Don't Forget to File Your Exemption by Sept 30

Blog Post Image
Real Estate

Don't Forget To File Your Homeowner Exemption by September 30

How do I claim an Oahu Home Exemption?

Did you purchase a new home in the last 12 months? If you did, don't forget to claim your Oahu Home Exemption by September 30 to reduce your property tax rate.  

The current basic homeowner exemption for the City and County of Honolulu is $100,000. That means whatever your property's value is assessed is, it will be reduced by $100,000 and your tax will be based on the balance. As an example, if your home was assessed at $750,000, after your Home Exemption claim, the total taxable amount would be $650,000.

As an added incentive, homeowners 65 years and older on or before June 30 of the last tax year may claim a deduction of $140,000.

It's always best to file your Oahu Home Exemption Claim within the first 90 days of purchasing your home so you don't forget; however, you have until September 30 of the current year to be eligible for the following tax year to file. 

This is a "one-and-done" claim, meaning once you've claimed your exemption, you don't need to file again in subsequent years, as long as you own your current home.

Who qualifies for an Oahu home exemption?

Most first-time homebuyers will qualify for a home exemption. To qualify, you must:   

* Own and occupy the property as your primary residence
* Your ownership is recorded at the Bureau of Conveyances, State Department of Land and Natural Resources, in Honolulu on or before Sept. 30 of the preceding tax year for which you claim the exemption.
* You file a claim for home exemption, Form P-3, with the Real Property Assessment Division on or before Sept. 30 preceding the tax year for which you claim the exemption.

What do I need to file for an Oahu home exemption?

To save you some time, you'll also need these items handy: 

* Tax map key/parcel ID of your property (TMK number)
* Proof of age, including driver's license, state ID, birth certificate or other legal documents

What happens if I miss the Sept. 30 deadline?

If the Sept. 30 deadline is missed, you will have until Nov. 15 to file late. Keep in mind, there is a $500 penalty for filing late. Read the details of filing late here.

For more information, please visit the City and County of Honolulu website.