Homeowner’s Property Tax Exemption – What, When, and How to File It

One of the benefits of being a homeowner is the Homeowner’s Property Tax Exemption (and who doesn’t love a tax break?). Here is an overview the Homeowner’s Property Tax Exemption – what it is, when to file, and how to file it.

Homeowner’s Property Tax Exemption: What is it? – According to the State of California Board of Equalization, “The California Constitution provides a $7,000 reduction in the taxable value for a qualifying owner-occupied home.” This is applied to your assessed value before taxes are levied, and according to the San Diego County Assessor’s Office, “results in an annual property tax savings of approximately $70.​” (Please note that if you are a qualified Veteran, however, you may have a better exemption available to you through the Veteran’s Exemption.)

What it isn’t – The Homeowner’s Property Tax Exemption is not the same thing as the Homestead Exemption. The Homestead Exemption is for purposes of providing limited protection of your home’s equity from creditors (up to your exemption amount). This article outlines the differences in more detail.

How to file – New property owners should automatically receive the application with their supplemental tax bill. Generally speaking, to meet the qualification criteria you must be the property owner, the property must be your primary residence, and you must make a one-time filing of the Claim for Homeowners’ Property Tax Exemption form (BOE-266 or by eform) with the county assessor.   There is no fee associated with filing this form.

When to file – To receive the full exemption of approximately $70 for the year, the form must be filed before February 15th. Forms filed February 16th- December 10th will receive 80% of the exemption ($56). Forms filed during that window will receive the full exemption the following year, but exemptions are not granted for previous years.

Please consult your tax professional with specific questions or more information, or call Aimee at (619) 405-5006 if you need a referral.

One Response

Leave a Reply

Your email address will not be published. Required fields are marked *