35 Miss. Code. R. 6-03-06-103.01

Current through December 10, 2024

Section 35-6-03-06-103.01 - By inheritance

This type of jointly owned property is the result of an inheritance, either with or without a will. The property is considered an estate. An estate is treated as undivided for homestead exemption purposes until the property has been distributed with fee title or life estate to the various heirs. If some part of the undivided estate is distributed to an heir or to a purchaser, that part is removed from the undivided estate. If by exchange of deeds, court decrees, or any other process, each of the heirs is given fee title to parts of the estate, such parts will be taken away from the undivided estate. Undivided estate property claimed for homestead exemption can not be combined with any other land, except in the case of a surviving spouse. A surviving spouse can combine individually owned property with undivided estate property. The property limits of one hundred sixty (160) acres and seven thousand five hundred dollars ($ 7,500) of assessed value will remain.

1. One files

The heirs of the undivided estate can elect to file for one homestead exemption on the entire undivided estate. The requirements for homestead exemption eligibility must be met. The estate must be undivided. If that election is made, all heirs must agree and proof of such is to be attached to the application. The proof needed is Form 72-049, Election to File One Homestead. The form is provided by the Tax Commission. When the election to file for one homestead exemption is made, no other claim may be filed on that undivided estate for that year. The election to file for one homestead exemption does not prohibit the heirs from filing separately in later years.

2. More than one files

Any one of the heirs who meets homestead eligibility requirements can file for homestead exemption on their inherited portion. The home occupied by the surviving spouse has preference over the homes of any other heirs. If the surviving spouse filed for homestead exemption, that portion is deducted from the rest of the undivided estate. The other heirs must share equally in the remainder. If more than one heir files for exemption on the undivided estate, the election to file for one homestead exemption later is not prohibited.

3. EXAMPLES:

a. Husband dies leaving wife and two (2) children. Wife lives on property and all heirs elect to file for one homestead exemption. Title is still held by the estate. Wife remarries. Wife dies leaving husband number 2 living on the undivided estate. Heirs can still elect to file for one homestead with husband number 2 as the applicant.

b. Same details as in number 1 except all heirs have now received their portion of the undivided estate in fee title. Husband number 2 and each child receive full exemption on their portion.

35 Miss. Code. R. 6-03-06-103.01