The Kentucky Homestead Exemption saves hundreds of dollars a year for homeowners, and it can be claimed with one simple form.
As we continue to navigate the negative economic effects of COVID, it’s now more important than ever to find ways to save money. Whether it’s digital coupons, weekly sales, or substantial discounts through store memberships, every penny counts.
While finding cleaning supplies on sale and buying bulk at Costco are a great start, what else can we be doing to save money? And more specifically, how can we help our elderly parents, grandparents, aunts, and uncles?
In Kentucky, there are multiple tax exemptions available, and most Kentucky residents don’t realize that there are exemptions specifically for residents who are 65 and older.
If you have parents or grandparents in their 70’s, 80’s, or 90’s, they have many exemptions that they may not be utilizing, and one of them is the Kentucky Homestead Exemption.
What’s the benefit of this homestead exemption? In a nutshell, it reduces property tax liability. This is achieved when the exemption amount is subtracted from the assessed value of your home or property.
The Homestead Exemption is one way that we can help our parents and grandparents save money during these difficult times.
If your parents or grandparents are over the age of 65 and own property in Kentucky, theHomestead Exemption can save them hundreds of dollars a year. The best part? They can claim that exemption by filling out and mailing a simple, one-page form, and it only has to be filled out once (unless they move).
Here are the criteria:
> Must be 65 years old or older AND/OR have a disability where they receive SSI.
> Must own the property AND have lived on the property before January 1, 2020.
The current Homestead Exemption is $39,300, which means that a property owner can save approximately $365 a year. That’s a dollar a day being put back in their pocket just for filling out a one-page form!
It’s important to note that only one exemption will be given, as only one per household is allowed under the Kentucky Constitution. So if two people (for instance, a married couple) live on the same property and are both over the age of 65, they can’t get two exemptions.
If they live on land that is technically a commercial property, they can still claim the exemption. As long as they’re the occupant of the property and they own the property, it doesn’t matter if the property is listed as residential or commercial.
It’s also important to note that if they end up selling or transferring their property, they’ll need to contact the Property Valuation Administrator’s office.
In regards to applying for the exemption, the first step is to print the Homestead Application which can be found here.
After that form is filled out, it needs to be mailed — along with a copy of the applicant’s active Jefferson County driver’s license (or any other valid form of ID that has been issued by the Circuit Clerk in Jefferson County) – to the following address:
Jefferson County PVA Office
815 W. Market Street, Suite 400
Louisville, KY 40202
If you know someone who is 65 years of age or older who would qualify for this exemption, please feel free to share the link to this article with them.
If they still have questions, they can call the PVA Office at (502) 574-6380 or they can email their questions to firstname.lastname@example.org.
To see the official information from the Jefferson County PVA’s office regarding the Homestead Exemption, click here.
During these hard economic times, it’s important to help ourselves and our loved ones in any way that we can. We’re all in this together!
All the best,
Tracy L. Hirsch
Bankruptcy Lawyer Louisville KY
Need a free consultation? Text or call me at (502) 435-2593!