The Homeowners Exemption is an exemption provided by state law that saves the property owner money on their property taxes. This happens because this exemption allows the value of your residence and land up to one-acre of land to be exempted at 50% of the assessed value up to a maximum of $125,000

In 2023 the Idaho State Legislature passed House Bill 292 which designates 4.5% of state sales tax revenue for Homeowner’s Property Tax Relief.  To qualify for the Homeowner’s Tax Relief credit, must apply and qualify for the Homestead Exemption (Homeowner’s Exemption) on their property by the second Monday in July.  Homeowners who already have the Homestead Exemption on their property do not need to file any additional application to qualify for this credit.  Once qualified, homeowners will see this credit listed on their tax bill.

WHO QUALIFIES?

• A property owner who occupies the home as their primary residence and is an Idaho resident. 
• A home that is rented is not eligible for the Homeowners Exemption.

HOW IS RESIDENCY & ELIGIBILITY DETERMINED?

•  A valid Idaho Driver’s License or State-issued ID card. All property owners occupying the home are required to provide this and their date of birth. Vehicles are licensed in Idaho      (if you own a vehicle).
• If the property is in a trust, provide the entire trust or pages of the trust showing the Grantors/Grantees, current beneficiary, and all signatures along with a Trust Affidavit. If the property is in an LP, LLC, or Corporation, provide the operating agreement with the percentage of ownership or membership (at least 5%) along with an LP, LLC, or Corporation Affidavit.
• If you file federal income tax, you are required to file Idaho State Income Tax as a full-year Idaho resident.
• You reside in Idaho for at least 6 months of the year. 
• Registered Idaho voter (if you vote).

WHEN TO FILE?

• On new construction the Assessors’ office encourages the owner to apply as soon as possible after the owner actually moves into the home. 
• On existing homes the Assessors’ office encourages the owner to apply as soon as possible after the owner actually moves into the home.
• The exemption is effective the year the application is received and approved by the Assessor’s Office. The exemption remains in effect as long as the applicant is still the homeowner and the applicant occupies the home as their primary residence.
• When the application is approved, the exemption is permanent as long as one owns and occupies the property. If the ownership changes into a Trust, LP, LLC, or Corporation, documents and a new Homeowner’s Application are required. If the property is sold, gifted, or a new owner is added, the new owner must file an application with the Assessor’s office. Notices of approval are not sent to homeowners; to verify that your exemption has been processed please review your annual assessment notice or property tax bill. If you believe there is an error pertaining to your exemption, contact our office at (208) 265-1440.

  
  

WHERE DO I FILE? 

The Homeowners Exemption Applications are available in the Assessor's Office at 1500 Hwy 2,Suite 205,Sandpoint, ID 83864: Phone (208)265-1440,