Tax Freeze for Seniors

The Montgomery County Trustee's office administers the Montgomery County Tax Freeze Program.  If you are a new applicant this year, the Tax Freeze Program freezes the 2024 tax amount on residential property taxes based on the tax amount from 2024. If you were approved for the Tax Freeze Program in the previous year, your 2024 taxes remain frozen for the base year in which you were approved. Improvements to the Primary residence (such as adding a room, carport, or garage) will result in a "proportional increase" to the frozen base tax. Certain land use restrictions may make a portion of the property ineligible.

The Tax Freeze program was approved by Tennessee voters in a November 2006 constitutional amendment referendum.

The State Legislature passed Public Chapter 581, the Tax Freeze Act of 2007. The Tax Freeze Act permits local governments to implement the program.

On March 10, 2008, the Montgomery County Commission unanimously passed Resolution 08-3-4, to adopt the Property Tax Freeze Program for Montgomery County Elderly Homeowners.

Under the program, qualifying homeowners, age 65 or older, can "freeze" the tax due on their property, at the amount for the year they qualify, even if the tax rate or appraisal increases.

To remain on the Tax Freeze Program, every year the applicant must provide proof of eligibility (ownership and income) for every year re-application is made.

Qualification

You may qualify for the Elderly Homeowner Tax Freeze Program if you meet the following requirements on or before December 31st of the current year:

Age

• Must be 65 or older on or before December 31, of the current year.
• Applicants must present proof of age-birth certificate, driver license, Medicare card, passport, military ID or marriage certificate which states the applicant’s age or approval for the State of Tennessee Tax Relief program.

Proof of Ownership

• Copy of current year tax notice or receipt, deed, or probated will.
• Special considerations and rules apply as follows: to mobile homes set on rental property; for qualified taxpayers temporarily living in health care facilities; for mixed-use property, such as residential/commercial splits; and, for Holders of Life Estate on the property.

Proof of Residency

• Copy of voter registration card or tax receipt.
• You will be required to sign the tax freeze application - I certify that the property for which the tax freeze is sought is my principal residence for voting purposes and that I have not submitted another property as my principal residence for any purpose in the jurisdiction, the State of Tennessee or any other state.

Proof of Income

• The combined total 2023 annual income of all owners of the property cannot exceed $60,000.00. T.C.A. 67-5-705 0600-09-.06-(3) Annual Income from all sources shall include but is not limited to social security payments after the Medicare deduction, social security disability, supplemental security income, retirement, and pension benefits after deduction of health care insurance premiums, veteran’s benefits, worker’s compensation, unemployment compensation, salaries and wages, alimony, total interest, and total dividends. For income from a business, farm, rental property, estate settlement, sale of securities, or other comparable source, include only the net income or loss after expenses. Documentation of the loss must be provided with the application. Gain or loss from the sale of a principal residence, AFDC, child support, food stamps, and VA aid and attendance shall not be considered income. Except as otherwise provided by the statute or these rules, determinations regarding the income of an applicant or owners of property shall be guided by the Federal Income Tax requirements for determining income. When determining the income using a tax return, the adjusted gross income amount is used. This amount is added to any income sources specified above which may not be taxable by IRS standards. (4) Social Security, railroad retirement benefits, and Veterans Administration benefits that are required to be paid to a nursing home for the care of the taxpayer, or co-owner(s), shall not be considered income. Documentation completed by the Nursing Home Administrator or person handling the taxpayer’s business must be provided.

To be considered for the 2024 property tax freeze, your application must be filed by April 5, 2025. The application process for 2024 will open in late July.

Applying

Please visit the Trustee's Office at your convenience to apply for the tax freeze. It will take approximately 30 minutes to assist you in applying for the Tax Freeze Program. The Trustee's Office is located at the Montgomery County Veteran's Plaza, 350 Pageant Lane., Suite 101-B.

Please gather the following documents and bring them to the Trustee's Office:

• Proof of Age - Birth Certificate, Driver's License, Medicare Card, Passport, Marriage Certificate which states the applicant's age or approval for the State of Tennessee Tax Relief program.
• Proof of Ownership and Residency - Copy of Voter Registration Card, current year's Tax Receipt or Notice, Deed, or Probated Will. You will also need a copy of a Death Certificate if one of the property owners has become deceased.
• Proof of 2023 Total Income from all sources and from all owners and the total income cannot exceed $60,000.00 (see previous page for a detailed list of income sources).

You will be required to read the following statement and sign the tax freeze application:

I certify this information to be correct and understand I am subject to penalty and interest for intentionally providing false information. Any taxpayer, who knowingly provides false information concerning the taxpayer’s income or other information relative to eligibility for such program, commits a Class A misdemeanor. For a period of 18 months, I voluntarily authorize the Social Security Administration, Internal Revenue Service, or anyone, to release my social security number, name, date of birth, disability status, and income to the Property Tax Freeze Program. I certify that the property for which the tax freeze is sought is my principal residence for voting purposes and that I have not submitted another property as my principal residence for any purpose in the jurisdiction, the State of Tennessee or any other state.

TO BE CONSIDERED FOR THE 2024 TAX RELIEF/TAX FREEZE PROGRAM(S), THE APPLICATION AND SUPPORTING DOCUMENTS MUST BE FILED IN THE TRUSTEE'S OFFICE BY APRIL 5, 2025.