Exemption Questions

{Click here to return to the main FAQ}


 

  • Exemption Codes
    Term Definition
    10 STANDARD HOMESTEAD EXEMPTION
    10CT SAME AS 10, ONLY COUNTY PORTION IS EXEMPT
    10ST SAME AS 10, ONLY STATE PORTION IS EXEMPT (VARIABLE)
    10Y H/S #4 : REG. HOMESTEAD WITH ALL STATE EXEMPT (OVER 65)INCOME TOO HIGH
    10YST SAME AS 10Y, HOWEVER ONLY STATE PORTION IS EXEMPT
    20 ACT 91 : EXEMPT ALL COUNTY UP TO 5000 AND ALL STATE
    20ST ACT 91 : ONLY STATE PORTION
    30 ACT 48 : TOTAL EXEMPT ON EVERYTHING AT 10% (INCLUDES CITY).
    44 ABATEMENT. EXEMPT COUNTY AND 3.5 MILLS OF STATE. PAYS ALL EDUCATIONAL.
    45 ABATEMENT ON OVERRIDE ASSESSED VALUE.
    46 REGULAR ABATEMENT. NOT EXEMPT ON CITY.
    5 TOTALLY EXEMPT
    CEO COUNTY EXEMPT
    CEX COUNTY EXEMPT SP
    CON EXEMPTION FOR MASTER PARCEL CONDOS. THE TAXES ARE PAID BY THE INDIVIDUAL OWNERS OF THE UNIT AND NOT ON THE ENTIRE STRUCTURE.
    IE MCGILL SPECIAL EXEMP
    OTH OTHER EXEMPTION – COMPLETELY EXEMPT
  • What exemptions are available for Seniors (65 & over) and disabled property owners?

    All low-income property owners age 65 or older may be eligible to claim Homestead Exemption #3 under Act 48.

     

    Under Homestead Exemption #3 (Act 48 Total Tax Exemption) the property owner pays no taxes. Property owners are sent a renewal form each year in October in lieu of a property tax bill. This renewal letter must be completed and returned to the Mobile County Revenue Commissioner’s Office no later than December 31 in order to receive the exemption for the following year.

     

    How Do I Apply for this Exemption?

     

    • You must be 65 years old or older (proof of age required)
    • Own and occupy the property as your primary residence
    • Your taxable income, as indicated on your Federal Income Tax Return cannot exceed $12,000 Bring Federal Income Tax Return.

     

    Under Homestead Exemption #2 (Act 91) the property owner pays a partial bill or no taxes at all. This will depend on the value of the property. The exemption covers all the State and up to 5000 of the County taxes owed. Property owners will receive a renewal form and a tax bill each year. The renewal letter must be completed and returned to the Mobile County Revenue Commissioner’s Office No later than December 31st in order to receive the exemption for the following year. The partial bill must also be paid and is due no later than December 31st.

     

    How Do I Apply for this Exemption?

     

    • You must be 65 years old or older (proof of age required)
    • Own and occupy the property as your primary residence
    • Your Adjusted Gross Income, as indicated on your State Income Tax Return cannot exceed $12,000 Bring State Income Tax Return

     

    DISABILITY EXEMPTION

    • In order to qualify for individuals who are ** RETIRED** DUE TO BEING TOTALLY & PERMANENTLY DISABLED you must furnish one (1) letter from the following sources to show proof of disability:

     

    • One(1) letter from the Social Security Administration (Letter must state that the claimant is receiving Retirement Disability Benefits) Or One(1letter showing that they are drawing a pension or annuity from the Armed Services or a Company or governmental agency because they are RETIRED due to being TOTALLY & PERMANENTLY DISABLED.

     

    -OR-

     

    • Two (2) letters from two (2) different Licensed Physicians (Stating claimant is RETIRED due to being TOTALLY & PERMANENTLY DISABLED).

     

     

    BLIND EXEMPTION-PARTIAL EXEMPTION

     

    For a Blind Exemption, only (1) letter is required from a duly licensed Ophthalmologist or Optometrist (letter must state a vision of 20/200 or less in the better eye with correcting glasses as defined in Section 1-1-3. This exemption is a partial exemption and the property owner will receive a reduced tax bill.

     

    Homeowners must sign an assessment and furnish proof of eligibility before exemption is granted. Depending on the date of the application, your exemption may take effect during the next tax billing cycle.

  • What exemptions must be reclaimed yearly and why?

    Exemptions based on Age and Income (Act 48 & 91) & Disability must be reclaimed on a yearly basis. Each October property owners that have qualified for these exemptions will receive a reclaim form in lieu of a Courtesy Tax Notice. This renewal form must be signed by the claimant, witnessed by two (2) different witnesses, and returned to our Office NO LATER THAN DECEMBER 31 of the same year. If you are required to submit proof of income, your most current Federal Income Tax Form must accompany your reclaim form.

