Requirements and Guidelines for Propositions 58 and 193

1. The principal place of residence must have been granted a Homeowners' Exemption or Disabled Veterans' Exemption before the transfer. This residence need not be the new principal residence of the person that acquired the property.

2. No limit is placed on the assessed value of a principal residence that may be excluded from reassessment.

3. In addition to tax relief on the principal residence, you may claim an exclusion on transfers of other real property with an assessed value of up to $1,000,000.

4. The $1,000,000 exclusion applies separately to each eligible transferor. A $2,000,000 limit applies to community real property of an eligible married couple.

5. Transfers by sale, gift, or inheritance qualify for the exclusion.

6. Transfers between parents and children as individuals, from grandparents to grandchildren as individuals, between joint tenants, from trusts to individuals, orfrom individuals to trusts may qualify for the exclusion. Transfers from grandchildren to grandparents are not eligible for this tax relief.

7. Transfers of ownership interests in legal entities, aside from most trusts, do not qualify for the exclusion.

8. A claim must be filed within 3 years after the date of purchase or transfer for which the claim is filed or prior to transfer to a third party, whichever is earlier, or within 6 months after the mailing of the notice of supplemental or escape assessment, issued as a result of the transferforwhich the claim is filed. Untimely filed claims are subject to certain conditions, i.e., the property must not have transferred or resold to a third party and the claim will only apply to future tax years.

9. If reassessment of your property occurs before the approval and processing of your timely filed claim, the reassessment may be reversed. In these situations, a corrected tax bill andlor a refund will be processed.