The Homestead benefit is limited to residential property. If you are eligible at the time of your settlement we will have you complete the form at closing and file it together with the deed.
- An application must be on file with the Office of Tax and Revenue;
- The property must be occupied by the owner/applicant and contain no more than five dwelling units (including the unit occupied by the owner); and
- The property must be the principal residence (domicile) of the owner/applicant.
If a properly completed and approved application is filed from October 1 to March 31, the property will receive the Homestead benefit for the entire tax year (and for all tax years in the future). If a properly completed and approved application is filed from April 1 to September 30, the property will receive one-half of the benefit reflected on the second-half tax bill (and full deductions for all tax years in the future).
This benefit reduces your real property’s assessed value by $70,200 prior to computing the yearly tax liability.
Likewise, when you sell a property it is important to cancel your Homestead Credit within 30 days.
If you have questions regarding other tax credit programs please use this link to frequently asked questions.