If you’re a senior aged 65 or older living in Colorado, you may qualify for property tax exemptions to help lower your tax bill.
Property taxes can be a major financial burden, especially if you’re already retired. But thanks to property tax exemptions for seniors in Colorado and other states, there are multiple ways to save money on this tax, leaving more for your retirement.
To help you take advantage of available resources, this article will cover:
- Types of property tax exemptions for seniors
- Eligibility requirements
- Application process basics
Colorado Property Tax Exemptions for Seniors Over 65
We Coloradoans have it pretty good when it comes to property taxes, ranking in the top 5 for lowest property taxes in the country. And for seniors who meet certain requirements, Colorado offers property tax exemptions that could save you even more. Depending on the value of your home, you could save hundreds of dollars per year.
Senior Property Tax Exemption
For those who qualify, 50% of the first $200,000 in actual value of their primary residence is exempted, for a maximum exemption amount of $100,000 in actual value. The State of Colorado pays the property taxes on the exempted value. For example, if your home was valued at $200,000, the exemption would reduce the taxable value to $100,000. If your home was valued at $500,000, the taxable value is reduced to $400,000.
Surviving Spouse Property Tax Exemption
You can also apply for the exemption if you’re the surviving spouse of a senior who previously qualified (or would have qualified). The surviving spouse must be at least 58 years old and must have occupied the home as a primary residence for at least 10 consecutive years prior to application.
Use this property tax calculator to estimate your potential annual savings.
What’s the Deadline for Full Property Tax Exemption for Seniors in Colorado?
The deadline to apply for the exemption for tax year 2023 (payable in 2024) is July 15th. To apply, you can fill out an application form and submit it to your county tax assessor’s office before the deadline.
Do I Qualify for Senior Property Tax Exemptions in Colorado?
To qualify for senior property tax relief in Colorado, you must meet certain eligibility requirements:
- Be aged 65 or older before January 1 of the year you apply
- Have owned and lived in your home (as your primary residence) for at least ten consecutive years*
*Ownership can be sole or joint. If ownership is joint, at least one owner must be 65 or older.
How to Apply for Property Tax Exemptions for Seniors in Colorado
Here’s what you can expect when you apply:
- You will need to provide proof of age (65+) such as a copy of your driver's license, birth certificate, or passport
- You will also need records showing the property is your primary residence, such as utility bills
- Depending on your county of residence, you may need to submit your application online, via mail, or in person
- Once approved, it remains in place until there is a change in ownership
Find your county’s program for details on how to apply. Application for Denver city and county.
Property Tax Exemptions for Seniors in Other States
Even if you’re not lucky enough to live in Colorado (yes, we’re biased), you may still be able to save money on property taxes. Multiple states have property tax relief programs for seniors, including California, Florida, Texas, and South Dakota.
The eligibility requirements for property tax exemptions for seniors vary by state, but most have at least a minimum age requirement Here’s a quick overview of some states that offer property tax exemptions for seniors:
- South Dakota - Individuals 65 years old or older or disabled may qualify for a property tax freeze
- Washington - Washington state residents aged 61 or older may be eligible for certain property tax exemptions
- Florida - Florida residents who are 65 years or older may qualify for homestead exemptions
- California - The state’s program allows homeowners who are seniors, are blind, or have a disability to postpone current-year property taxes. Check your individual county for programs with better terms.
- Texas - Individuals who are 65 years old or older may qualify for Texas’ senior property tax homestead exemption
- Tennessee - Tennessee state law provides for property tax relief for low-income elderly and disabled homeowners, as well as disabled veteran homeowners or their surviving spouses
This summary is non-comprehensive - check with your local tax administration office for available programs in your area, plus specific requirements and application processes.
The senior property tax exemption allows qualified individuals to save a meaningful amount on their property taxes each year. If you’re already retired, these benefits can help make home ownership more affordable.
And if you’re not ready to retire just yet, bookmark this for later! With a bit of financial knowledge and some advance planning, you can enter your retirement with greater financial security and stability.
Want to get more tax tips? Download Tax Tips Every Investor Should Know right here.
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