65 and Over Tax Impact
On February 12, 2026, the Hereford ISD School Board of Trustees called for a $150,000,000 school bond to build a new high school (not additional), safe rooms (multi-purpose) as well as other safety features throughout the district. One question I keep hearing in the course of conversations within the community is: If I am 65 or over, how will this affect my taxes? The simple answer is that it won’t increase your taxes above your tax ceiling. In Texas, homeowners aged 65 and older receive property tax relief through state-mandated exemptions and "tax ceilings" or “caps” that limit future increases. As of 2026, recent legislative updates have further expanded these benefits as follows:
Property Tax Exemptions:
For the 2025 and 2026 tax years, qualifying seniors can reduce the taxable value of their primary residence.
General Homestead Exemption: All Texas homeowners currently receive a $140,000 school district tax exemption.
Over-65 Homestead Exemption: Seniors receive an additional $60,000 mandatory exemption for school district taxes.
Combined Impact: These two exemptions together exclude $200,000 of a home's value from school district taxation.
The Tax Ceiling (Cap) The "tax ceiling" or "senior cap" is one of the most powerful protections for Texas seniors.
How it Works: Your school district taxes are "capped" at the amount you paid during the first year you qualified for the over-65 exemption.
Future Impact: While your home’s appraised value or tax rates may rise, your school district tax bill will not exceed this ceiling as long as you own and live in the home.
Improvements: Taxes only increase beyond the ceiling if you make significant improvements (e.g., adding a room or a pool), not for standard maintenance like roof repairs.
Surviving Spouse: If a homeowner passes away, the tax cap remains in place for a surviving spouse who is 55 or older.
Transferability: If you move to a new home in Texas, you can often transfer the percentage of your tax savings to the new property.
Application: You must apply for the exemption with the local county appraisal district within one year of turning 65 or becoming disabled.
Please let me know you have specific questions concerning this exemption or contact the Deaf Smith County appraisal district. You can also review HISD Board policy CCGA (Ad Valorem Taxes: Exemptions and Payments) for more information.