Income-Producing Property

Personal property may be excluded whenever that property annually produces income consistent with its FMV.

Deductions are not subtracted before the FMV is determined.

Use the newspaper or on-line classified ads, local tax assessors, local realtors, the Small Business Administration, or the Farmers’ Home Administration to determine the rate of rental for similar property.

Note: This monthly rate is determined only for the months in which the property is income producing.

Example Example Ms. Grey owns a 1969, 24-foot trailer in Mt. Shasta. She rents it out during the winter and the summer, and uses it during the spring and the fall. Ms. Grey states that she rents the trailer for a total of eight months during the year at $250 a month. Ms. Grey brings a newspaper clipping indicating that an older 24-foot trailer in Mt. Shasta rents at $235 to $265 per month, not including utilities, for six months out of the year. The receipt of rent is verified. The property is determined to be annually producing income consistent with its FMV and is exempt as a property for the entire year. The case is documented to verify how the determination was made. 

Note: Income received from income-producing property is treated as self-employment income. Expenses allowed include, but are not limited to: Interest on Payments, Taxes and Insurance. 

Indian Payments - General Exemptions

The following payments are exempt as property.

EXEMPTION ADDITIONAL INFORMATION OR RESTRICTIONS
Indian Trust or Restricted Land payments Exempt up to $2,250 per person in each calendar year.
Old Age Assistance funds Exempt amounts of $2,250 or less paid to the heirs of deceased Native Americans under the Old Age Assistance Act (PL 98-500, Sec. 8).
Indian Child Welfare Act Child and Family Service Grants

Includes grants for:

  • Family assistance
  • Day care
  • After school care
  • Respite care
  • Recreational activities
  • Home improvement
  • Employment of domestic relations and child welfare personnel
  • Education and training.
Indian Claims Commission judgment or Claims Court payments

Issued under Public Law (PL) 93-134, PL 97-458, or PL 98-64. Funds must have been:

  • Distributed in payments of $2,250 or less per person, or
  • Held in trust according to an approved plan, or
  • As of 1/12/83, to have been distributed in payments of $2,250 or less per person, or
  • Distributed according to a plan approved by Congress from 1/1/82 through 1/11/83 (exempt also any purchases made with this money), or
  • Trust fund payments of $2,250 or less per person from funds held in trust by the Secretary of the Interior.

Tribal Exemptions

Payments issued to members of the following tribes are exempt as property.

TRIBAL GROUP/NATION APPLICABLE FEDERAL LAW
Alaskan Natives

Alaska Native Claims Settlement Act under:

  • PL 92-203, Sec. 29, or
  • PL 100-24, Sec. 15, or
  • Sac and Fox Indian Claims Agreement PL 94-189, Sec. 6.
Apache Tribe of the Mescalero Reservation Payments from the Indian Claims Commission under PL 95-433, Sec. 2.
Assiniboine Tribe PL 94-114, Sec. 6 payments of sub-marginal land held in trust by the U.S.
Assiniboine Tribes, Montana PL 97-408
Assiniboine Tribe of the Fort Belknap Indian Community and the Fort Peck Indian reservation, Montana PL 98-124, Sec. 5
Bad River Band of the Lake Superior Tribe of Chippewa Indians of Wisconsin PL 94-114, Sec. 6 payments for sub-marginal land held in trust by the U.S.
Blackfeet Tribe

PL 97-408

PL 94-114, Sec. 6 payments for sub-marginal land held in trust by the U.S.
Cherokee Nation of Oklahoma PL 94-114, Sec. 6 payments for sub-marginal land held in trust by the U.S.
Cheyenne River Sioux Tribe PL 94-114, Sec. 6 payments for sub-marginal land held in trust by the U.S.
Chippewas of Lake Superior PL 99-146, Sec. 6(b) PL 99-377
Chippewas of the Mississippi PL 99-146, Sec. 6(b) PL 99-377
Crow Creek Sioux Tribe PL 94-114, Sec. 6 payments for sub-marginal land held in trust by the U.S.
Devils Lake Sioux Tribe PL 94-114, Sec. 6 payments for sub-marginal land held in trust by the U.S.
Fort Belknap Indian Community PL 94-114, Sec. 6 payments for sub-marginal land held in trust by the U.S.
Fox Claim agreement payments under PL 94-189
Grand River Band of Ottawa PL 94-540
Grosventre PL 97-408
Hopi PL 93-531, Sec. 22
Independent Seminole Indians of Florida Payments of $2,250 or less per person to satisfy a judgment of the Indian Claims Commission (PL 101-277)
Indian Tribal Members PL 94-114, Sec. 6 payments for sub-marginal land held in trust by the U.S.
Keweenaw Bay Indian Community PL 94-114, Sec. 6 payments for sub-marginal land held in trust by the U.S.
Lac Corte Oreilles Band of Lake Superior Chippewa Indians PL 94-114, Sec. 6 payments for sub-marginal land held in trust by the U.S.
Lower Brule Sioux Tribe PL 94-114, Sec. 6 payments for sub-marginal land held in trust by the U.S.
Miccosukee Tribe of Indians of Florida Payments of $2,250 or less per person to satisfy a judgment of the Indian Claims Commission (PL 101-277)
Minnesota Chippewa Tribe PL 94-114, Sec. 6 payments for sub-marginal land held in trust by the U.S.
Navajo

PL 93-531, Sec. 22

PL 94-114, Sec. 6 payments for sub-marginal land held in trust by the U.S.
Oglala Sioux Tribe PL 94-114, Sec. 6 payments for sub-marginal land held in trust by the U.S.
Papago Tribe, Arizona PL 97-408
Passamaquoddy Maine Indian Claims Settlement Act of 1980 (PL 96-420, Sec. 9 c)
Penobscot Maine Indian Claims Settlement Act of 1980
Puyallup Tribe Puyallup Tribe of Indians Settlement Act of 1989 (PL 101-41, Sec 10(b) and (c)
Red Lake Band of Chippewa Indians PL 98-123
Rosebud Sioux Tribe PL 94-114, Sec. 6 payments for sub-marginal land held in trust by the U.S.
Sac Claim agreement payments under PL 94-189
Saginaw Chippewa Indians of Michigan PL 99-346, Sec. 662
Seminole Nation of Oklahoma Payments of $2,250 or less per person to satisfy a judgment of the Indian Claims Commission (PL 101-277)
Seminole Tribe of Florida Payments of $2,250 or less per person to satisfy a judgment of the Indian Claims Commission (PL 101-277)
Seneca Nation Seneca Nation Settlement Act of 1990 (PL 101-503, Sec. 8[b])
Shoshone-Bannock Tribe PL 94-114, Sec. 6 payments for sub-marginal land held in trust by the U.S.
Sioux Tribe PL 94-114, Sec. 6 payments for sub-marginal land held in trust by the U.S.
Standing Rock Sioux Tribe PL 94-114, Sec. 6 payments for sub-marginal land held in trust by the U.S.
Turtle Mountain Band of Chippewas, Arizona PL 97-403
Yakima Payments from the Indian Claims Commission under PL 95-433, Sec. 2
White Earth Band of Chippewa Indians, Minnesota White Earth Reservation Land Settlement Act of 1985 (PL 264, Sec. 16)

Related Topics

Countable Resources

Exempt Personal Property

Vehicle

Motor Vehicles