Property Tax Reduction Program

The Property Tax Reduction program (commonly known as the Circuit Breaker) is a program that reduces property taxes for qualified applicants. The amount of reduction is based on the total household income for the previous calendar year. If you qualify, the property taxes on your primary home and up to one acre of land may be reduced by as much as $1,500. See income brackets .  This program does NOT place a lien on your property.  Solid waste, irrigation or other fees cannot be reduced by the Property Tax Reduction benefits per Idaho code 63-701.

This application is now available online!

HOW AND WHEN TO APPLY

The PTR application must be filed every year it is not renewed annually like the homeowner’s exemption. Applications are accepted only between January 1st and April 15th but don’t wait until the last minute! The beginning of February is the best time to apply – you should have all of your documents by this time and there is still plenty of time for processing.  The closer it gets to April 15th busier we get.

Even if you file an extension on your income taxes, the signed PTR application must be in our office or entered into the State Tax Commission’s website by April 15th.

Since the ‘PTR Season’ coincides with ‘Cold and Flu’ season, we encourage applicants to stay home, stay safe, and apply online. https://idahotap.gentax.com/TAP?Link=PTR

How to Submit Your Application

• The preferred method is to apply online at https://idahotap.gentax.com/TAP?Link=PTR
  • You can check back on your online application to see your estimated credit
• For those that prefer to apply on paper:
  • You may place your application and backup documentation in a sealed envelope and place it in one of our drop boxes that are just inside both entrances to the Canyon County Administration Building;
  • Mail your application packet to us – Canyon County Assessor, 111 N 11th Ave, Ste 250, Caldwell, ID  83605;
  • Fax – 208-454-7349;
  • Email – 2cAsr@CanyonCounty.id.gov;
  • Applications can be hand delivered at our counter, but to reduce your exposure we highly recommend you choose one of the options above.
    • We do not process the applications at the counter to keep the wait times down.  We will simply collect all of the necessary information and make copies of your documents.

HOW TO QUALIFY

You may qualify for a property tax reduction if you meet the following requirements.

1. Qualify for and have a Homeowners Exemption – (You may qualify if you live in a care facility or nursing home. For more information contact your county assessor at 2cAsr@canyoncounty.id.gov) and
2. Your total household income for the prior year was $37,000 or less after deductions and
3. You are in one or more of the following categories as of January 1st:
   • Age 65 or older
   • Widow(er) of any age
   • Blind
   • Fatherless or motherless child under 18 years of age
   • Former prisoner/hostage of war
   • Veteran with at least 10% service connected disability, or receiving VA pension for a non-service – connected disability.
   • Disabled as recognized by the Social Security Administration, Railroad Retirement Board, Federal Civil Service or a public employee retirement system.  You may still qualify if your disability application is being processed or appealed.
4. Beginning tax year 2022 the legislature enacted an additional requirement relating to property value.  63-705(1)(b) was amended to add that the portion of an applicant’s assessed value that is eligible for the homeowner’s exemption must be below 200% of the median value for the county.  Since the median value is calculated annually after the Property Tax Reduction application deadline, we recommend all otherwise qualified applicants apply regardless of their assessed valuation.

INCOME GUIDELINES

When completing the application, it is required that you report all household income received in the prior year by yourself and your spouse (even if you are legally separated).

Types of income that must be included:

• Wages
• Interest (including taxable and nontaxable)
• Dividends
• Capital gains
• Business, farm and rental net income
• Social security / SSI (Supplemental Security Income)
• Railroad Retirement
• Unemployment/workers compensation
• Pensions, IRA’s and annuities (except qualified rollovers)
• Military retirement benefits
• VA pensions and compensation (excluding VA Pension received for 40% and higher service connected disability, proof of rating)
• Department of Health and Welfare payments (including Aid for Dependent Children and housing assistance)
• Child support/alimony
• Strike benefits
• “Loss of earnings” insurance payments
• Disability income from any source
• Gambling winnings

Types of expenditures that may be deducted your income:

• Medical/dental and related expenses not reimbursed by Medicare or other insurance (including vision, dental, prescriptions drugs, and mileage for trips relating to your health care)
• Medical insurance premiums (home & auto insurance are NOT deductible for this program)
• Payment or prepayment of funeral expenses for you and your spouse only
• Business and farm losses (you must submit a copy of the appropriate federal schedule)
• Early withdrawal penalties
• Alimony paid

DOCUMENTATION

First time applicants need to submit proof of status at the time of application.  All documents can be easily uploaded into your online application.  Status documents can include:

• Social Security/Railroad Retirement 1099 forms or
• Valid Idaho driver’s license, Idaho identification card, Social Security Card, or Birth Certificate
• If disabled, provide certification of disability from Social Security or other agency (or show proof that your claim is being processed or appealed); If VA disabled provide certification from VA annually.
• If blind, provide certification from your doctor.

All applicants that file an income tax return need to provide the following:

• Federal income tax return
• Documents showing income not reported on your income tax return
• Proof of deductions:
  • Provide a copy of Federal Schedule A, if you itemized your deductions.  If you did not file a Schedule A, please provide the following:
    • Completed Medical Expense form  and
    • Proof of payment of non-reimbursed medical expenses
    • Proof of all other deductions you are claiming

    All applicants that don’t file an income tax return need to provide the following:

    • Social Security/Railroad Retirement and all other 1099 forms you received
    • W-2’s
    • Any other documents showing income not already reported
    • A completed medical expense statement and proof of payment of non-reimbursed medical expenses. Statements from your medical providers with totals are preferred. (documentation must show amount actually paid not just amount billed)
    • Proof of all other deductions you are claiming

Summary

Applications are now online at:https://idahotap.gentax.com/TAP?Link=PTR  All returning applicants wishing to apply on paper can wait for their application in the mail which should be delivered between the middle of January and February.  New applicants can request a paper application, but are encouraged to use the online application.   

The property tax reduction can be applied for only between January 1st and April 15th. To continue receiving this benefit, you must apply and qualify each year. It is not renewed automatically.

First time applicants are required to show proof of  status, and U.S. residency when filing.  All applicants are required to provide proof of income and deductions.  If you are missing some of this information, complete as much of the application as you can, and upload what documents you do have, and submit it to the County Assessor by the April 15th deadline.   Extensions can not be filed on this program even if an extension is filed on your income taxes.

Once the application is accepted and approved at the county level, it is submitted to the State Tax Commission for final approval.  Questions regarding the status of an application at that point should to be directed to the State Tax Commission.  If the application is approved by the state, a reduction will appear on the property tax notice sent the following December.  No other notification is given unless the state has questions or needs more documentation.

Property Tax Reduction Frequently Asked Questions

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For more information contact the Idaho State Tax Commission  at (208)334-7736.