Idaho Administrative Code › Title IDAPA 35 - Tax Commission, State › Rule 35.01.03 - PROPERTY TAX ADMINISTRATIVE RULES › Section 35.01.03.609 - PROPERTY EXEMPT FROM TAXATION - HOMESTEAD

Current through August 31, 2023
Sections
				63-602G,
				63-701,
				63-703, and
				63-3077, Idaho Code
01.
Homestead Exemption
. The
			 Homestead Exemption granted in 63-602G, Idaho Code will also be known as the
			 homeowner's exemption. (3-31-22)
02.
Maximum Amount of Homestead
			 Exemption
. The homestead exemption is limited to the lesser of fifty
			 percent (50%) of assessed value or one hundred thousand dollars ($100,000).
			 (3-31-22)
03.
Partial
			 Ownership
. Any partial ownership will be considered ownership for
			 determining qualification for the homeowner's exemption; however, the amount of
			 the exemption will be decided on the reduced proportion of the value
			 commensurate with the proportion of partial ownership. The proportional
			 reduction will not apply to the ownership interests of a partner of a limited
			 partnership, a member of a limited liability company or a shareholder of a
			 corporation when that person has no less than five percent (5%) ownership
			 interest in the entity unless any ownership interest is shared by any entity
			 other than the limited partnership, limited liability company or corporation.
			 For tenants in common with two (2) improvements located on one (1) parcel of
			 land, determine the applicable value for the homeowner's exemption using the
			 procedure shown in Example 1 of Paragraph 609.03.a., of this rule unless the
			 owner-occupant provides documented evidence of a different ownership interest
			 in the improvement. See Examples 2, 3, and 4 in Paragraphs 609.03.b.,
			 609.03.c., and 609.03.d. of this rule for additional partial ownership
			 guidance. To calculate property tax reduction benefits when partial ownership
			 exists, see Paragraph 700.05.b. of these rules. (3-31-22)
a. Example 1. John Smith and Bob Anderson own
			 a property as tenants in common with two (2) residential improvements located
			 on the property. Each residential improvement is owner occupied by one (1) of
			 the tenants in common. The homeowner's exemption is calculated as follows:
Description
Value
Notes
Land
$42,000
Residential Improvement
$82,000
Occupied by Mr. Smith
Prorated Ownership Interest (land and
							 improvement)
$62,000
Mr. Smith's interest
Homeowner's Exemption
$31,000
For Mr. Smith as owner occupant
Residential Improvement
$67,000
Occupied by Mr. Anderson
Prorated Ownership Interest (land and
							 improvement)
$54,500
Mr. Anderson's interest
Homeowner's Exemption
$27,250
For Mr. Anderson as owner occupant
(3-31-22)
b.
			 Example 2. John Smith and Bob Anderson own a parcel of land as tenants in
			 common with two (2) residential improvements located on the parcel. Mr. Smith
			 has documented evidence of one hundred percent (100%) interest in one (1)
			 residential improvement and Mr. Anderson has documented evidence of one hundred
			 percent (100%) interest in the remaining residential improvement. Each
			 residential improvement is owner occupied. The homeowner's exemption is
			 calculated as follows:
Item
							 Description
Value
Notes
Land
$42,000
Split 50% to each owner
Residential Improvement
$82,000
Owned and occupied by Mr. Smith
Homeowner's Exemption
$51,500
For Mr. Smith
Residential Improvement
$67,000
Owned and occupied by Mr. Anderson
Homeowner's Exemption
$44,000
For Mr. Anderson
(3-31-22)
c.
			 Example 3. Tom Johnson and Marie Johnson, husband and wife, and June Smith
			 jointly own a property and occupy one (1) residential improvement located on
			 the property. The following example shows how to calculate each homeowner's
			 exemption.
Description
Value
Notes
Land
$95,000
Residential Improvement
$215,000
Land and Improvement
$310,000
Prorated ownership interest (land and improvement)
							 ($310,000 X 50%)
$155,000
Mr. & Mrs. Johnson's interest
Homeowner's Exemption Maximum for 2010 ($100,000 X
							 50%)
$50,000
Mr. & Mrs. Johnson's Homeowner's
							 Exemption
Prorated ownership interest (land and improvement)
							 ($310,000 X 50%)
$155,000
Ms. Smith's interest
Homeowner's Exemption Maximum for 2017 ($100,000 X
							 50%)
$50,000
Ms. Smith's Homeowner's Exemption
(3-31-22)
d.
			 Example 4. John and Susan Doe, husband and wife, and Mike Person jointly own a
			 property, and Mr. and Mrs. Doe occupy the one (1) residential improvement
			 located on the property. The following example shows how to calculate each
			 homeowner's exemption.
Description
Value
Notes
Land
$65,000
Residential Improvement
$195,000
Land and Improvement
$260,000
Prorated ownership interest (land and improvement)
							 ($260,000 X 50%)
$130,000
Mr. & Mrs. Doe's interest
Homeowner's Exemption (Maximum for 2017 is 50% up to
							 $100,000)
$65,000
Mr. & Mrs. Doe's Homeowner's
							 Exemption
Prorated ownership interest (land and improvement)
							 ($260,000 X 50%)
$130,000
Mr. Person's interest
Homeowner's Exemption
$0
Mr. Person does not qualify for a homeowner's
							 exemption on this property.
(3-31-22)