Homestead Credit (Circuit Breaker)

State

Wisconsin

Year

2022

Variations in Receipt of Benefit

Benefit Varies with Income

Benefit Type

Circuit Breaker

Benefit

The benefit is a refundable state income tax credit for property taxes paid. It is determined by 2 brackets. For those with income at or below $8,060, the credit is 80% of up to $1,460 taxes paid, for a maximum credit of $1,168. For those with income above $8,060 but less than $24,680, the credit is equal to 80% of the amount by which property taxes exceed 8.785% of household income in excess of $8,060.

How is Benefit Disbursed

Credit to the income tax bill

Eligible Property Type

Residential

Characteristics of Eligible Property

Only residential property and up to 1 acre of surrounding land is eligible for this program. If a homestead is part of a farm, up to 120 acres are eligible.

Eligibility Criteria

Age

Disability

Homeowner

Income Ceiling

Renter

Other Criteria

Description of Eligibility Criteria

The claimant must be a homeowner or renter and resided in Wisconsin for the entire previous calendar year when filing the claim. The income ceiling is $24,680. The claimant or claimant's spouse must meet one of the following criteria: (1) must be 62 years of age or older by the last day of the year before the claim is filed; (2) must be disabled; or (3) must have earned income during the year. The claimant must be over 18 years of age but not claimed as a dependent during the year the to which the claim relates, unless the claimant is 62 years of age or older. To be eligible, the claimant may not be receiving the veterans and surviving spouse property tax credit or a farmland preservation credit for the same year. Homestead credit is not allowed if the claimant received Wisconsin Works (W2) payments for all 12 months of the year.

Local Option in Adoption of Program

Local government is unable to exercise an option

Local Option Regarding Program Features

No local option regarding program features

State Funding for Local Tax Loss

State reimburses all of the local government tax loss

Description of State Funding for Tax Loss

Benefits are provided as a credit on state income tax.

Record ID

WI101_RR22

Footnotes

For renters, property taxes are assumed to be 20% of rent if heat is included or 25% of rent if heat is not included in the rent. Applications for credits on 2021 real estate tax bills must be filed with the Department of Revenue by April 15, 2026.

Sources

Wis. Stat. § 71.07 (4);
Wis. Stat. § 71.51 ~ § 71.55 (in effect for 2022)
Wisconsin, Department of Revenue, Homestead at a Glance Factsheet, Factsheet 1116 (January 2022)
[https://web.archive.org/web/20220424200619/https://www.revenue.wi.gov/DOR%20Publications/1116hc.pdf Accessed 09/11/2023]
View Archived Source

Wisconsin, Department of Revenue, Wisconsin Homestead Credit Situations and Solutions, Publication 127 (December 2022)
[https://www.revenue.wi.gov/DOR%20Publications/pb127.pdf Accessed 09/11/2023]
View Archived Source

Wisconsin, Department of Revenue, Wisconsin Income Tax 2021 Form 1 (2021 income for filing in 2022)
[https://www.revenue.wi.gov/TaxForms2021/2021-Form1f.pdf Accessed 09/11/2023]
View Archived Source

Wisconsin, Department of Revenue, Wisconsin Income Tax 2021 Form 1 Instructions
[https://www.revenue.wi.gov/TaxForms2021/2021-Form1-Inst.pdf Accessed 09/11/2023]
View Archived Source

Wisconsin, Department of Revenue, Application (Schedule H) for Homestead Credit (2021 taxable information for filing in 2022).
[https://www.revenue.wi.gov/TaxForms2021/2021-ScheduleHf.pdf Accessed 09/11/2023]
View Archived Source

Wisconsin, Department of Revenue, Wisconsin Homestead Credit 2021 H and H-EZ Instructions
[https://www.revenue.wi.gov/TaxForms2021/2021-ScheduleH-inst.pdf Accessed 09/11/2023]
View Archived Source
Wisconsin Department of Revenue Website: Claiming a Homestead Credit
[https://www.revenue.wi.gov/Pages/FAQS/ise-home.aspx Accessed 09/11/2023]
View Archived Source

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