Senior, Veteran and Disability Property Tax Relief in North Carolina

Owners at least 65 years old (as of January 1) may use either the Elderly or Disabled Exclusion (the greater of $25,000 or 50% of appraised value excluded; income limit $39,900 for tax year 2027) or the Circuit Breaker Tax Deferment (see tax_relief_programs).

Disabled Veteran Exclusion: excludes up to the first $45,000 of the appraised value of the permanent residence of a veteran discharged honorably or under honorable conditions who has a total and permanent service-connected disability or received VA benefits for specially adapted housing (38 U.S.C. 2101), disabled as of January 1. There is no age or income limit. It is also available to an unremarried surviving spouse of such a veteran, of a veteran who died of a service-connected condition, or of a servicemember who died of a service-connected condition in the line of duty. File Form NCDVA-9 (completed by a Veterans Service Officer) with the county assessor.

Owners under 65 who are totally and permanently disabled qualify for the Elderly or Disabled Exclusion or the Circuit Breaker Tax Deferment on the same income terms as seniors, and must file Form AV-9A, Certification of Disability.

Circuit Breaker Property Tax Deferment: for owners 65+ or totally and permanently disabled who have owned the property for the five full years before January 1 and occupied it for a total of five years, taxes are limited to 4% of income if prior-year income does not exceed the limit ($39,900 for 2027) and to 5% of income up to 150% of the limit ($59,850 for 2027). Taxes above the limit are deferred and remain a lien on the property; the last three years of deferred taxes, with interest, become due on a disqualifying event (owner's death, transfer of the property, or the home no longer being the owner's permanent residence), with exceptions. All owners must qualify and elect to defer, and a new application is required every year.