{"data":{"id":"us-dc/d.c.-code-47-864","jurisdiction":"us-dc","citation":"D.C. Code § 47-864","heading":"Owner-occupant residential tax credit.","body":"(a)\nReal property receiving the homestead deduction under § 47-850 or § 47-850.01 shall receive an owner-occupant residential tax credit.\n\n(b)\nThe credit under subsection (a) of this section shall be calculated as follows:\n(1)\n(A)\nIn the case of real property that did not receive the credit under this section in the prior tax year:\n(i)\nSubtract the current tax year’s homestead deduction from the prior tax year’s assessed value; and\n(ii)\nMultiply the amount by 110% to determine the current tax year’s taxable assessment; provided, that for real property receiving in whole or in part the homestead deduction under § 47-850 or § 47-850.01 and the tax relief deduction provided under § 47-863, the multiplier shall be 102% relative to that whole or part; or\n(B)\nIn the case of real property that did receive the credit under this section in the prior tax year:\n(i)\nMultiply the prior tax year’s taxable assessment by 110%; provided, that for real property receiving in whole or in part the homestead deduction under § 47-850 or § 47-850.01 and the tax relief deduction provided under § 47-863, the multiplier shall be 102% relative to that whole or part; and\n(ii)\nSubtract from that amount the difference of the current tax year’s homestead deduction less the prior tax year’s homestead deduction to determine the current tax year’s taxable assessment.\n(2)\nSubtract the current tax year’s homestead deduction from the current tax year’s assessed value;\n(3)\nSubtract the current tax year’s taxable assessment determined under paragraph (1) of this subsection from the amount determined in paragraph (2) of this subsection; and\n(4)\nIf the amount determined under paragraph (3) of this subsection is a positive number, multiply the amount by the applicable real property tax rate to determine the credit for the current tax year.\n\n(c)\nThe credit under this section shall not apply if:\n(1)\nDuring the prior tax year:\n(A)\n(i)\nThe real property was transferred for consideration to a new owner; or\n(ii)\nThe return required by §§ 42-1103(d) and 47-903(d) was due;\n(B)\nThe value of the real property was increased due to a change in the zoning classification of the real property initiated or requested by the homeowner or anyone having an interest in the real property; or\n(C)\nThe assessed value of the real property was clearly erroneous due to an error in calculation or measurement of improvements on the real property;\n(2)\nDuring the prior calendar year, the real property was assessed under § 47-829; or\n(3)\nDuring the current tax year, the qualifying homestead deduction applications for dwelling units in a cooperative housing association are:\n(i)\nFiled for less than 50% of the dwelling units; or\n(ii)\nNot filed timely for the entire tax year.\n\n(d)\nNotwithstanding any other provision of this section, if the entire interest in the real property is transferred to a new owner and the real property no longer qualifies as a homestead pursuant to § 47-850 or § 47-851[§ 47-850.01], the real property shall be entitled to the credit applicable to the installment payable during the half tax year during which the ownership interest was transferred. At the end of the half tax year, the credit shall cease.\n\n(e)\nNotwithstanding any other provision of this chapter, if the current tax year's taxable assessment of a real property receiving the homestead deduction under § 47-850(a) or § 47-850.01 is less than 40% of the current tax year's assessed value, the current tax year's taxable assessment for purposes of this section, § 47-850(a), and § 47-850.01 shall be 40% of the current tax year's assessed value, the real property shall be taxed for purposes of § 47-813 on such taxable assessment, and there shall be no credit under this section.\n\n(f)\nThe credit under this section shall:\n(1)\nBe nonrefundable;\n(2)\nBe apportioned equally between each installment during the tax year; and\n(3)\nNot be carried forward or carried back.\n\n(g)\nFor that part of a housing cooperative receiving the homestead deduction under § 47-850.01 and the tax relief deduction provided under § 47-863, the credit under this section attributable to the assessment exceeding 102% up to 110% of the prior tax year's taxable assessment (or the current tax year's taxable assessment if the credit was not received in the prior tax year) shall be an additional benefit to be passed on to the eligible household in the same manner as the deduction under § 47-863(c)(2)(C).  No such credit attributable to such assessment increase shall be passed on unless the entire housing cooperative qualifies for a credit under this section.  The part of the housing cooperative that does not qualify for both the homestead deduction under § 47-850.01 and the tax relief deduction provided under § 47-863 shall only receive the credit under this section attributable to the assessment exceeding 110% of the prior tax year's taxable assessment (or the current tax year's taxable assessment if the credit was not received in the prior tax year).","path":["Title 47. Taxation, Licensing, Permits, Assessments, and Fees. [Enacted title]","Chapter 8. Real Property Assessment and Tax.","Subchapter III. Miscellaneous."],"source_url":"https://code.dccouncil.gov/us/dc/council/code/sections/47-864","current_through":"2026-08-20 (D.C. Law 26-175)","vintage":"","retrieved_at":"2026-08-29T05:44:07Z","sha256":"4a0a134bf3e6f3a56d8358d1737ffd52734351a7fa42b05c9cb09e434f022985","source_id":"us-dc","stale":false,"prev":"us-dc/d.c.-code-47-863","next":"us-dc/d.c.-code-47-864.01"},"notice":"GroundRules: Original legal text. Not legal advice."}