Have you purchased a home recently? Don’t forget to file for homestead exemption!! You could save thousands on your property taxes! 

What is a homestead?

Texas offers a variety of exemptions for property and property owners. A homestead can be a structure, condominium, or home located on owned or leased land, as long as the individual living in the home owns it. It can also include up to 20 acres of land used for residential purposes and owned by the homeowner. 

 

What is a General Homestead Exemption?

All Texas homeowners may receive a General Residence Homestead Exemption of $25,000 on the value of the property for school taxes by filing with their appraisal district.


Qualifications:

  1. Own the home by January 1st of the year you are applying
  2. Reside in the home as your principal residence on January 1st of the year you’re applying. 
  3. Be an individual, not a corporation
  4. Not claim any other property as homestead
  5. Apply between January 1st and April 30th of the year you want the exemption

 

How to apply:

  1. File an Application for Residential Homestead Exemption with your appraisal district for the $25,000 homestead exemption up to 2 years after the taxes on the homestead are due. Here is a list of appraisal district addresses and phone numbers. Fill out the application for your district, then mail all documents to the Appraisal District for your county. 
  2. Be sure to include a copy of your driver’s license or identification card. Your drivers license must be issued by the Texas Department of Public Safety and the address must match the homestead address.
  3. Your homestead exemption will be denied unless all of the required documents show the same address!

Other Exemptions:

Texas offers a variety of exemptions.

  • School taxes: All residence homestead owners are allowed a $25,000 homestead exemption from their home’s value for school taxes.
  • County taxes: If a county collects a special tax for farm-to-market roads or flood control, a residence homestead is allowed to receive a $3,000 exemption for this tax. If the county grants an optional exemption for homeowners age 65 or older or disabled, the owners will receive only the local-option exemption.
  • Age 65 or older and disabled exemptions: Individuals age 65 or older or disabled residence homestead owners qualify for a $10,000 homestead exemption for school taxes, in addition to the $25,000 exemption for all homeowners. If the owner qualifies for both the $10,000 exemption for age 65 or older homeowners and the $10,000 exemption for disabled homeowners, the owner must choose one or the other for school taxes. The owner cannot receive both exemptions.
  • Optional percentage exemptions: Any taxing unit, including a city, county, school, or special district, may offer an exemption of up to 20 percent of a home’s value. But, no matter what the percentage is, the amount of an optional exemption cannot be less than $5,000. Each taxing unit decides if it will offer the exemption and at what percentage. This percentage exemption is added to any other home exemption for which an owner qualifies. The taxing unit must decide before July 1 of the tax year to offer this exemption.
  • Optional age 65 or older or disabled exemptions: Any taxing unit may offer an additional exemption amount of at least $3,000 for taxpayers age 65 or older and/or disabled.

 

For more information, visit https://comptroller.texas.gov/taxes/property-tax/exemptions/residence-faq.php