When it comes to Estate Planning several laws implemented that allow senior citizens to reduce the amount they have to pay on property tax and/or be able to defer the tax payments during their life span.
In order to be eligible for these tax bill reductions, you or your loved one must resided in Massachusetts and be over the age of 65.
The way the Massachusetts elderly tax deferral works is that it allows a senior homeowner to postpone property tax payments until the differed amount reaches 50 percent of the property value. During the deferral time frame, the tax amount gains 8 percent of interest annually, but depending on local property tax policies, the rate can be even lower.
As mentioned before, to be eligible for this benefit, the claimant must be 65 years or older, must be a resident of Massachusetts with property for five years, and have lived in the state for the last 10 years. There’s no cap on the assets claimed by the applicant, can’t surpass an income of $20,000-$40,000. For further details, check with your local town about income level requirements.
There are also a few tax exemptions for senior citizens available as well in Massachusetts. For the most part, these exemptions have a much stricter requirements and asset limitations, which can vary from town to town.
If you would like to learn more about Massachusetts Elderly property tax exemptions and deferrals, and how to apply, please contact your Massachusetts elder law lawyer at Adam Tobin Law Offices today!