(1) Notwithstanding the provisions of section 39-3.5-110, when one of the circumstances listed in section 39-3.5-110 (1)(a) or (1)(c) occurs, the spouse of the taxpayer may elect to continue the property in its taxdeferred status if:
The spouse of the taxpayer is or will be sixty years of age or older when the circumstance occurs; and
The property is the homestead of the spouse of the taxpayer and meets the requirements of section 39-3.5-103 (1)(b) and (1)(c).
(1.5) (a) Notwithstanding the provisions of section 39-3.5-110 (1)(a), when a taxpayer who claimed a tax deferral pursuant to this article dies, the loan for deferred real property taxes, including accrued interest, shall not become payable if:
The taxpayer was a person called into military service;
The taxpayer is survived by a spouse; and
The property is the homestead of the surviving spouse and meets the requirementsof section 39-3.5-103 (1)(b) and (1)(c).
(b) If paragraph (a) of this subsection (1.5) applies, a loan for deferred real property taxes, including accrued interest, shall become payable when the spouse of the taxpayer dies, in addition to the events set forth in section 39-3.5-110.
(2) The election granted under subsection (1) of this section shall be filed in the same manner as a claim for deferral is filed under section 39-3.5-102, not later than ninety days from the date the circumstance occurs. Thereafter, the property shall continue to be treated as taxdeferred property, and the county treasurer and state treasurer shall withdraw any action taken under section 39-3.5-111. When the property has been continued in its tax-deferred status by the spouse of the taxpayer, the spouse may continue the property in its tax-deferred status in subsequent years by filing a claim, as provided in section 39-3.5-104, annually if the property continues to be eligible for tax-deferred status.
Source: L. 78: Entire article added, p. 475, § 1, effective February 28, 1979. L. 79: IP(1) and (2) amended, p. 1414, § 8, effective January 1, 1980. L. 2005: (1.5) added, p. 878, § 3, effective June 1.