Elderly & Permanently Disabled Program

• Also called the Elderly or Disabled Homestead Exclusion.
• Applicants must be 65 years of age or totally and permanently disabled as of January 1.
• Gross income for 2023 for both an applicant and spouse cannot exceed $33,800. ($36,700 for 2024 Tax Year)
• For unmarried joint property owners, each owner must apply separately, and benefit limitations may apply based on the percentage of ownership.
• This is one-time application.
   

This program excludes from taxation the first $25,000 or up to 50% (whichever is greater) of home value. Exclusion means some of the value will not be considered when your tax bill is created. Even if you do not qualify for the program in future years, the excluded value from prior years does not become taxable.

Once approved for this program, you do not need to reapply unless your permanent residence has changed, your income now exceeds the current annual income eligibility limit, or you are no longer totally and permanently disabled. If the person receiving the exclusion last year was deceased prior to January 1 the person required by law to list the property must notify the Carteret County Tax Administration. The surviving spouse or joint property owner is required to reapply for the exclusion if qualified. Failure to make any of these notices before June 1 will result in penalties, interest, and the possible loss of the exclusion.

Required Documents for Application

• Applicants must provide a copy of the first two pages of their individual Federal Tax Return for the preceding calendar year.  If you do not file a Federal Income Tax Return, you must attach documentation to verify income (W-2, SSA-1099-R, 1099-INT, 1099-DIV, financial institution statements, etc.)  A married applicant filing separate returns should submit both returns.
• Those qualifying as totally and permanently disabled must submit a Disability Certification with their application.

To apply, complete and submit FORM AV9 and required income statements with the tax office by June 1. For disabled applicants, you must also complete FORM AV9-A signed by a physician licensed to practice medicine in North Carolina.

Can I still apply after June 1? Late applications may be considered through the end of 2023 for reasons such as a physical or mental illness, hospitalization, death of taxpayer or immediate family member, or military deployment. Please submit a letter with your application to explain the lateness and verify the cause. Each request will be considered on a case-by-case basis.