Senior Deferral Program
Disabled and Senior Citizens’ Deferral Program
State programs that may allow you to delay paying your property taxes on your residence.
| Disabled Citizen’s Deferral | • Disabled • Receiving social security disability benefits by Dec. 31 the year before you file • A homeowner in Benton County |
| Senior Citizens’ Deferral | • At least 62 years old by April 15 the year you file • A homeowner in Benton County |
Additional Requirements
| Net Worth | Your net worth limit is $500,000. • Net worth is the total of the current market value of all of your assets minus any debts. It does not include the value of the home for which you’re claiming property tax deferral, the cash value of your life insurance policies or tangible personal property (vehicle, furniture, appliances, clothing, etc.) that you own. • Assets include: • Real Property (other than the property for deferral) • Cash • Checking and savings accounts • Bonds |
| Income criteria | For 2024, annual household income during 2023 cannot exceed $55,500. Household Income includes all taxable and non-taxable income of the applicant(s) and their spouse(s) that reside in the home for the prior calendar year. |
| Home Occupancy | You must live in your home for at least five years before April 15 of the year in which you apply for the program, unless you had to live away from it for health reasons. |
| Homeowner’s insurance | You must show proof of homeowner’s insurance that covers fire and other casualties. |
| Real Market Value | The real market value (RMV) of your home cannot be more than 100% of the county median RMV, but there are graduated allowances based on additional years of occupancy. |
| Interest | Deferral accounts accrue interest at the rate of 65 yearly. Interest continues to accrue each year on the balance of deferred tax amounts paid by the Department of Revenue. |
| Re- certification | To remain in the program, you must “re-certify” every two years. This means you must re-apply for the program every other year and meet all of the qualifications. If you do not re-certify or qualify, the state will not pay your property taxes. |
For either deferral program, you must have a recorded deed to the property or by buying the property under a recorded sales contract. Certain trust or trustee arrangements qualify for deferral. You would not be eligible for deferral if you have a life estate interest in the property.
Reverse Mortgages
House Bill 2587 (2019) allows homes with certain reverse mortgages to qualify for the Senior and Disabled Deferral Program.
You may qualify for deferral if you entered into a reverse mortgage between July 1, 2011 and December 31, 2016, and have equity in your home of at least 40% as of the date of your deferral application. This does not enable retroactive deferral payments for prior tax years but enables deferral to pay the taxes tot he county going forward for the homes that qualify.
The State Records A Lien On Your Property
• The deferred taxes paid by the state become a first lien on your property, except for the liens of mortgages or trust deeds that were recorded first.
• The lien amount is an estimate of future taxes to be paid and interest to be charged, based on life expectancy tables
• When the Oregon Department of Revenue has approved your application, you must tell your mortgage holder that the state will be paying your taxes.
Paying The Deferred Taxes
The deferred taxes plus interest have to be paid when any of the following occurs:
• The taxpayer getting the deferral passes away leaving no surviving spouse
• You sell the property or in some way change the ownership
• You cease to permanently live on the property
How To File
You need to file an application with our office between Jan. 1 and April 15th to defer the taxes due the following Nov. 15.
Income verification is required when you file.
What if I miss the April 15th deadline? You may file an application between April 16th and December 1st with a late filing fee paid to the county. The fee will be based on 10% of the total amount due on your last year’s tax statement with a minimum of $20 and a maximum of $170.
If you have questions, or wish to file, you can contact our office at 541-766-6855 and ask for assistance with the Senior Tax Deferral.