Applicants must be 65 years of age or totally and permanently disabled. In addition, the total income for 2025 for both an applicant and spouse cannot exceed $38,800. For unmarried joint property owners, each owner must apply separately and benefit limitations may apply based on the percent of ownership.
Elderly or Disabled Exclusion – NC General Statute 105-277.1
This program excludes from taxation the first $25,000 or 50% (whichever is greater) of assessed value for the permanent residence. Exclusion means some of the value will not be considered when your tax bill is created. If you do not qualify for the program in future years, the excluded value from prior years does not become taxable.
Once approved for the Elderly or Disabled Exclusion, you do not need to reapply unless your permanent residence has changed, your income now exceeds the current annual income eligibility limit, or you are no longer totally and permanently disabled. If the person receiving the exclusion last year was deceased prior to January 1, the person required by law to list the property must notify the Clay County Tax Office. The surviving spouse or joint property owner is required to reapply for the exclusion if qualified. Failure to make any of these notices before June 1 will result in penalties, interest, and the possible loss of the exclusion.
