Kentucky · Property taxKentucky homestead exemption after buying: who qualifies and where to apply

Kentucky's homestead exemption isn't a general owner-occupant break. To qualify, the applicant must be 65 or older during the year of the application, or have been classified as totally disabled under a federal program or a retirement system on January 1 of that year, and must own and maintain the property as a personal residence; the application goes to the property valuation administrator of the county where the applicant lives, on the Department of Revenue's form. The exemption amount is the constitution's $6,500 measured in 1972 dollars and adjusted every two years when the cost of living has changed by at least 1%; only one exemption is allowed per residential unit. A disabled owner under 65 applies every year unless the disability is service-connected for a veteran or found permanent under Social Security, Kentucky Retirement Systems or another Kentucky statute. When title to exempt property is transferred, the owner or the owner's representative must report the transfer to the property valuation administrator. An owner who qualifies before paying the year's tax bill gets the bill reduced, and one who qualifies after paying gets a refund of the exempt portion (KRS 132.810).