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Island County > Assessor's Department > Senior/Disabled Exemptions

 

Property Tax Exemption for Senior Citizens and People with Disabilities

Senior Citizens or Disabled persons of Island County you may qualify for property tax exemption if your principal residence is in Washington State and you meet the requirements for this program. Under the exemption program, your property taxes will be reduced and you will become exempt from all excess levies and Part 2 of the state school levy. The value of your residence and land is frozen in the year first qualified. In order to qualify for this program the following four requirements must be met during the assessment year. If you were to apply for an exemption on your 2022 taxes, the assessment year would be 2021. All forms associated with the Exemption Program can be found in the Forms and Links Section.

Eligibility Requirements

1. AGE OR DISABILITY

The Applicant must meet one of the following by December 31:

  • Age 61 OR
  • 80% military service-connected disability, OR
  • Social Security-deemed disabled or letter of disability from your doctor (Proof of age or disability, including date deemed disabled, must be submitted with the application) OR
  • Be the surviving spouse or domestic partner of someone who was receiving the exemption at the time of his or her death. The surviving spouse or domestic partner must apply to continue the exemption, must have been at least 57 years old in the calendar year the claimant dies, and must otherwise qualify for the program.

2. OWNERSHIP

  • The residence must be owned by the applicant at the time the exemption is claimed.
  • Qualifying ownership includes fee simple, contract purchase, life estate and lease for life. 
  • A home owned jointly by a married couple, a registered domestic partnership or by a co-tenant is considered owned by each spouse, domestic partner, or co-tenant.
  • Only one person must meet the age or disability requirements. A co-tenant is a person who resides with the claimant and has ownership interest in the residence. Income information for the co-tenant must be provided.

3. OCCUPANCY

  • The applicant must have occupied the residence for more than six months a calendar year. **must be 9 months in the 2019 assessment year**
  • Properties used as a vacation home are not eligible for the exemption program.
  • Vacant land does not qualify for the program

4. INCOME

  • The combined disposable income for the household less any allowable deductions cannot exceed $40,000.
  • You must provide documentation for all income received by you, your spouse or domestic partner and any co-tenants.

*Income Thresholds are reevaluated every five years by the State Legislature and the next adjustment will be made in 2024.

When Applying Include Your

  • Photo ID (ID Card, Driver's license or Passport)
  • Social Security end-of-year 1099 form
  • Pension or Annuity end-of-year 1099 form
  • Interest Income end-of-year 1099 form
  • IRA Income
  • Disability letter from Social Security or Doctor
  • Unemployment Benefits
  • VA Disability Letter
  • Military Benefits
  • Life Estate Documents
  • Revocable, Irrevocable or Living Trust Documents
  • Receipts of any other income you might be receiving within your household (this includes rentals)
  • If taxes are filed - IRS Tax Return or an official IRS Transcript (bring all pages)
  • Receipts for all deductions

Allowable Deductions

  • Living in a nursing home, assisted living facility, or adult family home.
  • Out of Pocket expenses for Prescription drugs.
  • In-home care that is similar to the care you would receive in a nursing home.
    • In-home care includes:
      • Medical treatment.
      • Physical therapy.
      • Household care.
      • Personal care.
    • Personal care includes assistance with:
      • Preparing meals.
      • Getting dressed.
      • Eating.
      • Taking medications.
      • Personal hygiene.
  • Premiums for Medicare Parts A, B, C, and D.

Deductions listed below this point are only available for the 2022 Tax Year forward:

  • Premiums for Medicare supplemental policies (Medigap).
  • Durable medical and mobility enhancing equipment. Click Here for List
  • Prosthetic devices. Click Here for List
  • Medically prescribed oxygen.
  • Long-term care insurance.
  • Cost sharing amounts (amounts applied to your health plans out of pocket maximum amount).
  • Medicines of mineral, animal, and botanical origin if prescribed, administered, dispensed, or used in the treatment of an individual by a naturopath licensed in Washington.
  • Ostomic items.
  • Insulin for human use.
  • Disposable devices used to deliver drugs for human use

Application Submittal

You can mail your information to the Assessor's office, or drop off your application in person at either the Coupeville or Camano Annex.

  • Coupeville Street address – 1 NE 7th Street, Suite 208
  • Coupeville Mailing address – PO Box 5000, Coupeville WA 98239
  • Camano Annex address – 121 NE Camano Drive

If you have any questions regarding the exemption program, contact Jeff Douglas at the Island County Assessor's office at 360-678-7853.

What Happens After I Submit my Application?

Your application will be processed in the order that it is received. A letter will be mailed to the applicant. The letter will advise the applicant if their application was approved or denied. If you receive an approval, the letter will also specify your Tier within the program. See the table below.

Tier 1

Income of

$0-$30,000:

Exempt from regular property taxes on $60,000 or 60% of the valuation whichever is greater plus exempt from 100% of excess levies
Tier 2

Income of

$30,001-$35,000:

Exempt from regular property taxes on $50,000 or 35% of the valuation whichever is greater not to exceed $70,000 plus exempt from 100% of excess levies
Tier 3

Income of

$35,001-$40,000:

Exempt from 100% of excess levies and Part 2 of the State School Levy

Renewals

Currently, the renewal of your senior and disabled property tax exemption is once every five years in Island County, once you get on the rotation schedule. For example, a new applicant in 2021 who lives in the Cycle area 2 will renew in 2023 and then again in 2028. Our office will mail you the renewal form.

  • If you live in Cycle area 1, you will renew in 2022
  • If you live in Cycle area 2, you will renew in 2023
  • If you live in Cycle area 3, you will renew in 2024
  • If you live in Cycle area 4, you will renew in 2025
  • If you live in Cycle area 5, you will renew in 2026
senior_cycles.jpg

Change in Status

If one of the following changes occur, you are required notify the Assessor's Office by submitting a Change in Status form.

  • Change in income level
  • Change in living circumstances
  • Death of a spouse, domestic partner or applicant
  • Change of principal residence
  • Death of eligible applicant (survivors must notify the Assessor's office)
  • Sale or Ownership Transfers (transfer to a trust may affect eligibility)
  • Change in disability status
  • Change in marital status

Appeals

An applicant may appeal an exemption denial to the county Board of Equalization within 30 days of the date of the determination. An applicant may also appeal if the applicant disagrees with the level of exemption as determined by the assessor. The same holds true when the applicant disagrees with the assessor's determination regarding exclusion of a portion of the property.

Forms and Links

*** For the 2022 Tax Year and forward all Applications, Renewals and Change of Status forms must be submitted with a Combined Disposable Income Worksheet included.

If you have any questions regarding the exemption program, contact Jeff Douglas at the Island County Assessor's office at 360-678-7853.

Property Tax Assistance Program for Widows or Widowers of Veterans

The State of Washington has a program that will assist you if you are a widow or widower of a qualified veteran. This program supplements the Property Tax Exemption Program for Senior Citizen and People with Disabilities. You must qualify for the exemption program first before applying for assistance with the State of Washington Department of Revenue.

*Assistance Applications must be submitted with a Combined Disposable Income