Register of Deeds will be closed December 5, 6 and 9, 2019, to move to a larger space across the hall from its current offices within the Catawba County Justice Center.

Tax Relief

Applying for Tax Relief

North Carolina offers three (3) Property Tax Relief Programs. They are as follows:

  • Elderly or Disabled Homestead Exclusion
  • Disabled Veteran Homestead Exclusion
  • Circuit Breaker Homestead Tax Deferment Program

You may choose ONLY ONE of programs which apply to you. There is 1 application which may be used for each of the 3 programs. An application should be filed NO LATER THAN June 1 of each year.

APPLY HERE

The Elderly or Disabled Exclusion provides property tax relief for qualified North Carolinians who are age 65 and over or are totally and permanently disabled. This exclusion provides a deduction from property taxes of up to one-half of your home's assessed value plus your homesite, up to, but no more than, one (1) acre of land, or $25,000 (whichever is greater).

Example:

Appraised Value

Discount

Taxable Value

Dwelling Value

$100,000

50% (-$50,000)

$50,000

Land Value

$10,000

50% (-5,000)

$5,000

Total

$110,000

50% (-$55,000)

$55,000

Your tax bill may be calculated using the following formula:

Taxable Value ÷ 100 x the combined tax rate = Tax Bill Amount

Please note: This example is a comparative guide and is provided as a general informational tool only. The tax rate is established during the month of June each year.

You may be qualified for the Homestead Exemption if:

  • You are AT LEAST 65 YEARS OLD on January 1st of the tax year in which you wish to claim the Exclusion; AND
  • Your household income DID NOT EXCEED the income limit stated in the current year's application for the year prior to which an application is made; AND
  • You own your home as of January 1st of the year of application and are a PERMANENT RESIDENT of Catawba County.
  • OR
  • You are deemed totally and permanently disabled by a licensed physician or governmental agency (FORM AV-9A REQUIRED); AND
  • Your household income DID NOT exceed the income limit stated in the current year's application for the year prior to which an application is made; AND
  • You own your home as of January 1st of the year of application and are a PERMANENT RESIDENT of Catawba County.

JOINT OWNERS (other than husband and wife) who meet all requirements may be eligible for a partial exemption not to exceed their proportionate share of the valuation of the property.

It includes your dwelling and the dwelling site (not to exceed 1 acre). The dwelling may be a single-family residence, a unit in a multi-family complex, or a manufactured home.

For this exemption, the qualifying homeowner may submit an application by mail to: ASSESSOR'S OFFICE ATTN: CHO LOR, BOX 368, NEWTON, NC 28658-0368 or in person at the Tax Department. To make an appointment or for further information, call (828) 465‐8426.

You must furnish a certification (Form AV-9V, Certification of Disability) that you are totally and permanently disabled. This certification must be signed by a licensed physician. NOTE: A physician's assistant's signature will not be sufficient. The agency must have the proper authority to determine qualifications for disability benefits. If you or your spouse are over 65 years old, you do not need to submit a certification of disability.

Income is defined as all other moneys received from every source other than gifts or inheritances from family members. Income does include money received from social security, disability, retirement and rental income. The allowable amount of income is outlined in the application. This amount is adjusted annually for cost‐of‐living.

If you are required to file a Federal Income Tax return, you must provide a copy of the first page of the return. For non-income tax filers, other proof of income is required. (See Application for details.) Proof of income must reflect income for the year immediately preceding the tax year for which an application is made.

No. You do not need to reapply annually. However, you must notify the Tax Assessor if:

  • You move, sell or rent your house, OR
  • You make changes to the owners listed on the deed, OR
  • There is a change in your disability status, OR
  • Your income increases to greater than what is allowed to qualify

The Disabled Veterans Exclusion provides property tax relief for qualified, honorably discharged, disabled veterans who have a total and permanent service‐connected disability OR one that received benefits for specially adapted housing. The Exclusion provides a discount up to $45,000 of the assessed value of their permanent residence from property taxes.

Example:

Appraised Value

Discount

Taxable Value

Dwelling Value

$100,000

-$45,000

$55,000

Land Value

$10,000

$0

$10,000

Total

$110,000

-$45,000

$65,000

Your tax bill may be calculated using the following formula:

Taxable Value ÷ 100 x the combined tax rate = Tax Bill Amount

Please note: This example is a comparative guide and is provided as a general informational tool only. The tax rate is established during the month of June each year.

You may be qualified for the Disabled Veteran Exclusion if:

  • You are an honorably discharged disabled veteran or a disabled veteran who was discharged under honorable conditions (or unmarried surviving spouse of same); AND
  • You own your home as of January 1st of the year of application and are a PERMANENT RESIDENT of Catawba County; AND
  • You (or your spouse) are certfied by the Veteran's Administration or another federal agency to have a permanent and 100% total disability that is service-connected.
  • OR
  • You are an honorably discharged disabled veteran or a disabled veteran who was discharged under honorable conditions (or unmarried surviving spouse of same); AND
  • You own your home as of January 1st of the year of application and are a PERMANENT RESIDENT of Catawba County; AND
  • You (or your spouse) received benefits for specially adapted house under 38 U.S.C. § 2101.

