One of the great benefits of owning a home is being able to take advantage of the tax exemptions associated with homeownership, such as your homestead exemption.
This year brings new changes to the filing process which allows homeowners to file in the same year they purchased their home. Whether you're a seasoned homeowner or purchasing your first home, we've compiled everything you need in one place to successfully file your homestead exemption.
What does it mean to have a homestead tax exemption and why should you file for it?
A homestead tax exemption is designed to reduce the taxable value of your property, which in turn reduces the amount of taxes you pay on your home annually.
A homestead can be a separate structure, condominium, or manufactured home located on owned or leased land, as long as the individual living in the home owns it. A homestead can include up to 20 acres if the land is owned by the homeowner and used for a purpose related to the residential use of the homestead.
What’s new for 2023?
Up until 2022, if you purchased a home, it had to be closed and funded by December 31st to qualify for the next year. In example, you had to own the home as of December 31st, 2021 to qualify for 2022 Homestead exemptions.
Now, you are able to apply for your homestead exemption as soon as you have your driver’s license changed into your home’s address. This has made it much easier for you to qualify and allows you to take advantage of the homestead exemption, no matter when you purchase during the calendar year.
Details on Property Taxes in Texas
Real Estate is taxed each year by a variety of jurisdictions in your area. Typically, entities such as a county, city, and school district tax property. Hospital, community college, or other special taxing districts may levy additional taxes.
Under the present property tax system, the determination of property values is the responsibility of an appraisal district. Your property is assigned a single appraised value, which is sent to all applicable taxing jurisdictions. The jurisdiction then applies the tax rate, as set by its governing body, to the appraised value.
If you aren’t sure which district you belong to, here is contact information for the common districts here in DFW:
Collin County Appraisal District: 469-742-9200
Dallas County Appraisal District: 214-631-0910
Denton County Appraisal District: 940-349-3800
Rockwall County Appraisal District: 972-771-2034
Tarrant County Appraisal District: 817-284-0024
Property Texas Exemptions
Several forms of property tax relief are available in Texas. Examples of exemptions include:
- Homestead
- Age 65 or Older or Disabled Persons
- Disabled Veterans and Surviving Spouses of Disabled Veterans
- Surviving Spouses of First Responders Killed in the Line of Duty
For more information on the specific property tax exemptions in Texas, visit https://comptroller.texas.gov/taxes/property-tax/exemptions/.
Applying for exemptions is the taxpayer’s responsibility. It is also important to be wary of imposters and scammers claiming to file on your behalf. You can file easily, and FOR FREE, on your county’s CAD website using the links below. Each site will have the necessary forms and instructions to file your homestead exemption.
Collin County: www.collincad.org
Dallas County: www.dallascad.org
Denton County: www.dentoncad.com
Tarrant County: www.tad.org
Rockwall County: www.rockwallcad.com
On January 1st, value, ownership, legal description of the taxable property and exemption status on the taxpayer are determined. To receive your exemption(s), you must own and occupy the property as of January 1st. The deadline for filing is April 30th.
We hope this information makes filing your homestead exemption easier. If you have any questions, simply fill out the form below or give us a call at 972-608-0777. Happy filing!
