How to get a break on your property taxes in Texas before the April 30 deadline
Property taxes can take a big bite out of your budget, but you may not have to pay the full amount. In North Texas, homeowners can apply for a homestead exemption and several other tax breaks that can lower their bill.
The deadline to apply for property tax exemptions is April 30, according to the Tarrant Appraisal District.
Here’s how to avoid paying more than you need to.
What property tax exemptions are available in Texas?
The most common is the homestead exemption, which lowers the taxable value of a home.
To get it, you must own the home and live in it as your primary residence, according to the Tarrant Appraisal District.
If a home was passed down, there’s an heir property homestead exemption that lets the full property qualify, not just your share.
At least one owner has to live there, and the home must have been transferred through a will, a transfer on death deed, or without a will.
Additional exemptions are available for people 65 or older or who have a qualifying disability. These exemptions can also place a ceiling on certain taxes so they don’t keep increasing year after year.
For veterans, it comes down to your disability rating. If you’re rated 100% disabled or considered unemployable, you may qualify for a full exemption on your home.
If your property is used for farming or ranching, you could get a special appraisal based on productivity instead of market value, which can significantly lower what you owe. The land has to be actively used for that purpose to qualify.
Can I lower my bill if I don’t qualify for an exemption?
If you don’t qualify for an exemption, your main option is a tax deferral.
A deferral doesn’t lower your bill, but it can delay when you have to pay if your home’s value increased by more than 5% compared to last year, according to the Tarrant Appraisal District.
That can help in the short term, but the taxes don’t go away. Interest continues to build on the unpaid amount, usually around 8% per year.
For homeowners who are 65 or older, disabled, or disabled veterans, the interest rate is lower, around 5%, and collection efforts are paused during the deferral.
The unpaid balance stays tied to your property, which means it will still have to be paid later.