It includes your dwelling and the dwelling site (not to exceed 1 acre). The dwelling may be a single-family residence, a unit in a multi‐family complex, or a manufactured home.

For this exemption, the qualifying homeowner may submit an application by mail to: ASSESSOR'S OFFICE ATTN: CHO LOR, BOX 368, NEWTON, NC 28658-0368 or in person at the Tax Department. To make an appointment or for further information, call (828) 465‐8426 or (828) 465‐8427.

You must furnish the following:

  • Proof that the Veteran was Honorably Discharged. (i.e. Form DD‐256 or DD214), AND
  • Certification by VA or another federal agency that states the veteran has a permanent and 100% total disability which is service-connected (Veteran’s Disability Certification Form NCDVA ‐9)OR
  • Proof that the veteran received or is receiving benefits for specially adapted housing under 38 U.S.C. § 2101.

There is no income limitation for this tax relief.

Applications must be filed with the Catawba County Tax Department NO LATER than June 1st of each year.

No. You do not need to reapply annually. However, you must notify the Tax Assessor if:

  • You move, sell or rent your house, OR
  • You make changes to the owners listed on the deed, OR
  • There is a change in your disability status.

The Circuit Breaker Tax Deferment program limits the amount of taxes qualified North Carolinians (age 65 and over or totally and permanently disabled) must pay on their permanent residence (homestead). Taxes are limited to a percentage of their income. The income limits are outlined in the current year's application and may be adjusted annually for cost-of-living. Taxes above that percentage are deferred until there is a disqualifying event. Upon disqualification, the amount which was deferred for the current year, plus previous 3 years, will come due.

* Homeowners who may also qualify for the Elderly/Disabled Homestead Exclusion should consider applying for the Elderly or Disabled Homestead Exclusion (see Tab #1). The exclusion may provide more tax relief than the Circuit Breaker Tax Deferment Program. Homeowners cannot be granted both types of property relief.

You may be qualified for the Circuit Breaker Homestead Tax Deferment Program if:

  • You are a Catawba County Resident at least 65 years of age on January 1st of the year in which you wish to apply; AND
  • Your household income did not exceed the income limit stated in the current year's application for the year prior to which an application is made; AND
  • You have owned and occupied your current permanent legal residence for 5 or more years; OR
  • You are certified totally and permanently disabled by a licensed physician or governmental agency; AND
  • Your household income did not exceed the income limit stated in the current year's application for the year prior to which an application is made; AND
  • You have owned and occupied your current permanent legal residence for 5 or more years.

If the property is owned by multiple owners (other than husband and wife), every owner must meet the qualifications above.

Deferred taxes are the amount of taxes on one’s homestead/permanent residence that exceeds the limitation (either 4% or 5% of one’s income) granted by the program. Unlike some other tax relief programs, deferred taxes are a lien on the property. The Tax Department keeps a record of the deferred taxes until a disqualifying event triggers the repayment of the deferred taxes.

A disqualifying event would be:

  • Death of the owner.
  • Transfer of the property.
  • Owner ceases to use the property as a permanent residence.

Until a disqualifying event occurs, the deferred taxes will not become due. Since incomes can vary from year-to-year, it is possible that you may qualify one year, but not the next, and then re‐qualify in a subsequent year .

Upon disqualification, the deferred taxes will come due for the current year, plus the previous 3 years with interest.

Yes, interest does have to be repaid on deferred taxes. The amount of interest is calculated from the date the taxes would have originally become due.

Income is defined as all other moneys received from every source other than gifts or inheritances from family members. Income includes money received from social security, disability, retirement and rental income. The income limit may be found on the current year's application. This threshold is adjusted annually for cost‐of‐living.

It includes your dwelling and the dwelling site (not to exceed 1 acre). The dwelling may be a single-family residence, a unit in a multi‐ family complex, or a manufactured home. The tax on additional land and buildings, not part of the homestead/permanent residence, is not subject to any limitation.

For this exemption, the qualifying homeowner may submit an application by mail to: ASSESSOR'S OFFICE ATTN: CHO LOR, BOX 368, NEWTON, NC 28658-0368 or in person at the Tax Department. To make an appointment or for further information, call (828) 465‐8426. Since this program is based on your annual income, you must file a new application each year.

If you are required to file a Federal Income Tax, you must provide a copy of the first page of the return. For non-income tax filers, other proof of income is required. (See Application for details.) Proof of income must reflect income for the year immediately preceding the tax year for which an application is made.

Applications must be filed with the Catawba County Tax Department NO LATER than June 1st of each year.

Yes. An annual application is required.