SUBMITTED REPORT
Texans who are 65 or older or who are disabled may postpone paying current and delinquent property taxes on their homes by signing a tax deferral affidavit at the Hays Central Appraisal District office. However, if there is a mortgage lien on the property, you might want to clear it with the lienholder prior to filing the deferral. Some mortgage companies do not allow a tax lien to take precedence over their lien and will step in and pay the taxes if they are deferred by the owner.
Once the affidavit is on file, taxes are deferred – but not cancelled – as long as the owner continues to own and live in the home. Taxes continue to add up, along with eight percent interest per year. The law extends the tax deferral to the surviving spouse of the person who deferred taxes on the homestead if the surviving spouse was at least 55 years old when the deceased spouse died.
If a tax deferral affidavit is on file, an older homeowner or one who is disabled cannot lose a homestead because of delinquent property taxes. A homeowner can halt a pending sale to foreclose on the homestead’s tax lien. No taxing unit can start or continue a lawsuit to collect delinquent taxes. There are no penalties on delinquent taxes during the deferral period; however, a tax deferral does not cancel penalties that were already due.
All deferred taxes and interest become due when the homeowner or surviving spouse no longer owns and live in the home. If the tax debt remains unpaid, penalties may be imposed and taxing units may take legal action to collect the past due amount.
For further details about property tax deferral, contact the Hays Central Appraisal District at 512-268-2522 or 21001 Interstate 35, Kyle. Information is also available on the state comptroller’s website, www.window.state.tx.us/taxinfo/proptax/ or by calling the Comptroller’s Property Tax Assistance Division at (800) 252-9121, ext. 2.
