COLUMBUS – State Representatives Jeff LaRe (R-Violet Township) and Jason Stephens (R-Kitts Hill) will soon introduce a bill that will adjust Ohio’s Homestead Exemption for inflation.
“The bill would provide the inflation rate in a way that will increase the amount of the Homestead Exemption Tax Credit each year in order to help those on a fixed income fight inflation,” said LaRe. “The adjustment each year will be relatively small, but for those who are most disadvantaged by inflation, such as those living on a fixed income, the benefit, over time, will be significant.”
The bill would be designed to increase the amount of the Homestead Exemption every year by the same rate of inflation in current law used to calculate the income eligibility of the Homestead Exemption.
“I have seen first-hand as a former county auditor the great relief that the Homestead Exemption provides for senior and disabled veteran homeowners,” said Stephens. “This change in law would be easy for county auditors to administer and would have no impact on school funding or other local government funding.”
As it currently stands, Ohio’s Homestead Exemption allows low-income senior citizens and disabled veterans to reduce their property tax burden by lowering the market value of their homes for tax purposes.
Current law exempts the first $25,000 of market value for homeowners who are either permanently and totally disabled, or who are at least 65 years of age and meet income guidelines. It also exempts the first $50,000 of market value for disabled veteran homeowners who qualify in the calculation of property tax bills.
The bill will be introduced next week.