Property owners are reminded that the deadline for applying for many property tax exemptions is February 1 of each year. The applications must be filed with your assessor by February 1 of the first year the exemption is claimed. The list of exemptions can be reviewed online at the Iowa Department of Revenue website.
The information for credits and exemptions as well as application forms can be found at the IDOR site listed above. Your Assessor’s Office can answer questions regarding the exemptions that are available as well as provide the appropriate forms.
The deadline for applying for the 2017 Homestead Property Tax Credit, Disabled Veteran Homestead Tax Credit, Military Exemption as well as the Business Property Tax Credit is July 1, 2017; however, since July 1 is on a Saturday, the deadline is extended to July 3.
Cedar Rapids Residents
Information and applications may be found on the Cedar Rapids City Assessor’s website. Property owners may also apply at the Cedar Rapids City Assessor’s Office located on the second floor of the City Services Center at 500 15th Avenue SW between the hours of 7:30 a.m. and 4:30 p.m. Please call the City Assessor’s Office at 319-286-5888 if you have any questions regarding the credits or exemptions.
Linn County Residents Outside Cedar Rapids
Linn County property owners outside the Cedar Rapids city boundaries may apply at the Linn County Assessor’s Office located on the second floor of the Jean Oxley Public Service Center, 935 Second Street SW in Cedar Rapids between the hours of 8:00 am and 5:00 pm. The Linn County Assessor’s Office can be reached at 319-892-5220 or visit their website.
Homestead Property Tax Credit (Iowa Code Section 425) was originally adopted to encourage home ownership through property tax relief. The current credit is equal to the actual tax levy on the first $4,850 of actual value. To be eligible you must own and occupy the property as a homestead on July 1 of each year, declare residency in Iowa for income tax purposes and occupy the property for at least six months each year. Persons in the military or nursing homes who do not occupy the home may also be eligible. The claim is allowed for successive years without further filing as long as eligible.
The Disabled Veteran’s Homestead Tax Credit (Iowa Code Section 425.15) was originally adopted to encourage home ownership for disabled veterans. The current credit is equal to 100% of the actual tax levy. Veterans with a permanent service connected disability rating of 100% or a permanent & total disability rating based on individual unemployability that is paid at 100% disability rate qualify for this credit. The veteran must own and occupy the property as a homestead on July 1 of each year, declare residency in Iowa for income tax purposes and occupy the property for at least six months each year. Persons in the military or nursing homes who do not occupy the home may also be eligible. A surviving spouse of a disabled veteran receiving DIC payments also qualifies. The surviving spouse as a beneficiary of the estate of a veteran who received the credit may continue to receive the credit as long as the spouse resides in the qualified homestead and does not remarry. A claim must be filed on or before July 1. A current Benefits Paid letter and a DD214 must be included with the application.
The Military Property Tax Exemption reduces the taxable value of the property for military veterans. To qualify for a military exemption, the property owners must be a registered resident in the State of Iowa as well as the legal owner of the property upon which the claim for exemption is filed as long as all other qualifications are met. A DD214 (honorable discharge) must be recorded with the Linn County Recorder stating the dates and eligible service period. Each honorable discharged veteran is allowed one military exemption within the State of Iowa.
Properties classed as Commercial or Industrial by their local Assessor may qualify for a Business Property Tax Credit. Property owners that have an existing Business Property Tax Credit and have not changed the ownership, use, purpose or legal description of their property are not required to reapply. This is a one-time filing if there have been no changes. All applications must be in the possession of the Assessor’s Office by the close of business July 1, 2017, or sooner, to be considered timely filed. Any applications received after that date will be considered an application for the 2018 credit.
Property owners should apply for all exemptions and credits at their earliest convenience.