Rep. Norris moves to simplify homestead refunds by using federal AGI

Representative Norris told the House Taxes Committee that House File 23‑03 would replace the lengthy household income definition in statute with federal adjusted gross income (AGI) to determine eligibility and refund amounts for homestead property tax refunds.

Norris said the change would simplify compliance — the household income definition currently spans multiple pages of statute — and would increase refunds for the majority of filers, particularly seniors and people with disabilities. The sponsor cited nonpartisan estimates that about two‑thirds of current homeowners receiving refunds would receive an average increase of roughly $370 and that approximately 58,000 additional taxpayers would become eligible.

Norris said the bill was inspired by a constituent, Sharon Schrader, whose letter describing an unexpected audit and complexity in calculations was included in committee packets. The sponsor said similar moves to use AGI have occurred across other credits and aids in recent years, including the renter’s credit.

Nonpartisan staff and members noted the bill’s potential fiscal cost and that this session the change may prompt broader budget conversations. Representative Norris renewed his motion and HF 23‑03, as amended, was laid over for possible inclusion in the 2026 omnibus tax bill.

What’s next: The committee will hold the bill and consider fiscal notes and timing as the omnibus negotiation progresses.