A sole dwelling is the only dwelling maintained by the tax relief applicant as his or her full-time residence. Virginia permits localities to provide a real estate tax exemption on “real estate … designed for continuous habitation owned by, and occupied as the sole dwelling…”
The tax relief available to an otherwise qualified applicant should not be affected if he or she randomly and sporadically visits his or her family or friends and sleeps away from home for indeterminate, short periods of time. However, if a person regularly resides in another house during a certain period of time each year, that person will likely not qualify for tax relief.
An individual residing in a hospital, nursing home, convalescent home or other facilities for physical or mental care for an extended period of time, shall not lose his or her exemption, as long as the applicant’s dwelling is not be rented.
Each individual’s situation will be different and could result in the need for the taxpayer to provide an explanation and/or additional documentation to make a qualification determination.
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Within 30 days of selling your home please notify the Exemptions & Deferrals Division 703-737-8557 that you have sold the home. Tax Relief will be stopped at the end of the full month prior to the sale.
If you move out to permanently reside elsewhere please notify the Exemptions & Deferrals Division at 703-737-8557 within 30 days. Tax Relief will be stopped at the end of the full month prior to your vacating the residence.
If an applicant passes away please notify the Exemptions & Deferrals Division at 703-737-8557 within 30 days. If that person was the only qualifying applicant then Tax Relief will be stopped at the end of the full month prior to the date of death. If there is another qualifying applicant Tax Relief will continue.
Yes. Numerous Virginia Attorney General opinions have concluded that distributions from IRAs and annuities are income for tax relief purposes, even if a portion or all of the distribution is a return of the taxpayer’s contribution or investment.
No, as of 2022 neither the application nor the certification requires notarized signatures.
Based on guidance from the IRS the payment received from the CARES Act passed in March 2020 will be considered a refundable tax credit on your Income tax return and will therefore not be considered income for tax relief purposes.
In accordance with the IRS Revenue Ruling 2021-02 which states “that any amount that otherwise would be includible in an eligible recipient’s gross income by reason of such forgiveness is excluded from gross income,” the forgiveness of the PPP loans will not be considered income for purposes of calculating the Gross Income for Tax Relief purposes.
The Board of Supervisors approved an increase to the qualifying income for the 2022 Real Estate Tax Relief applications. Please see the chart on https://www.loudoun.gov/5002/Real-Property-Tax-Exemption-Elderly-Disa for the income limits. The Board of Supervisors also approved the deduction of 100% of the disability income of the owner, owner’s spouse and any relative of the owner or owner’s spouse residing in the home for real estate tax relief.
Please contact a Tax Relief Specialist at 703-737-8557 to discuss your business. Gross Income for tax relief purposes is the income available to meet expenses. A deduction of necessary business expenses that reduce the income available to meet personal expenses is allowed. Other non-cash deductions on the Schedule C or deductions that are not necessary to maintain the business are not deductions for Tax Relief income calculation purposes.