Do NC and SC Offer Property Tax Breaks for Homeowners 65 and Older?

Last updated October 2026

Does North Carolina offer a property tax break for homeowners 65 and older?

Yes, through the Elderly or Disabled Exclusion, if your income is under the limit. It excludes the greater of the first $25,000 or 50% of the appraised value of your permanent residence.

The rules from the state's 2026 application and G.S. 105-277.1:

• You must be at least 65, or totally and permanently disabled.
• You must be a North Carolina resident, and the home must be your permanent residence.
• Your income from the prior year cannot be more than $38,800 for the 2026 tax year.
• If you are married and live with your spouse, both incomes count, even if only one name is on the deed.
• Income includes Social Security, pensions, and IRA distributions, along with wages and investment income.

What is North Carolina's circuit breaker tax deferment?

It caps your property tax at a share of your income and defers the rest. For the 2026 tax year, the state's application says:

• If your income is $38,800 or less, your taxes are limited to 4% of your income.
• If your income is above $38,800 but not over $58,200, your taxes are limited to 5% of your income.
• You must have owned and lived in the home for five years.
• You must file a new application every year.

The deferred taxes stay as a lien on the home. If the owner dies, sells, or stops living there, the last three years of deferred taxes come due with interest. Each owner can use only one of North Carolina's three relief programs.

How do I apply for property tax relief in North Carolina?

File Form AV-9 with your county tax office by June 1. The form says not to send it to the NC Department of Revenue.

• Attach the first two pages and Schedule 1 of your federal tax return, unless you do not file one.
• The state says late applications may be considered for good cause, but do not count on it.
• In Brunswick County, call the Tax Office at 910-253-2811 for help.

Does South Carolina have a homestead exemption for people 65 and older?

Yes. It is a complete exemption of taxes on the first $75,000 in fair market value of your legal residence for 2026, up from $50,000. The SC Department of Revenue says all of these must be true as of December 31 before the tax year:

• You are at least 65, totally and permanently disabled, or legally blind.
• You have lived in South Carolina as your permanent home for a full calendar year.
• You hold title to the home, or a life estate, or you are a beneficiary of a trust that holds title.

So if you move to South Carolina in 2026, plan on your first full calendar year here before you qualify. The SCDOR flyer says you generally do not need to reapply unless you move. A surviving spouse may keep the benefit under certain conditions, so ask the auditor.

SCDOR also notes the state temporarily authorized an additional homestead exemption for 2026 for certain owners. Your county auditor decides whether it applies to your account.

What is South Carolina's 4% legal residence rate?

It is a lower assessment ratio for your primary home, and it is open to owners of any age. Under SC Code Section 12-43-220, your legal residence is assessed at 4% of fair market value. Most other real property, like a second home or rental, is assessed at 6%.

• You must own and live in the home as your domicile.
• You apply with the county assessor, not the auditor.
• State law says to apply before the first penalty date for paying taxes. Ask your county for its current deadline.
• Your household can claim the 4% rate on only one home.

In Horry County, call the Assessor at 843-915-5040 about the 4% rate. Call the Auditor's Homestead Exemption line at 843-915-5051 about the homestead exemption. Bring your birth certificate or SC driver's license as proof of age.

Frequently Asked Questions

What is the NC income limit for the elderly exclusion in 2026?

For the 2026 tax year, the limit is $38,800 of prior-year income. If you are married and live with your spouse, both incomes count.

Is there an income limit for the SC Homestead Exemption?

The SC Department of Revenue flyer lists ownership, residency, and age or disability rules, but no income test. Confirm with your county auditor.

When is the deadline to apply for NC property tax relief?

File Form AV-9 with your county tax office by June 1. Circuit breaker applicants must file a new application every year.

Can I get the SC homestead exemption the year I move?

Usually not. You must have lived in South Carolina as your permanent home for a full calendar year as of December 31 before the tax year.

Related Reading

Moving to Horry County, SC: Your New Resident Guide
Moving to Brunswick County, NC: Your New Resident Checklist
55+ Communities in the Myrtle Beach Area
Does NC or SC Tax Your Pension?
SC vs NC: Which Side of the State Line Should You Retire On?

This post is general information, not tax or legal advice. Income limits, exemptions, and deadlines change. Confirm your eligibility with your county tax office and a tax professional.

DANIELLE KING, REALTOR®

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