Exemption Questions
- Exemption Codes
- What exemptions are available for the disabled?
- What exemptions must be reclaimed yearly and why?
- Are exemptions available for deaf or insane persons?
- Are exemptions available for low income seniors?
- I am over 65, am I eligible for a tax exemption?
- What is homestead exemption and how can I apply?
- Can I claim the homestead exemption on a manufactured mobile home?
- I have been eligible for an exemption before I applied. How can I get a refund on those years?
- Is there an exemption for farm or timberland?
- I did not receive a reclaim for this year.
- My exemption has been canceled. Why?
All low-income property owners age 65 or older may be eligible to claim Homestead Exemption #2 under Act 91
or Homestead Exemption #3 under Act 48.
Under Homestead Exemption #2, (Act 91 Partial Tax Exemption) the property owner will receive a discounted tax
bill along with a renewal form each year in October to reestablish this exemption. This renewal form 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 residential address
- Your adjusted gross income, as indicated on your State Income Tax Return cannot exceed $12,000. Bring State Income Tax Return.
Under Homestead Exemption #3 (Act 48 Total Tax Exemption) the property owners 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 residential address.
- Your taxable income, as indicated on your Federal Income Tax Return cannot exceed $7,500. Bring Federal Income Tax Return.
- You are Totally and Permanently Disable. (Proof of disability required: Social Security Disability Letter, must be 100%. Veterans Administration disability letter, must be 100%. Two letters proving total disability from two separate physicians must be 100%. NO INCOME LIMIT FOR DISABILITY.
- Blind, must furnish documentation from a licensed Ophthalmologist or Optometrist, letter must state a vision of 20/200 or less to be considered legally blind. NO INCOME LIMIT FOR BLIND EXEMPTION.
Homeowners must sign assessment and furnish proof of eligibility before exemption is granted. Depending on the date of application, your exemption may take effect during the next tax billing cycle.
Exemptions based on income (ACT 91) and complete exemptions (ACT 48) must be reclaimed on a yearly basis.
Each October property owners with this type exemption will receive a reclaim form in lieu of a Courtesy
Tax Notice. This renewal form must be signed, witnessed, and returned to our office NO LATER THAN December
31 of the same year.
If you are required to submit proof of income, a Federal Income Tax or Alabama State Income Tax Form
(your reclaim form will specify which one) must accompany the 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. When there is a change in status (owner has sold, transferred property,
lives elsewhere, is in a assisted care facility, lives with family, or is deceased) the property tax exemption
will be cancelled.
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.
- 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.
All low income property owners 65 or older may be eligible to claim Homestead Exemption 2 under
Alabama Act 91. Property owners granted Homestead 2 are exempt from the state portion of property tax and
up to $5000.00 of property tax collected from the county. A portion of County, School, and Municipal taxes
still apply.
The property owner will receive a discounted tax bill each year along with an exemption This exemption will
require annual renewal on or before December 31 each year and is non-transferrable.
How do I apply for this exemption
- You must be 65 years old
- Own and occupy the property as your primary residential address.
- Your adjusted gross income (as indicated on Alabama State Tax return)must not exceed $12,000.00
- You must visit one of our office locations to present proof of age and sign an assessment sheet.
All low income property owners 65 or older may be eligible to claim Homestead Exemption 3 under Alabama Act 91. Property owners granted Homestead 3 are exempt from the state portion of property tax and up to $5000.00 of property tax collected from the county. A portion of County, School, and Municipal taxes still apply.
How do I apply for this exemption
- You must be 65 years old
- own and occupy the property as your primary residential address.
- Your taxable income(as indicated on Federal Tax return) must not exceed $7,500
- You must visit one of our office locations to present proof of age and sign an assessment sheet.
Depending on the date of application, your exemption may take effect during the next tax billing cycle.
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.
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.
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.
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.
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.
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.
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.
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.
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Marilyn E. Wood
Revenue Commissioner