     

    Property Tax Exemptions are NOT TRANSFERABLE

     

    All exemptions are based on the ownership of property, therefore, the exemption is granted to the owner of the property NOT the property itself. The property must be owner occupied. When there is a change in status (owner sells property, transfers property, lives elsewhere, is in an assisted care facility, lives with family, or is deceased) the property tax exemption will be cancelled.

  • Are exemptions available for deaf or insane persons?

    If you are totally deaf or legally insane, you may be able to apply for the Deaf and Insane Exemption under Alabama Law. This exemption is used in conjunction with other homestead exemptions allowing $300.00 per effected persons to be subtracted from the total assessed value of property.

    How do I apply for this exemption if legally deaf or insane

    • No income or age requirement
    • Own and occupy the property as your primary residential address.
    • Provide documentation from doctor specifying your condition.
    • You must visit one of our office locations to present proof of deaf or insaneness and sign assessment sheet.

    Depending on the date of application, your exemption may take effect during the next tax billing cycle.

  • I am over 65 with taxable income over $12,000, am I eligible for a tax exemption?

    All property owners 65 or older are eligible to claim Homestead Exemption 4. With this exemption, the property owner is exempt from all State property tax. County, School, and Municipal taxes still apply. The property owner will receive a discounted tax bill each year.

    How do I apply for this exemption

    • You must be 65 years old
    • own and occupy the property as your primary residential address.
    • You must visit one of our office locations to present proof of age and sign an assessment sheet.

    This exemption does not require annual renewal and is non-transferrable. Depending on your date of birth, your exemption may take effect during the next tax billing cycle.

  • What is homestead exemption and how can I apply?

    Homestead Exemption is granted to all Class III single family owner occupied properties. This exemption allows the property owner to deduct up to $4,000.00 in state tax and $2,000.00 in county tax from the total assessed value of the property.

    How do I apply for this exemption

    • You must own and occupy the property as your primary residential address.
    • You must visit one of our office locations to sign an assessment sheet.
    • Proof of occupancy required

    Under Alabama State Tax Law, only one Homestead Exemption is granted regardless of how much property is owned in the state. This exemption does not require annual renewal however, the exemption is non-transferrable. New owner application is required. Depending on the date of application, your exemption may take effect during the next tax billing cycle.

  • Can I claim the homestead exemption on a manufactured mobile home?

    If you own a mobile home, you may be eligible to claim the Homestead Exemption. In order to claim, you must own the mobile home and the property where it is located.

    How do I apply for this exemption

    • Own and occupy the mobile home as your primary residence.
    • Own the property were the mobile home is located.
    • You must visit one of our office locations with deed to the property and title to the mobile home in your name
    • Sign an assessment sheet.

    Depending on the date of application, your exemption may take effect during the next tax billing cycle.

  • I have been eligible for an exemption before I applied. How can I get a refund on those years?

    While there are various Homestead Exemptions available, property owners must apply in person before an exemption can be granted.

    If your status as an eligible grantee exists prior to application, Alabama State Tax Law does not provide for retroactive exemption status or refund on unclaimed exemptions.

    Exemption status begins after application is made and exemption granted. Depending on the date of application, your exemption may take effect during the next tax billing cycle.

  • Is there an exemption for farm or timberland?

    When farmland, pasture land, or timberland is used for producing agricultural, livestock, or wood products for sale to the general public, the owner may apply for the current use exemption.

    This exemption allows that the property be assessed below market value when used for these purposes. The property owner must make a formal application to the Revenue Commissioner’s Office to claim the exemption. Current Use application must be filed on October 1 and no later than January 1 for the preceding tax year. All current use applications are subject to be verified by the County Agent or Alabama State Forestry Commission.

    After current use has been granted, the owner does not have to re-apply for the exemption. If the property changes hands, the new owners will be required to reapply.

  • I did not receive a reclaim for this year.

    Exemption Reclaim Forms are mailed each October 1st to all property owners who are eligible to renew their exemption. All reclaim forms must be returned to the Revenue Commissioner’s Office by the December 31st deadline.

    If you have not received a reclaim form by mail, it is your responsibility to contact our office and have a duplicate form sent to you. You may also visit any of our office locations and renew your exemption in person.

    Under Alabama State Tax Law, NO EXCEPTIONS can be made for the renewal of exemption claims not made or renewed BEFORE the December 31 deadline.

  • My exemption has been canceled. Why?

    Under the Alabama Code Title 40-7-10 all exemptions subject to annual renewal must be reclaimed no later than December 31 of each year. This law applies to Homestead Exemptions granted on the basis of income or disability.

    Any exemption not renewed by the December 31 deadline by mail or in person will be cancelled. Upon cancellation of exemption, new application will be necessary.

    Exemption renewal is the responsibility of the property owner. If you do not receive an exemption renewal form by mail, you will need to contact one of our office locations to have a duplicate form sent to you or, you my reclaim in person.

    No exemptions will be granted after the December 31 deadline.