Nevada lawmakers introduce AB 377 for partial property tax abatements

The Nevada State Legislature convened on March 10, 2025, to introduce Assembly Bill 377, a legislative proposal aimed at revising provisions related to real property tax abatements. Sponsored by Assemblymembers Gallant, Gurr, D'Silva, Gray, Cole, DeLong, Hibbetts, Koenig, and O'Neill, along with joint sponsors Senators Buck, Doñate, Ellison, and Stone, the bill has been referred to the Committee on Revenue for further consideration.

The primary purpose of Assembly Bill 377 is to enhance the existing framework for property tax abatements in Nevada. Currently, partial abatements are available for single-family residences that serve as the primary residence of the owner and for residential rental dwellings that meet specific rental criteria. The proposed bill mandates that the Nevada Tax Commission include a new section in the declaration of value form, allowing property owners to claim these partial tax abatements directly when filing property transfer documents with the county recorder.

Key provisions of the bill aim to streamline the process for property owners seeking tax relief, potentially easing the financial burden on homeowners and landlords. The fiscal note accompanying the bill indicates that it may have a financial impact on local governments and the state, although specific details regarding the extent of this impact remain to be clarified.

Debate surrounding Assembly Bill 377 has focused on its implications for local government revenue and the potential benefits for homeowners. Supporters argue that the bill will provide much-needed financial relief to residents, particularly in a time of rising property values and taxes. However, some opposition has emerged, with concerns raised about the long-term effects on local budgets and the sustainability of tax revenue.

As the bill progresses through the legislative process, experts suggest that its passage could lead to significant changes in how property taxes are assessed and collected in Nevada. If enacted, Assembly Bill 377 may not only alter the landscape of property taxation but also influence housing affordability and economic conditions within the state.

In conclusion, Assembly Bill 377 represents a notable effort by the Nevada State Legislature to address property tax issues, with potential implications for both homeowners and local governments. As discussions continue, stakeholders will be closely monitoring the bill's developments and its anticipated effects on the community.