ABOUT THE HOMEOWNERS EXEMPTION
The homeowner’s exemption is a program that reduces property taxes for individuals who own and occupy their home as their primary residence. This done by reducing the net taxable value of the home and up to one acre of land by half, or up to $100,000 worth of exemption; whichever is less. Beginning in 2017 the maximum homeowner’s exemption reduction was set at an even $100,000 and will remain at this amount until the legislature changes it. Once you apply and qualify for this exemption, you only have to reapply if you move or if the ownership changes.
To qualify, applicants must own, occupy and use the dwelling as their primary residence per Idaho Code 63-602G. The application may be filed any time after your purchase, move in and make the home your primary residence but must be filed by April 15th to receive the exemption for the current year. Applications are not available online or at the title companies, just come by the Assessor’s Office in the Court House and we will help you with the process.
The exemption will be extended to all newly constructed and occupied residential structures, including new manufactured housing, if the owner applies for and meets the requirements for such exemption within thirty (30) days of notification of appraisal by the assessor, according to Statute 63-317.
WHAT HAPPENS AFTER MY APPLICATION IS APPROVED?
When the application is approved, the exemption is permanent as long as you own and occupy the property. If the property is sold, the new owner must file an application with the Assessor’s office.
Notices of approval are not sent to homeowners; to verify that your exemption has been processed please review your annual assessment notice. If you believe there is an error pertaining to your exemption contact our office at 208-587-2126 Ext 507.
A property owner may keep the homeowner’s exemption and lease their residence due to their absence by reason of active military service per Idaho Code 63-602G(7). The active duty member must fill out and sign a new application each year by April 15th or the homeowner’s exemption will be removed. The homeowner’s exemption will be removed upon separation from active duty service or retirement.
WHAT IS THE APPLICATION DEADLINE?
The statutory deadline for filing an application for Homeowner’s Exemption is April 15th of the current year.
If your home is newly constructed and no one has ever lived in the home prior to you, the April 15th deadline may not apply. In this case you must apply for the homeowner’s exemption within 30 days of being notified by the Assessor that the home has been appraised. Applications received later will be considered for the following tax year.
TRUSTS AND LLC’S
If you place your home in a Trust or LLC, you may need to reapply for a homeowner’s exemption. It is also necessary to provide the Assessor’s Office with documentation stating who is in control of the Trust or LLC per Idaho Code 63-703(4). The easiest way to do this is bring all of your Trust or LLC documents to the Assessor’s Office. Staff will only make copies of the pages necessary to comply with Idaho code.
WHAT ELSE DO I NEED TO KNOW ABOUT THE HOMEOWNER’S EXEMPTION?
Many taxpayers wait until the last minute to apply for these exemptions. Others fail to qualify because they misunderstand the law’s guidelines and deadlines. We suggest you apply for you homeowner’s exemption as soon as possible to forgo any potential problems down the road.