Know before you go
- You must own and live in the home on January 1 to get the exemption for that tax year.
- Fulton’s basic exemption takes $30,000 off assessed value for county taxes and, in Atlanta, for city taxes.
- Under House Bill 581, the 2025 assessed value of an eligible homestead stayed at its 2024 level.
A homestead exemption lowers the taxable value of the home you live in. In metro Atlanta it is one of the few parts of a property tax bill that a homeowner controls directly, and it is not automatic: you have to apply. Once granted it usually renews on its own every year. Here is how it works, step by step, for someone who has just bought.
Step 1: Check the January 1 rule
The Georgia Department of Revenue says a homeowner is generally entitled to a homestead exemption on the home and the land under it if the home was owned by the homeowner and was their legal residence as of January 1 of the tax year. You have to actually live there; it is your legal residence for all purposes. The practical effect for a buyer: if you close in, say, March, the exemption starts with the next tax year, not the current one.
Step 2: Know the deadline
Applications go to your county tax officials, usually the tax commissioner and in some counties the tax assessor’s office. The traditional deadline is April 1, the same date property tax returns are due. The Department of Revenue now adds that taxpayers can apply after April 1, up to the end of their 45-day window to appeal the notice of assessment. Applying early avoids relying on that window.
Tip: File as soon as you have moved in and changed your driver’s license address. Fulton County, for example, asks for a valid Georgia driver’s license or ID, a Social Security number and vehicle registrations for the owner and spouse.
Step 3: Understand the layers
The state offers a standard exemption of $2,000, deducted from the 40 percent assessed value, against county and school taxes, with exceptions for municipal school taxes and bond debt. Counties can pass larger local exemptions, and the Department of Revenue notes that the county exemptions are generally more beneficial to the homeowner. A few examples from county sources:
| Where | Basic exemption | Source |
|---|---|---|
| Fulton County | $30,000 off assessed value for county taxes, $2,000 off school | Fulton County 2025 Homestead Exemption Guide |
| City of Atlanta (Fulton residents) | $30,000 off city operations, park fund and city school | Same guide |
| Cobb County | $10,000, saving $271.60 a year on county and school taxes | Cobb Tax Commissioner 2026 rate sheet |
On Fulton’s 2025 county rate of 8.87 mills, a $30,000 reduction in assessed value saves about $266 a year on the county portion alone. Seniors, disabled veterans and some surviving spouses can claim more; Fulton lists separate exemptions at ages 62, 65 and 70, several of them tied to income.
Step 4: Learn what floating means
A floating exemption limits how fast the taxable value of your home can grow. Fulton’s guide explains the formula: the exemption equals your assessed value minus your base year value, plus the basic exemption. The base year value is usually the assessed value from the year before you applied, and in Fulton County it rises each year by the consumer price index or 3 percent, whichever is less. For the City of Atlanta’s exemption, the base rises by 2.6 percent a year.
| Year | Market value | Assessed (40%) | Base year value | Exemption | Taxable value |
|---|---|---|---|---|---|
| 1 | $250,000 | $100,000 | $100,000 | $30,000 | $70,000 |
| 2 | $300,000 | $120,000 | $103,000 | $47,000 | $73,000 |
| 3 | $400,000 | $160,000 | $106,090 | $83,910 | $76,090 |
This is the guide’s own example. The market value rises by $150,000 over two years, but the taxable value grows by only $6,090. The guide adds two cautions: the bill itself can still rise if millage rates go up, and significant changes to the property can reset the base year value.
Step 5: Add the statewide floating exemption
House Bill 581, passed in 2024, created a statewide floating homestead exemption that applies unless a county, city or school district opted out. The Department of Revenue’s January 2025 bulletin explains that for the 2025 digest the base year value was the 2024 assessed value, so the assessed value of an eligible homestead did not change from 2024 to 2025. From the 2026 digest year, the base is adjusted each year by an inflation rate; the method the Revenue Commissioner proposed uses the consumer price index for all urban consumers. Whether your county, city and school district take part is a question for your tax assessor.
After you are approved
- The exemption renews automatically each year while you own and live in the home.
- If the names on the deed change, even with the same people living there, the owner who occupies the home has to reapply, according to Fulton’s guide.
- Some income-based exemptions need renewal; Fulton’s low-income exemption has to be renewed every two years.
- Check each annual assessment notice. If the value looks wrong, the appeal window is 45 days.
Common questions
Can I claim an exemption on a rental property?
No. The exemption is for the home you occupy as your legal residence.
Does the exemption freeze my bill?
Not exactly. Floating exemptions limit growth in taxable value; millage rates are set each year by the county, city and school district. Which rates apply to you is explained in Atlanta-Area Property Taxes by County: 2026 Rates for DeKalb, Cobb, Gwinnett and Fulton.
I bought after January 1. What now?
Apply anyway, so that the exemption is in place for the next tax year. The renting-versus-buying math, including this timing, is in Rent vs Buy in Metro Atlanta: What the Census Numbers and Georgia Rules Say.