H 950

GENERAL ASSEMBLY OF NORTH CAROLINA
  SESSION 2025
 H  1
  HOUSE BILL 950
 Short Title:   Elderly/Disabled Prop. Tax Mods.  (Public)
 Sponsors:      Representative Wheatley.
  For a complete list of sponsors, refer to the North Carolina General Assembly web site.
 Referred to:   Finance, if favorable, Rules, Calendar, and Operations of the House
  April 14, 2025
1A BILL TO BE ENTITLED
2 AN ACT TO MODIFY THE ELDERLY OR DISABLED PROPERTY TAX HOMESTEAD
3     EXCLUSION TO INCREASE THE AGE REQUIREMENT, TO REMOVE THE INCOME
4     ELIGIBILITY LIMIT, AND TO EXCLUDE FROM TAXATION ONE HUNDRED
5     PERCENT OF THE APPRAISED VALUE OF THE RESIDENCE, AND TO MAKE A
6     CONFORMING CHANGE NECESSARY TO IMPLEMENT THOSE CHANGES.
7 The General Assembly of North Carolina enacts:
8SECTION 1. G.S. 105-277.1 reads as rewritten:
9 "§ 105-277.1. Elderly or disabled property tax homestead exclusion.
10     (a)      Exclusion. – A permanent residence owned and occupied by a qualifying owner is
11 designated a special class of property under Article V, Sec. 2(2) of the North Carolina
12 Constitution and is taxable in accordance with this section. The amount of the appraised value of
13 the residence equal to the exclusion amount is excluded from taxation. The exclusion amount is
14 the greater of twenty five thousand dollars ($25,000) or fifty one hundred percent (50%) (100%)
15 of the appraised value of the residence. An owner who receives an exclusion under this section
16 may not receive other property tax relief.
17     A qualifying owner is an owner who meets all of the following requirements as of January 1
18 preceding the taxable year for which the benefit is claimed:
19(1)      Is at least 65 70 years of age or totally and permanently disabled.
20(2)      Has an income for the preceding calendar year of not more than the income
21eligibility limit.
22(3)      Is a North Carolina resident.
23     …
24     (a2) Income Eligibility Limit. – For the taxable year beginning on July 1, 2008, the income
25 eligibility limit is twenty-five thousand dollars ($25,000). For taxable years beginning on or after
26 July 1, 2009, the income eligibility limit is the amount for the preceding year, adjusted by the
27 same percentage of this amount as the percentage of any cost-of-living adjustment made to the
28 benefits under Titles II and XVI of the Social Security Act for the preceding calendar year,
29 rounded to the nearest one hundred dollars ($100.00). On or before July 1 of each year, the
30 Department of Revenue must determine the income eligibility amount to be in effect for the
31 taxable year beginning the following July 1 and must notify the assessor of each county of the
32 amount to be in effect for that taxable year.
33     …
34     (c)      Application. – An application for the exclusion provided by this section should be
35 filed during the regular listing period, but may be filed and must be accepted at any time up to
  *H950-v-1*
 General Assembly Of North Carolina  Session 2025
1 and through June 1 preceding the tax year for which the exclusion is claimed. When property is
2 owned by two or more persons other than husband and wife and one or more of them qualifies
3 for this exclusion, each owner must apply separately for his or her proportionate share of the
4 exclusion.
5(1)      Elderly Applicants. – Persons 65 70 years of age or older may apply for this
6exclusion by entering the appropriate information on a form made available
7by the assessor under G.S. 105-282.1.
8…."
9SECTION 2. G.S. 105-277.1B reads as rewritten:
10 "§ 105-277.1B. Property tax homestead circuit breaker.
11     …
12     (c)      Income Eligibility Limit. – The income eligibility limit provided in G.S.
13 105-277.1(a2) applies to this section.For the taxable year beginning on July 1, 2008, the income
14 eligibility limit is twenty-five thousand dollars ($25,000). For taxable years beginning on or after
15 July 1, 2009, the income eligibility limit is the amount for the preceding year, adjusted by the
16 same percentage of this amount as the percentage of any cost-of-living adjustment made to the
17 benefits under Titles II and XVI of the Social Security Act for the preceding calendar year,
18 rounded to the nearest one hundred dollars ($100.00). On or before July 1 of each year, the
19 Department of Revenue must determine the income eligibility amount to be in effect for the
20 taxable year beginning the following July 1 and must notify the assessor of each county of the
21 amount to be in effect for that taxable year.
22     …."
23SECTION 3. This act is effective for taxes imposed for taxable years beginning on
24 or after July 1, 2026.
 Page 2  House Bill 950-First Edition