Editing Homestead exemption (section)

==Property tax exemption==
A homestead exemption is most often on only a fixed monetary amount, such as the first $50,000 of the [[tax assessment|assessed]] [[value (economics)|value]]. The remainder is taxed at the normal rate. A home valued at $150,000 would then be taxed on only $100,000 and a home valued at $75,000 would then be taxed on only $25,000.

The exemption is generally intended to turn the property tax into a [[progressive tax]]. In some places, the exemption is paid for with a local or state (or equivalent unit) [[sales tax]].

===Examples===
*[[Arkansas]] provides a $500 annual homestead property credit toward the amount of property taxes due. Seniors can have their homestead assessed value "frozen" at the next assessment date after reaching age 65. 
*[[California]] exempts the first $7,000 of residential homestead from property taxes.
*[[Colorado]] allows a 50% deduction for up to the first $200,000 (equivalent to a $100,000 exemption if the property is valued at $200,000 or above) for seniors (over age 65) who have lived in their property for ten consecutive years.
*[[Georgia (U.S. state)|Georgia]] allows a 1% HEST only in a few counties.
*[[Florida]]'s [[Florida homestead exemption|homestead exemption]] allows an exemption of 160 acres outside of a municipality and one-half an acre inside a municipality.<ref>[http://www.leg.state.fl.us/Statutes/index.cfm?Mode=Constitution&Submenu=3&Tab=statutes&CFID=276744022&CFTOKEN=e1b38742ff0a86f1-EF0C06CD-AA41-92AD-84488EC6BD4D9605 Florida Constitution, Art. X, Sec. 4 ]</ref>
*[[Kentucky]], for 2019 and 2020, the exemption has been set at $39,300. Once it is approved, homeowners who are 65 or older do not need to reapply for the homestead exemption each year.<ref>{{cite web |url=http://voices.yahoo.com/property-tax-exemptions-kentucky-7645358.html |title=Property Tax Exemptions in Kentucky - Yahoo Voices - voices.yahoo.com |access-date=2013-05-25 |url-status=dead |archive-url=https://web.archive.org/web/20140728222545/http://voices.yahoo.com/property-tax-exemptions-kentucky-7645358.html |archive-date=2014-07-28 }}</ref>
*[[Louisiana]] exempts the first $7,500 of residential homestead from local property taxes.<ref>[http://www.latax.state.la.us/Menu_FAQ/FAQ.aspx MS Louisiana Tax Commission]</ref>
*[[Maine]] exempts the first $25,000 of a primary residential homestead from property taxes. This is paid to the municipality and refunded when state taxes are filed. <ref>{{cite web | url=https://www.maine.gov/revenue/faq/homestead-exemption-program | title=Homestead Exemption Program FAQ &#124; Maine Revenue Services }}</ref>
*[[Michigan]] exempts the homeowner from paying the operating millage of local school districts.
*[[Mississippi]] exemption from all [[ad valorem tax]]es assessed to property; this is limited to the first $7,500 of the assessed value or $300 of the actual exempted tax dollars.<ref>[http://www.dor.ms.gov/info/rules/homesteadexemptionrules.html MS Dept. of Revenue - Homestead Exemption Rules and Regulations] {{webarchive|url=https://web.archive.org/web/20140705123052/http://www.dor.ms.gov/info/rules/homesteadexemptionrules.html |date=2014-07-05 }}</ref>
*[[New York (state)|New York]]'s [[New York State School Tax Relief Program|School Tax Relief (STAR)]] program exempts the first $30,000 of a primary home's assessed value from school district taxes; the exemption is limited to owners with incomes under $500,000. Additional exemptions are available for people over 65 with a limited income. The STAR program applies only to school taxes; no homestead exemption exists for taxes levied by other municipal entities.  New York prevents a New York resident claiming this exemption if the New York resident owns property in another state and claims a similar exemption in that other state.
*[[Oklahoma]] allows a $1000 deduction of the assessed valuation, about $75 to $125 of savings per year, if owners file for homestead exemption with the local county clerk.
*[[Rhode Island]] allows exemptions that vary by town or city among those towns that offer exemptions.
*[[Texas]] allows a deduction, with additional exemptions available for county taxes, people over 65 and people who are disabled.  It also requires school districts to offer a $25,000 exemption (but not other taxing districts, such as cities and counties).<ref>Combs, [http://www.cpa.state.tx.us/taxinfo/proptax/tc06/ch11b1.htm#11.13 Texas Property Tax Code 2006 Edition, Sec. 11.13 - Residence Homestead]</ref>  Texas further limits the assessment increase on a homestead to 10% of the prior year's value.