purchased/new construction in first year after disaster
110% if purchased/new construction in second year after disaster
115% if purchased/new construction in third year after disaster
Any value
Amount above 100% is added to transferred value
Type of Disaster
Disaster for which the Governor proclaims a state of emergency
Wildfire, as defined, or natural disaster as declared by the Governor
Implementing Statute
Revenue & Taxation Code section 69.3 (implements Proposition 171)
Important Dates
Note: The information presented is intended to provide general and summary information about Proposition 19. It is not intended to be a legal interpretation or official guidance or relied upon for any purpose, but is instead a presentation of summary information. If there is a conflict between the information presented and the text of the proposition or its implementation, the text of the proposition or legal interpretation will prevail. It is highly encouraged that you consult an attorney for advice specific to your situation.
Source: BOE
