Homestead Tax Credit

Any property owner in the State of Iowa who lives in the property can
receive a homestead tax credit. To be eligible, a homeowner must occupy the
homestead any six months out of the year, but must reside there on July 1.
This exemption is a reduction of the taxable value of their property
amounting to a maximum $4,850 or the amount which does not allow the
taxable value to be less than zero
Disabled veterans are allowed to claim a homestead credit that would be
equal to the entire amount of taxes levied on the homestead property. The
exemption is not allowed if the combined income of the veteran and their
spouse, if any, exceeds $25,000 in the prior income tax year. Income means
taxable income for federal income tax purposes plus income from any
political subdivision exempt from federal income tax. See Code of Iowa
Chapter 425.