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Assembly Says “Yes” To Holden’s Property Tax Break For Seniors (AB 1378)

For immediate release:

Sacramento – The Assembly has overwhelmingly approved legislation authored by Assemblymember Chris Holden (D-Pasadena) that would give California seniors a break on property taxes when they sell their home.

Holden’s AB 1378 would allow those over age 55 or the disabled to transfer the base value of their property to a new residence as long as the new house was in the same county and cost less than the old residence’s sale price. 

“This simple measure will help all California seniors, especially those on a fixed income, handle the growing cost of housing,” said Assemblymember Holden.  “As seniors downsize, divorce or are widowed seniors need to be able to sell their home while retaining their tax base. It just makes sense to close this loophole that can make a difference in the lives of so many taxpayers.”

Currently, California seniors over 55 and disabled adults are permitted to transfer the assessed value of their present home to a new home – but only one spouse or partner can claim the tax transfer. AB 1378 ensures both property owners in a recognized partnership are entitled to the base tax transfer.

The measure has wide bi-partisan support and the backing of the Howard Jarvis Taxpayers Association. It now moves to the Senate for consideration.