Each year, Iowans who are elderly or have a disability may be able to benefit from:
• A Property Tax Credit on their home; and
• Rent Reimbursement on an apartment or mobile home lot rent.
To be eligible for these programs in 2023 (for claim year 2022), you must:
• Have household income during 2022 of less than $25,328; and
• In 2022 be at least 65 years old OR at least 18 years old and have a disability
To be eligible for these programs in 2022 (for claim year 2021), you must:
• Have household income during 2021 of less than $24,354; and
• In 2021 be at least 65 years old OR at least 18 years old and have a disability
Additional eligibility for property tax program:
• In 2022 be at least 70 years old and have household income of less than 250% of poverty
Reduced taxes eligibility for mobile, manufactured or modular home in a manufactured home community or mobile home park:
• Iowans over 23 years old; and
• Have household income during 2022 of less than $25,328
Remember, you must apply each year for these programs!
Property tax credit, rent reimbursement, or tax reduction programs are based on your 2022 household income for claim year 2022 and 2021 household income for claim year 2021. Household income includes:
• social security;
• interest income;
• money received from others.
*If you get a rent subsidy, the amount of your subsidy also counts as income. If you earn income from a business, only the net profit from the business is included.*
What “property” can qualify?
The credit or reimbursement may only be used for your homestead. Your homestead is the dwelling you owned or rented as your home during the claim year:
• If you own a mobile home and live in it on a rented lot, you may apply for both rent reimbursement for the lot rent and a reduced tax rate on your mobile home.
• If you live in a mobile home on your own property, you may apply for a property tax credit.
• If you live in an apartment, the building must be subject to property tax. Apartments owned by non-profits (like a church) or government entities (like a city, county or state) do not generally pay property taxes.
• If you are not sure whether your apartment pays property taxes, ask your landlord or county treasurer.
In some cases, residents of a nursing home may also be eligible for rent reimbursement or a property tax credit.
• If you are in a nursing home but still own and maintain your homestead, you can apply for the property tax credit.
• If you live in a nursing home and no longer own a home, you may be eligible for rent reimbursement.
• To apply for rent reimbursement, you will need to find out from the nursing home how much of your total payment is for rent.
When and How to Apply:
According to the Iowa Department of Health and Human Services website, you can apply before December 31, 2024 to get a rent reimbursement for rent paid in 2022. You can apply for rent reimbursement for rent paid in 2021 until December 31, 2023. Rent reimbursement is money that will be sent directly to you. You should apply for a property tax credit or reduced tax rate for 2023/2024 taxes between January 1 and June 1 of 2023. The treasure or Director of Revenue may grant extensions of time to file. The property tax credit will show up as reduced future payments for property taxes. If you have a mortgage on your home this could mean a reduction in your future monthly payments if they include an amount to pay your property taxes.
• Download the form to apply for rent reimbursement here:https://benefits.stateofiowahhs.org/program/rentreimbursement Paper forms are available from agencies listed here: https://dhs.iowa.gov/rent-reimbursement/rent-reimbursement-assistance-sites
• Contact your county treasurer for the property tax credit or mobile home reduced tax rate.
• The maximum amount of property tax due or rent in lieu of property tax is deemed to be $1,000.
If you are denied benefits or the amount of your rent reimbursement claim is reduced, you have appeal rights. You have 30 days from the date of the notice to appeal the decision. A contested case hearing will be scheduled. If you disagree with the decision, you have a right to further review before the Director of the Department of Human Services and a further right to judicial review. Call Iowa Legal Aid for possible assistance with your appeal: 1-800-532-1275. The Legal Hotline for Older Iowans at 1-800-992-8161 also has the forms you need to apply and can answer questions.
Iowa Legal Aid provides help to low-income Iowans.
To apply for help from Iowa Legal Aid:
- Call 800-532-1275.
- Iowans age 60 and over, call 800-992-8161.
- Apply online at iowalegalaid.org
If Iowa Legal Aid cannot help, look for an attorney on “Find A Lawyer” on the Iowa State Bar Association website iowabar.org. A private attorney there can talk with you for a fee of $25 for 30 minutes of legal advice.
As you read this information, remember this article is not a substitute for legal advice.