North Carolina House considers bill to update homestead tax exclusions for seniors and disabled

Rep. Maria Cervania has introduced a new bill that seeks to revise property tax relief options for low-income seniors and disabled homeowners, as well as make changes to associated eligibility and reimbursement guidelines, according to the North Carolina State House.

Filed as HB 1179 on April 30 in the 2025 regular session, the bill carries the title: ‘Senior Property Tax Relief Modernization Act.’

The following summary, based on the official bill text, may include interpretation for added clarity about its features.

Under this bill, North Carolina’s elderly or disabled homestead exclusion is restructured so that homeowners earning up to 55% of the state median income qualify for the full exclusion; relief gradually decreases between 55% and 80%; those above 80% are ineligible. Recipients could also utilize the homestead circuit breaker. New rules assist qualifying ‘resident seniors’ with fractional or heirs’ property, allowing them to get full relief under certain conditions. The bill reduces the ownership and occupancy requirement for the circuit breaker from five to three years and establishes a state-funded reimbursement initiative to compensate counties and cities for deferred taxes. In addition, it directs $20 million to local reappraisal technology grants, allocates $250,000 to explore automatic income checks, and provides $2 million yearly for attorneys assisting with property tax appeals. Section 1 applies to taxes beginning July 1, 2027; other funded sections start July 1, 2026.

Cervania is one of four sponsors for this bill; she filed the most bills (45) among sponsors during the 2025 regular session.

In North Carolina, legislation must pass several steps before becoming law. After a bill is filed by a lawmaker, it moves to a committee for evaluation. The bill is read three times in both legislative chambers. If any chamber amends the bill after the other has passed it, agreement must be reached. Once each chamber approves the same version, the bill is sent to the governor, who has 10 days (or 30 days when the legislature is out of session) to sign, veto, or allow it to become law without signature.

Additionally, you can find further details on bills and legislative measures here.

Cervania earned a BA from the University of California at Berkeley.

A member of the Democratic Party, Cervania was elected in 2023 to represent North Carolina’s 41st House district, succeeding former state representative Gale Adcock.