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Back to HB 1438
Arkansas General Assembly· HB 1438Died in House Committee at Sine Die adjournment.

An act TO AMEND THE STATE INCOME TAX LAWS, the official text

Shown verbatim: the complete text as captured from the official PDF posted by the Arkansas General Assembly, fetched 2026-07-23. Page and line markers are part of the official record; nothing is edited or removed. The official bill page.
Stricken language would be deleted from and underlined language would be added to present law.

1 State of Arkansas                    A Bill
2 95th General Assembly

3 Regular Session, 2025                                           HOUSE BILL 1438

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5 By: Representative Cavenaugh

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8                               For An Act To Be Entitled

9   AN ACT TO AMEND THE STATE INCOME TAX LAWS; TO CREATE

10  AN INCOME TAX CREDIT FOR TAXPAYERS SIXTY-FIVE AND

11  OLDER IN AN AMOUNT EQUAL TO THE TAXPAYER'S PROPERTY

12  TAX PAYMENT ON A HOMESTEAD; AND FOR OTHER PURPOSES.

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15                                     Subtitle

16                       TO CREATE AN INCOME TAX CREDIT FOR

17                       TAXPAYERS SIXTY-FIVE AND OLDER IN AN

18                       AMOUNT EQUAL TO THE TAXPAYER'S PROPERTY

19                       TAX PAYMENT ON A HOMESTEAD.

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21 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS:

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23  SECTION 1. Arkansas Code Title 26, Chapter 51, Subchapter 5, is

24 amended to add an additional section to read as follows:

25  26-51-518. Credit for homestead property tax paid.

26  (a) There is allowed an income tax credit against the income tax

27 imposed by this chapter in the amount determined under subsection (b) of this

28 section for a taxpayer who is at sixty-five (65) years of age or older during

29 the tax year.

30  (b) The amount of the income tax credit allowed under subsection (a)

31 of this section is equal to the amount of real property tax paid by the

32 taxpayer during the tax year on the taxpayer's homestead minus any amount

33 paid by the taxpayer for delinquent property tax or penalties on delinquent

34 property tax during the past year.

35  (c) If the amount of the income tax credit allowed under this section

36 exceeds the taxpayer's income tax liability, the excess shall be refunded to

    *JLL172*                                                   02/10/2025 12:22:10 PM JLL172
                                                HB1438

1 the taxpayer.

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3   SECTION 2. EFFECTIVE DATE. Section 1 of this act is effective for tax

4 years beginning on or after January 1, 2025.

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