As Oklahomans consider their potential tax exemptions ahead of the tax filing season, Rep. Lonnie Sims, R-Jenks, wants Oklahomans to check if they’re eligible for the homestead exemption after new legislation took effect Jan. 1.

House Bill 1009 increased the statutory income qualifier to claim an additional homestead exemption from $20,000 to $25,000. This adjustment qualifies more Oklahomans for the exemption, as the income requirement had not been updated since 1997 despite several cost-of-living adjustments by Social Security and others.

“Many Oklahomans who live on a fixed income lost their homestead exemption because they didn’t meet the income qualifier as a result of cost-of-living adjustments enacted since 1997,” Sims said. “With this updated law, more Oklahomans can apply for this benefit and receive extra tax savings, which makes a huge difference for people who live paycheck-to-paycheck. I hope Oklahomans take advantage of this opportunity while considering what exemptions they’re eligible for as they prepare to file their 2021 taxes.”

In May 2021, the governor signed House Bill 1009 into law. The additional homestead exemption reduced, by $1,000, the assessed valuation on the homestead of a homeowner whose gross household income is below the income qualifier limit. The legislation also prohibited any one-time federal disbursements, such as CARES funding, from being included in the income calculation for this exemption. On average, the double homestead exemption results in a savings ranging from $87 to $137 annually.

According to the Oklahoma Tax Commission (OTC), the deadline to apply for a homestead exemption is March 15.