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Tax Credits
Homestead
Tax Credit
Any property owner in the State of
Iowa who lives in the property can receive a homestead tax credit.
To be eligible, a homeowner must occupy the homestead any six months
out of the year, but must reside there on July 1. This exemption
is a reduction of the taxable value of their property amounting
to a maximum $4,850 or the amount which does not allow the taxable
value to be less than zero.
Disabled veterans are allowed to claim
a homestead credit that would be equal to the entire amount of taxes
levied on the homestead property. The exemption is not allowed if
the combined income of the veteran and their spouse, if any, exceeds
$25,000 in the prior income tax year. Income means taxable income
for federal income tax purposes plus income from any political subdivision
exempt from federal income tax.
See Code of Iowa Chapter 425.
Family
Farm Tax Credit
This credit is available to all farm
operators who own and operated farm land, or farm land owned by
a family member such as parents, children, grandparents, grandchildren,
brother, sister, aunt, uncle, niece, nephew. Cousins DO NOT qualify.
This credit must be applied for annually
between July 1st and October 15th. Contact the Assessor's
office for more information on the complexities of this law.
See
Code of Iowa Chapter 425A.
Iowa Rent
Reimbursement
In addition to the homestead tax credit
allowed under section 425.1, subsections 1 to 4, persons who own
or rent their homesteads and who meet the qualifications provided
in this division are eligible for an extraordinary property tax
credit or reimbursement.
See Code of Iowa Chapter 425.16.
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