Homestead Exemption for 65 and older

For persons 65 years old or older and who own their home—act by July 1, 2023 to get a homestead exemption!

A new law this session has some benefits for older Iowans. But you need to act quickly to get the benefit this year.

In addition to the homestead tax credit, eligible claimants who own the home they live in and are 65 years of age or older on or before January 1 of this year are now eligible for a homestead tax exemption. For the assessment year beginning on January 1, 2023, the exemption is for $3,250 of taxable value. For assessment years beginning on or after January 1, 2024, the exemption is for $6,500 of taxable value. An exemption is a reduction in the taxable value of the property rather than a direct reduction in the amount of property tax you pay.

The Iowa Department of Revenue has amended the Homestead Tax Credit and Exemption form (54-028) to allow claimants to apply for the new exemption. Get the form here. Applications are due July 1, 2023, to your local assessor to claim the exemption for this assessment year. If the exemption is granted, the exemption will be allowed for future years without future filing as long as the claimant continues to qualify.