Texas Homestead Tax Exemptions

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taxTax Exemptions, Another Great Reason to Move2SA

A great reason to move and stay in Texas is the Homestead Exemption. I was speaking with a client recently, and he thought only 65 and older or disabled veterans got those exemptions in Texas. That’s true but wait there’s more! You can file for the home you’ve lived in on Jan 1st of the year.

You can goto the Texas Comptroller’s webpage for this but I pulled out the main details.

You can only claim your primary residence. No beach houses, 2nd homes, or rentals. That residence can be a house, condominium, or manufactured home.  The property can be up to 20 acres.  So long as you live in it.

Available Exemptionstax exempt

Now this I copied and pasted because I don’t want to you to misunderstand anything. It’s best to take this info to your County Tax Assessor/Office and ask them exactly how to apply these exemptions. That means paperwork, but for a $100 I’d make a trip down to the county tax office.

  • School Taxes:  All residence homestead owners are allowed a $25,000 homestead exemption from their home’s value for school taxes.
    • YES! That means YOU!
  • 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.
    • Keyword in there “optional” if the county wants to offer it.
  • 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.SA300-4Initiatives-map
    • One or the other, you can’t take both.  I’m surprised they didn’t include disabled veterans here.  Maybe it’s county by county, but Bexar has a 100% exemption for 100% disabled vets.  Here’s a link to the Bexar County Homestead Exemption Application.
  • 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.

    • Keyword again “optional”. Not every county needs to offer these but it doesn’t hurt to ask.

Since we buy and sell houses outside San Antonio and Bexar county here’s a link to the County Appraisal Districts.

Download this application for the $25,000 school exemption and take it with you when you go to the appraisal district.

So there you go. Another great reason to Move2SA! And STAY!