The Texas Tax Code, Section 33.06, allows taxpayers 65 years of age or older to defer their property taxes until their estates are settled after death. The tax deferment, like a homestead exemption, is available to qualified homeowners free of charge. You don’t need to pay anyone to help you get these tax breaks.
What is homestead tax deferral?
Under the Homestead Property Tax Deferral Act, any person who is entitled to claim homestead tax exemption under the applicable statute may elect to defer the payment of a portion of the combined total of the ad valorem taxes and any non-ad valorem assessments levied on that person’s homestead.
What happens to your taxes if you get a homestead exemption?
Your property tax bill would equal $2,000. But if you were eligible for a homestead tax exemption of $50,000, the taxable value of your home would drop to $150,000, meaning your tax bill would drop to $1,500. Who Is Eligible for the Homestead Tax Exemption?
When do I get my homestead tax bill?
Once your homestead exemption is approved by the county assessor or appraiser, you should begin receiving any tax benefits offered by the exemption. These are reflected in your next tax bill. If you receive your annual tax bill and the exemptions have not been credited, contact your county assessor for an explanation.
What happens when you defer your property tax?
The tax deferral simply delays when the tax has to be paid. Instead of paying your property tax bill in January of each year, the taxes will be collected when the home is sold or transferred. Interest continues to accrue but the taxing authority won’t pursue collection activities.
Are there homestead exemptions for people over 65?
For those over the age of 65 and those who meet the Social Security Administration definition of disabled, a special Homestead Exemption is available. This exemption decreases the amount of your appraised home value that is assessed for property taxes, making it possible for many homeowners to fit their property taxes into their budgets.
