How the homestead exemption cuts your Baylor County property tax bill

If you own and live in your home in Baylor County, you can apply for a homestead exemption. This cuts how much of your home's value gets taxed. Texas requires every school district to exempt $140,000 of your home's value from school taxes. Local taxing units — the county, city, and special districts — may give extra exemptions up to 20 percent of value, with a minimum of $5,000.

Homeowners age 65 or older get an extra $60,000 school district exemption on top of the standard amount. They also get a school tax freeze. Once you qualify, your school taxes cannot go up, even if your home's value rises. Disabled homeowners get the same freeze. A surviving spouse age 55 or older can keep a deceased spouse's exemption if they stay in the home.

To apply, file Form 50-114 with the Baylor County Appraisal District. The appraisal district is the local office that sets home values for tax purposes. The usual deadline is before May 1 of the tax year. Late applications may be accepted up to two years after the delinquency date. Check the appraisal district's website for current deadlines — they can change. One key rule: once your homestead exemption is active, your home's appraised value cannot rise more than 10 percent per year, no matter what the market does. This cap is set by Tax Code Section 23.23 and takes effect the January 1 after you first qualify.