DC Homestead Tax Deduction

DC Homestead Tax Deduction

In this video Deirdre P Brown discusses the Homestead Tax Deduction available to property owners in the District of Columbia who live in their properties as their principal residence.

TRANSCRIPT

Hello this is Deirdre Brown your settlement agent serving DC, Maryland, and  Virginia.  Today we're going to talk about the DC homestead tax deduction.

This tax deduction in DC is based on whether you live in your property as your principal residence. It is not based on income. In order to get this homestead tax deduction you will just need to fill out the application. Its a very simple  one-page application. It is called the FP 100.  You can get a copy of it from the office of tax and revenue and or from your title professional.

Currently DC will take deduct seventy two thousand four hundred and fifty dollars off the assessed value of your property before they calculate your real property taxes.  So it is something you definitely want to apply for to save you a little bit of money.

If you submit the application and it is approved between October 1st and March 31st you get the tax deduction for the whole year. if you submit the application and it is approved between April 1st and September 30th you get the tax deduction for half of the year. 

Let's say you moved into your property you didn't know about this tax deduction that's fine you can apply it any time.  Once again, as long as the is your principal residence.  However it is not retroactive.  It only applies going forward.

If you have more tax or real estate related questions please feel free to reach out to me at closewithdee.com

To DOWNLOAD the DC Homestead Application: CLICK HERE

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