Reference Number: 
CTAS-1562

Taxpayers who are totally and permanently disabled who owned and used a principal residence may qualify for tax relief for all or part of the local property taxes paid for a given year on that property. Disability is determined by rules and regulations of the State Board of Equalization.1Reimbursement is paid on the first $25,000, or such other amount as set forth in the general appropriations act, of the full market value of the property.2

For tax year 2007 and thereafter, the taxpayer's annual income from all sources shall not exceed $24,000, or such other amount as set in the general appropriations act. For subsequent years, the annual income limit is adjusted to reflect the cost of living adjustment for social security recipients as determined by the social security administration and is rounded to the nearest $10. The income attributable to the applicant for tax relief shall be the income of all owners of the property, the income of applicant's spouse and the income of any owner of a remainder or reversion in the property if the property constituted the person's legal residence at any time during the year for which tax relief is claimed.3Any portion of social security income, social security equivalent railroad retirement benefits, and veterans entitlements required to be paid to a nursing home for nursing home care by federal regulations is not considered income to an owner who relocates to a nursing home.4

Taxpayers who become totally and permanently disabled on or before December 31 of the year for which application is made for property tax relief and are otherwise eligible will be qualified as disabled homeowners.5


     1T.C.A. § 67-5-703(a)(1).

     2T.C.A. § 67-5-703(a)(3).

     3T.C.A. § 67-5-703(a)(2).

     4T.C.A. § 67-5-703(a)(2).

     5T.C.A. § 67-5-703(c).