Property Tax Deferral for Disabled or Senior Citizens

State

Oregon

Year

2015

Variations in Receipt of Benefit

No Variation in Receipt of Benefits

Benefit Type

Deferral

Benefit

The benefit is a deferral of property taxes with a 6% interest rate per annum. The state pays the county the property taxes, and the property owner owes the money to the state.

How is Benefit Disbursed

Other

Eligible Property Type

Residential

Characteristics of Eligible Property

Only homestead property is eligible for this program. Legislation passed in 2012, HB4039 delays for two years the restriction on homeowner being disqualified if they have a reverse mortgage.

Eligibility Criteria

Age

Disability

Homeowner

Income Ceiling

Principal Residence

Property Value Limit

Wealth Limit

Surviving Spouse

Other Criteria

Description of Eligibility Criteria

This program is available to persons aged 62 and older or disabled who have lived in the home for at least 5 years. The program is limited to those with income below the threshold. The income threshold for 2015 is federal adjusted gross income of $43,000. The limit is calculated annually comparing the Consumer Price Index (CPI) of the first 6 month of the prior year with the first 6 months of the current year. The program is limited to those with net worth, excluding the home claimed for the deferral, of $500,000 or less. The real market value of the home is limited to a percentage of the median market value of the county, adjusted by the length of time the owner has lived in the house. The adjustment is 100% for those owning and living in house for 5 years, up to 200% for those who have lived in the house for 25 or more years. "Person with a disability" means a person who has been determined to be eligible to receive or who is receiving federal Social Security benefits due to disability or blindness, including a person who is receiving Social Security survivor benefits in lieu of Social Security benefits due to disability or blindness. If 2 or more individuals are filing a claim jointly under the age eligibility criteria, all applicants must be over age 62.

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 and local government share the local tax loss

Description of State Funding for Tax Loss

For persons claiming this deferral, the state annually reimburses local governments the amount of taxes that would otherwise have been paid less 3% of the total. The state maintains a Senior Property Tax Deferral Revolving Account for the purposes of reimbursing local governments for revenues lost as a result of this program.

Record ID

OR101_RR15

Footnotes

Taxes become payable upon: (a) the death of a claimant; (b) when the property is sold or no longer inhabited as a homestead (unless reasons of health prevent the owner from occupying the property as a homestead); or (c) when the qualifying disability ends. If income rises above the eligibility threshold, the amount of taxes for which the deferral is allowed shall decline by $0.50 for every $1.00 of income above the threshold. The deferral may be continued after the property is condemned by the Department of Transportation.

Sources

Or. Rev. Stat. § 311.666 ~ § 311.701; Or. Rev. Stat. § 311.702 ~ § 311.735 (in effect for 2015)
2015 Oregon Property Tax Deferral (December 2014) [http://www.oregon.gov/dor/PTD/docs/deferral-disabled-senior_490-015.pdf Accessed on 05/14/2015] View Archived Source

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