$9,000 Property Tax Credit from North Dakota: Deadline Extended

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North Dakota homeowners now have two more months to apply for the credit on their property taxes. The property tax credit from North Dakota is for elderly and disabled homeowners. Qualifying homeowners can get a credit of up to $9,000.

Property tax credit from North Dakota: who will get it?

Last week, the state Tax Commissioner Brian Kroshus announced the extension of the deadline for the property tax credit from North Dakota, officially called the Homestead Property Tax Credit program. The deadline previously was February 1, but now it has been extended to March 31, 2024.

“The intent is to make the process more user-friendly from a timing standpoint and ensure households eligible to apply, have the ability to take advantage of the program,” Commissioner Kroshus said in a press release.

To qualify for the property tax credit from North Dakota, a homeowner needs to be at least 65 years old (in the year they are applying) or be permanently and totally disabled. Also, the homeowner must own and live in the residential property for which they are applying and have an annual income of less than $70,000.

A homeowner doesn’t qualify for the credit if the property is rented while the owner is temporarily absent or if the property is a farm structure.

In the case of a married couple living together, only one of them needs to apply for the credit. Moreover, only the spouse applying for the credit must be 65 years of age or older or be permanently and totally disabled.

Homestead Property Tax Credit: how much credit to expect

North Dakota’s Homestead Property Tax Credit reduces the homeowner’s taxable value depending on their income. An eligible homeowner with an income of $40,000 a year or less will get 100% credit on the property taxes, with a maximum limit of $9,000. Households with an annual income between $40,000 and $70,000 can get 50% credit, with a maximum limit of $4,500.

North Dakota lawmakers expanded the Homestead Property Tax Credit during the last legislative session. Previously, the program was only available to homeowners with an annual income of $42,000 or less. In 2023, lawmakers changed the threshold income to $70,000, as well as increased the credit amount from $5,625 to $9,000.

Lawmakers also removed the requirement that excluded households with more than $500,000 in assets from applying for the Homestead Property Tax Credit. The expansion was part of the $515 million cut to income and property taxes that was approved by the 2023 Legislature.

Last year, lawmakers approved a separate property tax relief program that could help homeowners reduce property taxes by up to $500. This credit is available to many homeowners and has no age or income restrictions. The last date to apply for this property tax credit is March 31.

Visit the official website of the state of North Dakota for more information on the Homestead Property Tax Credit and other property tax credit programs.