Could a Louisiana home held in trust qualify for the homestead exemption?

Plain-English summary

Acadia Parish's assessor asked whether property held in trust could receive Louisiana's homestead exemption. The Attorney General reiterated his office's earlier position: trust property qualified only if the trust's settlor was also a trustee or the settlor's spouse was the principal beneficiary. The property still had to meet the constitutional requirement that the person claiming the exemption own and occupy the home.

The AG did not decide the status of a particular parcel. He said the factual determination belonged to the assessor and could be reviewed by the Louisiana Tax Commission.

Currency note

This opinion was issued in 2001. Subsequent statutory amendments, court decisions, or later AG opinions may have changed the analysis. Treat this page as historical context, not current legal advice. Verify current law before relying on any specific rule, deadline, or remedy mentioned here.

Common questions

Was all trust-held property excluded?
No. The AG described two situations in which it could qualify: the settlor was also a trustee, or the settlor's spouse was the principal beneficiary.

Did the trust relationship alone establish the exemption?
No. The opinion also identified the constitutional owner-occupancy requirement for a bona fide homestead.

Who decided whether a specific property met the facts?
The assessor, subject to review by the Louisiana Tax Commission, according to the opinion.

Background and statutory framework

The opinion applied Article 7, Section 20 of the Louisiana Constitution and earlier AG opinions on trust-held homesteads. Its answer was a stated eligibility rule, with actual property facts left for the assessor.

Citations and references

• Article 7, Section 20 of the Louisiana Constitution
• Attorney General Opinions 97-19 and 97-212

Source

• Landing page: https://www.ag.state.la.us/Opinions
• Original PDF: https://www.ag.state.la.us/Opinion/Download/01-0054

Original opinion text

March 22, 2001
OPINION NUMBER 01-54

4 ASSESSORS
125 TAXATION – HOMESTEAD
Mr. Russel L. Benoit, Assessor
EXEMPTIONS
Acadia Parish
Property held in trust is only entitled to the
Post Office Box 1329
homestead exemption if the settlor of the
Crowley, Louisiana 70527-1329
trust is also one of the trustees or his
spouse is the principal beneficiary of the trust.
Dear Mr. Benoit:

We received your request for an opinion regarding the application of the homestead exemption. You specifically inquire if property held in trust is entitled to the homestead exemption.

Our office has consistently opined that property held in trust is only entitled to the homestead exemption when the settlor of the trust is also one of the trustees or when his spouse is the principal beneficiary of the trust. See Attorney General Opinions 97-19 and 97-212.

Article 7, Section 20 of the Louisiana Constitution provides for the homestead exemption. It sets for the requirements for a bona fide homestead: a tract of land with a residence thereon which is owned and occupied by any person. The property must be occupied as a residence by the owner claiming the exemption. Although a person may have more than one residence, he is only entitled to one homestead exemption. See Attorney General Opinion 96-99. Please note that our office is not in a position to determine whether a particular piece of property is entitled to the homestead exemption. Such a determination is a factual one, which is your responsibility as Assessor. Your decision is, of course, subject to review by the Louisiana Tax Commission.

As such, we reiterate our prior opinions which provide that property held in trust is only entitled to the homestead exemption when the settlor of the trust is also one of the trustees or when his spouse is the principal beneficiary of the trust.

If you have any questions or comments, please contact our office.

Page 2

Mr. Russel L. Benoit
Opinion No. 01-54
Page 2

With kindest regards,

Very truly yours,

RICHARD P. IEYOUB
ATTORNEY GENERAL

BY:
TINA VICARI GRANT
Assistant Attorney General
RPI:TVG:crt

Page 3

Mr. Russel L. Benoit
Opinion No. 01-54
Page 3

OPINION NUMBER 01-54

SYLLABUS

4 ASSESSORS
125 TAXATION – HOMESTEAD EXEMPTIONS

Property held in trust is only entitled to the homestead exemption if the settlor of the trust is also one of the trustees or his spouse is the principal beneficiary of the trust.

Mr. Russel L. Benoit, Assessor
Acadia Parish
Post Office Box 1329
Crowley, Louisiana 70527-1329

DATE RECEIVE: 02/12/01

DATE RELEASED: March 22, 2001

AUTHOR: TINA VICARI GRANT
Assistant Attorney General