Senior Citizen & Disabled Persons
Property Tax Exemption

There are three levels of tax reduction, based on annual income, for senior or disabled citizens of Washington state.

• Income up to $25,000 - Exempt from excess and special levies approved by the voters, such as local school levies, and either a $60,000 or 60% reduction in assessed value, whichever is greater. For example if your property is valued at $90,000, the taxes would be based on $30,000 of that value.

• Income of $25,001 - $30,000 - Exempt from excess and special levies approved by the voters, such as local school levies, and either a $50,000 or a 35% reduction in assessed value (not to exceed $70,000), whichever is greater.  For example if your property is valued at $90,000, the taxes would be based on $40,000 of that value.

• Income of $30,001 - $35,000 - Exempt from excess and special levies approved by the voters, such as local school levies.

Age - You must be 61 or older as of December 31 of the filing year, be disabled from employment or be a military veteran with 100% service related disability.  Only one spouse is required to be 61 or older or disabled. However, if the qualifying spouse dies, the remaining spouse must be 57 or older to continue the exemption. A doctor's verification or written acknowledgement/decision from the Social Security Administrator or Veteran's Administration is required for the disability exemption.

Ownership - You must own and live in the residence for which the exemption would apply. However, if you are confined to a nursing home, your home may still be considered your residence.

If you are living in your home under the terms of an irrevocable trust or life estate, you may qualify for the exemption. A recorded document outlining terms of the agreement is required.

Income - You must have an annual income of $35,000 or less to qualify. Income includes the combined disposable income of all co-tenants; that is, you and your spouse and/or anyone else holding partial ownership and residing in the house.

Disposable income means all gross income, including Social Security, retirement, disability pension, veteran's benefits, interest, wages, capital gains, etc. You do not have to include lump sum settlements

Non-reimbursed costs for prescription drugs, in home care, or nursing home expenses and Medicare premiums can be deducted from your income.

Application Procedure - Submit an application to the Assessor's Office.  You do not have to appear in person to apply you can call (360-337-4904) or mail.  We will require proof of your income.

Once your application is processed you will be notify by mail and receive a new tax statement (if applicable).

Property - The exemption applies to your home and up to five acres* of land. A mobile home may qualify, even if the land where the mobile home is located is leased or rented. 

*The exemption is available for a primary residence and one acre of land.  If zoning and land regulations require more than one acre of land per residence in the area where you live, you may be eligible for a property tax exemption on up to five acres of land.

If you own more acreage, this does not disqualify you. You would receive the appropriate exemption for your income level on your home and qualifying land, then you would pay full taxes on the remaining acres.
 

Lori McPhee, Exemption Specialist
lmcphee@co.kitsap.wa.us
(360) 337-4904
Calling from Olalla:  851-4147 ext 4904
Calling from Bainbridge Island:  842-2061 ext 4904.