If a properly completed and approved application is filed from October 1 to March 31, the property will receive the Homestead benefit for the entire tax year (and for all tax years in the future). The property must be the principal residence (domicile) of the owner/applicant.The property must be occupied by the owner/applicant and contain no more than five dwelling units (including the unit occupied by the owner) and.An application must be on file with the Office of Tax and Revenue.The Homestead benefit is limited to residential property. This benefit reduces your real property's assessed value by $78,700 prior to computing the yearly tax liability. For more information, contact the Internal Revenue Service at (800) 829-1040 or visit the local IRS Taxpayer Assistance Center at 500 North Capitol Street, NW, Washington, DC.įor information on special District programs for historic real properties, please contact: You must file the federal form 1040 to claim this credit. Income restrictions and other qualifications may apply. You (and your spouse, if married) did not own any other main home in the District of Columbia during the 1-year period ending on the date of purchase.You purchased a main house during the tax year in the District of Columbia, and.$5,000, if single, married filing jointly, head-of-household, or qualifying widow(er) ($2,500, if married filing separately) or.This federal tax credit is available to first-time homebuyers in the District of Columbia. If you have been denied the Assessment Cap Credit and you believe that you are eligible, please contact the Homestead Unit, PO Box 176, Washington, DC 20044 or call Customer Service at (202) 727-4TAX.įirst-Time Homebuyer Individual Income Tax Creditįor homes purchased on or before December 31, 2011. This credit does not reduce the assessed value of your property on the tax roll or the assessment notice, but it will appear as an automatic credit against your real property tax bill. The Assessment Cap currently provides that a property may not be taxed on more than a 10 percent increase in the property’s assessed value each year. In an effort to limit the increase of real property taxes for homeowners, eligible homeowners will be provided an Assessment Cap Credit. The housing market in the District of Columbia has caused a surge in the assessed value of residential real property. Select from the following programs to check eligibility and filing requirements.įor more information about these tax relief and credit programs, contact our Customer Service Center at (202) 727-4TAX (727-4829). The District offers several programs to assist property owners and first time homebuyers. District of Columbia property owners may be eligible for property tax relief.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |