Application Period: January 1 - June 1
Summary: Program defers some property tax on the permanent residence. This is done by limiting current year property taxes to either 4% or 5% of income. This percentage depends on current year income level. To qualify, the owner must meet the following requirements as of January 1 of the year he/she applies:
- Is at least 65 years old or permanently and totally disabled.
- Has household income for 2022 of not more than $31,901 for 4% limit or $47,850 for 5% limit.
- Is a Cabarrus County resident for 5 consecutive years as of January 1 of tax year.
- Home that application is made for must be applicant's permanent residence.
The current year, plus the most recent three years of deferred taxes, become a lien on the residence. This amount becomes due with interest upon one of the following disqualifying events:
- The owner transfers the residence.
- The owner dies.
- The owner ceases to use the property as a permanent residence.
A bill gets released and is no longer payable by the taxpayer once a deferred tax bill is no longer:
- the current year bill
- one of the most recent three years tax bills
Multiple owners of a permanent residence must all qualify for the circuit breaker. Only then will a deferment of taxes will be allowed to any owner.
Income is all money received from every source. The only exception is gifts or inheritances received from a:
- lineal ancestor
For married owners living with their spouses, the income of both spouses must be included. This is the case whether or not the property is in both names.