Property Tax Deferral for Disabled and Senior Citizens in Portland Oregon and Lake Oswego Oregon

If you are disabled, collecting federal Social Security disability benefits and a homeowner in Clackamas County, you may qualify for the Disabled Citizens' Deferral.

OR

If you are at least 62 years of age and a homeowner in Clackamas County, you may qualify for the Senior Citizens' Deferral.

Qualification under either program allows you to delay paying property taxes on your residence.

Requirements:

·        For the Senior Citizens' Deferral, you must be 62 years old by April 15th the year you file.

·        For the Disabled Citizens' Deferral, you must be receiving federal Social Security disability benefits on December 31 the year before you file.

For either deferral program you must

·        You must have a recorded deed to the property or be buying the property under a recorded sales contract. Certain trust or trustee arrangements qualify for deferral. You would not be eligible for deferral if you have a life estate interest in the property.

·        Your total household income must be less than $38,500. This includes both taxable and non-taxable income, including Social Security and pensions.

·        Once qualified, the State will continue to pay if your annual federal adjusted gross income does not exceed $38,500. For each $1.00 your income exceeds this amount, the State will reduce the amount they pay by one half of the amount over $38,500. For example, if your income is $38,500, which exceeds the limit by $1,000, the State will reduce the amount they pay by one-half of the exceeding income, or a reduction of $500.

The State records a lien on your property:

·        The deferred taxes paid by the state become a first lien on your property, except for the liens of mortgages or trust deeds that were recorded first.

·        The lien amount is an estimate of future taxes to be paid and interest to be charged, based on life expectancy tables.

·        When the Oregon Department of Revenue has approved your application, you must tell your mortgage holder that the state will be paying your taxes.

Paying the deferred taxes:

·        The deferred taxes (plus interest of 6% simple interest per year on the taxes deferred) have to be paid when any of the following occurs:
    -The taxpayer getting the deferral passes away leaving no surviving spouse
    -You sell the property or in some way change the ownership
    -You cease to permanently live on the property

How to File:

·        You need to file an application with our office between January 1st and April 15th to defer the taxes due the following November 15th.

·        Income verification is required when you file

If you have questions or wish to file, you can contact our office at 503-655-8671

Property Tax Deferral for Disabled and Senior Citizens in Portland Oregon and Lake Oswego Oregon