During its annual budget deliberations, The Colony City Council routinely seeks ways in which it can save money for its residents. As such, the Council recently authorized an ordinance enacting a homestead exemption for elderly and disabled homeowners.
This is in addition to the 1/4-cent reduction to the tax rate approved in September as part of the FY 2019-20 budget.
Essentially identical to Denton County’s existing homestead exemption, the City of The Colony’s new exemption is for disabled homeowners or homeowners 65 years old or older. It grants qualifying homeowners a “freeze” on the value of their homestead as of tax year 2019, or the first year that an individual qualifies for the exemption. The valuation freeze then establishes a ceiling on the homestead’s city property taxes.
Council member Richard Boyer said this ordinance demonstrates a means by which city officials are working to provide residents with sought-after tax relief.
“We hear those folks that are on fixed incomes. We don’t want to see anyone priced out of their home because they can’t pay the tax bill,” he said, adding it was time the city follow suit with the county and other taxing agencies by enacting the exemption.
Residents whose homestead is already exempted on the Denton County tax rolls need not take any action to receive the same exemption for city taxes. It is important to note that the exemption establishes a ceiling at the time of eligibility. Should a resident’s home value decrease in the future, a new ceiling would be established.
For more info about homestead exemptions, please visit the Denton County Appraisal District website.