Who Qualifies for the Home Exemptions?

You are entitled to the home exemption if:

1. You own and occupy the property as your principal home (the dwelling where you live most of the year);

2. Your ownership is recorded at the Bureau of Conveyances, State Department of Land and Natural Resources, in Honolulu on or before September 30 proceeding the tax year for which you claim the exemption. In the case of a lease, the document must indicate that the lessee has a lease for residential purposes for a term of five years or more and will pay all property taxes.

3. You file a claim for home exemption, Form P-3, with the Real Property Assessment Division on or before September 30 preceding the tax year for which you claim the exemption. The law allows just one (1) home exemption for any taxpayer in the State of Hawaii. The basic home exemption is $40,000. This means that $40,000 is deducted from the assessed value of the property and the homeowner is taxed on the balance. (However, there is a $100 minimum real properly tax.) For homeowners over 55 years and older, additional home exemptions are permitted. For ages 55-59, the multiple-home exemption is equal to $60,000. For those ages 60-64, exemption if $80,000. For 65-69 years, the exemption is $100,000. And for those 70 years and over, exemption is $120,000. There are other exemption cases available, too.

For more information and to obtain the appropriate forms for filing: