This program excludes up to the first $45,000 of the appraised value of the permanent residence of a disabled veteran. A disabled veteran is defined as a veteran whose character of service at separation was honorable or under honorable conditions and who has a total and permanent service-connected disability or who received benefits for specially adapted housing under 38 U.S.C. 2101. There is no age or income limitation for this program. This benefit is also available to a surviving spouse (who has not remarried) of either a disabled veteran as defined above or of a veteran who died as a result of a service-connected condition whose character of service at separation was honorable or under honorable conditions, or also a service member who died from a service-connected condition in the line of duty and not as a result of willful misconduct. Applications must be filed by June 1of the year application is being filed pursuant to North Carolina General Statute 105-277.1C. Applicants must complete the Application for Property Tax Exemption or Exclusion (PDF) and the Certification for Disabled Veterans Property Tax Exclusion (PDF).
Circuit Breaker Property Tax Deferment
North Carolina defers a portion of the property taxes on the appraised value of a permanent residence owned and occupied by a North Carolina resident who:
has owned and occupied the property at least five years
is at least 65 years of age or is totally and permanently disabled
whose income does not exceed $50,700
If the owner’s income is $33,800 or less, then the portion of property taxes imposed on the residence that exceeds 4% of the owner’s income may be deferred. If the owner’s income is more than $33,800 but less than or equal to $50,700 then the portion of the property taxes on the residence that exceeds 5% of the owner’s income may be deferred. The deferred taxes become a lien on the residence and the most recent three years of deferred taxes preceding a disqualifying event become due with interest upon one of the following disqualifying events:
the owner transfers the residence;
the owner dies; or
the owner ceases to use the property as a permanent residence.