Expanded Property Tax Benefits for Seniors, Severely Disabled, and Victims of Wildfires or Natural Disasters Starting April 1, 2021
Expanded Property Tax Benefits for Seniors, Severely Disabled, and
Victims of Wildfires or Natural Disasters Starting April 1, 2021
On April 1 California’s seniors, severely disabled persons, and victims of wildfires or natural disasters will now be able to transfer the taxable value of their original residence to a replacement residence up to three times during their lifetime anywhere throughout the state. This is due to Proposition 19, The Home Protection for Seniors, Severely Disabled, Families, and Victims of Wildfire or Natural Disasters Act, that California voters approved on November 3, 2020.
“Seniors, the severely disabled, and victims of wildfires or natural disasters can now move to a replacement home anywhere in California and avoid significant property tax increases if eligible,” said California State Board of Equalization (BOE) Chairman Antonio Vazquez. “Property tax relief can be beneficial for those especially on limited incomes or who have been affected by wildfires or natural disasters.”
Seniors, age 55 and older, or those severely disabled must meet specific requirements to qualify. The original and replacement residence must be eligible for the homeowners’ or disabled veterans’ exemption. An application must be filed with the County Assessor to transfer the taxable value. Lastly, the replacement residence must be purchased or newly constructed within two years of the sale of the original home. If the market value of the replacement residence is greater than the market value of the original residence, the difference will be added to the taxable value at the time of transfer.
For victims of a wildfire or natural disaster, the same conditions and requirements apply as the taxable value transfer for seniors but there are no age requirements. The residence must be substantially damaged to qualify, and the damage must be from a wildfire or a Governor proclaimed disaster.
Pending legislation may impact the operation of Proposition 19, and taxpayers are strongly encouraged to visit the BOE website for the latest information, additional details and resources, and answers to frequently asked questions (FAQs).
The California State Board of Equalization (BOE) is the only elected tax board in the country, and it is comprised of four Equalization District Members and the State Controller. Since 1879, the BOE’s constitutional and statutory duties include the oversight of the 58 County Assessors to ensure assessment practices are uniform and consistent statewide. In addition, the BOE directly assesses the property of regulated railroads and certain public utilities, collects the private railroad car tax, and is responsible for the Alcoholic Beverage Tax and Tax on Insurers. BOE’s critical role in property tax administration by promoting fair and equitable assessments protects the tax dollars that schools, local communities, and the State of California depend on every day.
BOARD MEMBERS
TED GAINES
First District
Sacramento
MALIA M. COHEN
Second District
San Francisco
ANTONIO VAZQUEZ
Third District
Santa Monica
MIKE SCHAEFER
Fourth District
San Diego
BETTY T. YEE
State Controller
BRENDA FLEMING
Executive Director
