North Carolina defers a portion of the property taxes on the appraised value of a permanent residence owned and occupied by a North Carolina resident who has owned and occupied the property at least five years, is at least 65 years of age or is totally and permanently disabled, and whose income does not exceed thirty eight thousand four hundred dollars ($38,400). If the owner’s income is twenty five thousand six hundred dollars ($25,600) or less, then the portion of property taxes imposed on the residence that exceeds four percent (4%) of the owner’s income may be deferred. If the owner’s income is more than twenty five thousand six hundred dollars ($25,600) but less than or equal to thirty eight thousand four hundred dollars ($38,400), then the portion of the property taxes on the residence that exceeds five percent (5%) of the owner’s income may be deferred.

 

The deferred taxes become a lien on the residence and the most recent three years of deferred taxes preceding a disqualifying event become due with interest upon one of the following disqualifying events: 1) the owner transfers the residence; 2) the owner dies; 3) the owner ceases to use the property as a permanent residence. Multiple owners of a permanent residence must all qualify for the circuit breaker before a deferment of taxes will be allowed.

 

You must apply for the opportunity to defer property taxes each and every year that you wish to defer taxes. The application may be obtained from the Union County Tax Department, and it must be filed with the Union County Tax Administrator by June 1.

Note: An owner who qualifies for both the property tax homestead exclusion and the property tax homestead circuit breaker may elect to take only one of these forms of property tax relief.

 

 

 

For questions please email:

Cindy Orr – Elderly Exclusion & Tax Exemption Coordinator