Senior and Veteran Property Tax Deferral Program

The Property Tax Deferral Program is a program offered by the State of Colorado. It allows you to postpone your tax payments until you sell your property or your estate is settled after your death. The approval of your deferral will result in a lien being recorded on your property to “document” the tax deferral and amount due.

The State Treasurer’s office makes tax payments directly to the county on your behalf for the tax amount due. You can defer either the full amount or half amount of your taxes. The loan and accrued interest is logged as a lien against your property. The current rate through 04/30/2022 is .01081 (1.081%).  The interest rate for deferred property tax from 05/01/2022 to 04/30/2023 is 1.375% (.01375).

Requirements for Eligibility

Seniors 

  • Applicant must be a senior who is 65 or older or a surviving spouse of a senior who previously qualified for the exemption.
  • Applicants must have owned and occupied the property as their primary residence for ten or more years.
  • Fifty percent of the first $200,000 in actual property value is exempt from property taxation.

Disabled Veterans

Applicant must be a one hundred percent permanently disabled veteran who has been rated by the U.S. Department of Veterans Affairs as permanently disabled. (VA unemployability awards do not meet the requirement for determining an applicant\'s eligibility.)

Applicants must have owned and occupied the property as their primary residence on January 1st of the year in which they are applying for the exemption. (If the veteran\'s spouse is an owner and the veteran is not, the veteran can still qualify if the couple was married on or before January 1 and both have occupied the property as their primary residence since January 1).

Fifty percent of the first $200,000 in actual property value is exempt from property taxation.

Procedure

  • Those who qualify must file an application with their respective county treasurer between January 1st and no later than the close of business on March 30th of each year.  
  • Once approved, the county treasurer will issue a certificate of deferral to the property owner, keeping one copy on record and sending one copy to the state Treasurer's office. (Note: If property taxes are included in your mortgage payment, you should present a copy of your deferral certificate to the mortgage lender for a refund of the property tax monies held in escrow)
  • By April 30, the state Treasurer's office will pay the deferred amount to the county treasurer, where the property is located.
  • The State Treasurer's office maintains an account for each tax-deferred property that accrues interest credited to the state's General Fund. Call the Treasurer's office for the current interest rate.
  • When the deferred amount is paid to the county treasurer upon sale or transfer of the property, that amount is then transmitted to the State Treasurer's office.

Applications