Low-income homeowners tax deferral

From the 2024 DOR Tax Exemption Study

84.37.030 - Low-income homeowners tax deferral Description A homeowner may defer 50% of special assessments and real property taxes if the homeowner: - Owns the house for more than five years and lived in the house as of January 1 of the year taxes are due. - Has a combined disposable income of $57,000 or less in the calendar year prior to filing. - Total amount deferred cannot exceed 40% of the amount of the claimant’s equity value in the residence. - Already paid half of the taxes due for the year. - Has enough fire and casualty insurance to protect the interests of the state. The homeowner can’t defer special assessments or property taxes under the conditions and qualifications for claiming the deferral and can only defer up to 40% of his or her equity in the property. The state reimburses local taxing districts for the local property taxes deferred under this program. Purpose Relieving the property tax burden of persons with limited incomes. Taxpayer ($ in millions): savings FY 2024 FY 2025 FY 2026 FY 2027 State Taxes $0.032 $0.034 $0.036 $0.038 Local Taxes $0.083 $0.087 $0.092 $0.097 Repeal of Repealing this property tax exemption would increase state revenues. Unlike most exe