Ohio expands its property tax exemptions, here's what you need to know
Property taxes are rising across Ohio as scheduled reappraisals push home values up. But lower-income seniors and disabled military veterans will be able to save hundreds thanks to legal changes in the state budget.
For the first time in more than a decade, lawmakers have expanded homestead exemption benefits.
Earlier coverage: Historic increases expected for Ohio property values: What will this mean for your taxes?
"No one has been able to escape the crushing grip of inflation ... especially those living on fixed incomes," said Rep. Steve Demetriou, R-Bainbridge Twp. "(Rep. Thomas Hall, R-Madison Twp.) and I introduced this legislation to ensure these important constituencies don't get priced out of their homes for reasons outside their control."
Here's what you need to know:
Ohio's homestead exemption is a discount on your property taxes that allows those who qualify to exempt a certain amount of their home's value from being taxed. It's $25,000 for seniors and $50,000 for disabled veterans.
But those amounts haven't increased since 2007.
"The value of the real dollar savings of the exemption has gone down more than 20%," Lorain County Auditor Craig Snodgrass said.
That's why he and the County Auditor's Association of Ohio supported tying the exempted amounts to inflation. When inflation goes up, so will the amounts qualifying seniors and veterans can exempt.
For example, the U.S. inflation rate was 8% for 2022. If this new rule had been in effect last year, the senior homestead exemption would now be $27,000 and veterans would be eligible for $54,000.
The exemptions aren't automatic though. Qualifying veterans and seniors must apply for the program. Information on how to apply can be found on your county auditor's website. Applications are due in December for 2024, and your new taxable value will be calculated in January.
Qualifying seniors must be at least 65 years old and have an income below $36,100 annually, according to the Ohio Department of Taxation. Veterans have no income requirements, but they must be totally and permanently disabled from a service-related injury.
Hall told reporters Wednesday that he wants to expand those exemptions by raising the income limits for seniors and possibly extending some tiered form of the veteran exemption for those who are partially disabled.
"This is a first step," Hall said. "And sometimes when you go on a journey, you just have to take that first step."
Anna Staver is a reporter for the USA TODAY Network Ohio Bureau, which serves the Columbus Dispatch, Cincinnati Enquirer, Akron Beacon Journal and 18 other affiliated news organizations across Ohio.
This article originally appeared on The Columbus Dispatch: Ohio increases property tax exemptions for seniors, veterans Front Headline *
