North Carolina allows low-income homestead exclusions
for qualifying people. Qualifying owners must apply with the Assessor's Office between January 1 and June 1. If you qualify, you can receive an exclusion of either $25,000, or 50% (whichever is greater) of the taxable value of your residence which is determined as of January 1 of the year for which the exclusion is claimed:
Disabled Veterans Homestead Exclusion
- The applicant's name must be on the deed or title to the residence.
- The residence must be the applicant's primary residence.
- The applicant must be:
- A North Carolina resident. 2.
- At least 65 years of age or totally and permanently disabled. Total and permanent disability is a disability that substantially hinders a person from obtaining gainful employment.
- If claiming disability, must provide proof of disability in the form of a certificate from a physician licensed to practice medicine in North Carolina or from a governmental agency authorized to determine qualification for disability benefits.
- Meet the combined spousal income eligibility limit whether both spouses are on title. The income limit for 2012 is $27,100 received from all sources in 2011. Exclusions of some income, such as is allowed for income taxes, do NOT apply.
North Carolina excludes from property taxes the first $45,000 of assessed value for specific real property or a manufactured home which is occupied as a permanent residence by a qualifying owner.
Applicants for this exclusion must meet the following requirements, regardless of age or income:
- Be an honorably discharged veteran who has a 100% total and permanent disability that is service-connected or be the unmarried surviving spouse of a qualifying veteran.
- Be certified by the U.S Department of Veterans Affairs of the permanent total disability that is service-connected.
- Be a qualifying veteran with specially adapted housing per 38 U.S.C. 101.
There is no age or income requirement.
Property Tax Deferral for the Elderly or Totally and Permanently Disabled (“Circuit Breaker”)
This program is available instead of Homestead Exclusion for elderly or disabled homeowners whose income does not exceed 150% of the income eligibility limit* for the Homestead Exclusion.
As of January 1 of the year for which the deferral is claimed, the applicant must:
- Meet the requirements as stated in the Homestead Exclusion for age or disability.
- Must have owned and occupied the property as the owner's permanent legal residence for five (5) years.
- Must be a North Carolina resident.
- For married applicants residing with their spouses, include the income from both spouses, whether or not the property is in both names.
- All owners of the property must apply and elect to defer the applicable portion of their taxes.
- A new application is required annually.
Unlike the exclusion, which reduces taxes owed (by excluding part of the value on which the tax is based), deferral postpones (defers) paying a portion of taxes due in one year to some future time, such as: sale of the property, the property no longer being the applicant's primary residence, or the death of the applicant with no surviving spouse.
In order to receive relief for 2012 property taxes, applications must be filed (received or postmarked) by June 1, 2012 as provided under North Carolina statute. You may call for further assistance.
Applications are available by calling 311, or by selecting the online application form