Real Property
Real Estate Taxes: Real Property Tax Relief
10 Percent and 2.5 Percent Rollbacks, and Homestead
Exemption, by County, Distributed during Calendar Year 2003
(for Tax Year 2002)
State law (Revised Code Section 319.302) requires the county
auditor to reduce all real property taxes charged by 10
percent. In addition, Section 323.152(B) requires the county
auditor to further reduce the real property tax on
owner-occupied property by 2.5 percent. Owner-occupants who
are age 65 or older or who are permanently and totally
disabled may qualify for an additional reduction in their
real property taxes by applying for a homestead exemption
under Section 323.152(A). In calendar year 2003 (tax year
2002), homestead exemption was available for aged or disabled
owner-occupants whose total income did not exceed $24,100.
Local governments are fully reimbursed from the state general
revenue fund for these tax reductions. The Department of
Education reimburses the schools and the Tax Commissioner
reimburses the counties, townships, municipalities, and
special taxing districts. The county auditor also
receives 2 percent of the amount reimbursed under Section
323.152 as payment for administering the homestead exemption
and 2.5 percent rollback.
Table PD-1 indicates that during calendar year 2003,
reimbursements to local governments totaled $1,188.6 million,
including $984.7 million for the 10 percent rollback, $65.6
million for the homestead exemption (including $748,526 for
late-filers), and $138.3 million for the 2.5 percent rollback
(including $119,966 for late-filers). Additionally, $4.1
million was paid to county auditors for administering the
homestead exemption ($1.3 million) and 2.5 percent rollback
($2.8 million). These administration payments are excluded
from the table.