Alaska Homestead Exemption: Senior, Veteran and Local Tax Breaks

Alaska has no statewide homestead exemption for every homeowner, and the state does not levy the property tax on homes. Boroughs, unified municipalities and cities levy it under AS 29.45.010. State law requires every municipality that taxes property to exempt the first $150,000 of assessed value of the primary residence of residents 65 or older, disabled veterans rated 50 percent or more, and certain surviving spouses 60 or older (AS 29.45.030(e)). You apply in writing to your municipal assessor or clerk, by a deadline your municipality sets.

Some municipalities also offer an optional residential exemption of up to $75,000 of assessed value, but only where voters ratified it (AS 29.45.050(a)), and some adopt other local options under AS 29.45.050, such as exempting value above $150,000 for seniors and disabled veterans. A separate law protects home equity from creditors: 8 AAC 95.030 reads $72,900, though a 2026 inflation adjustment has been proposed. For other states, see our guide to homestead exemptions by state.

Information last verified on October 8, 2026. This article has not been reviewed by a licensed lawyer.

Jurisdiction scope: This article covers Alaska's required senior citizen and disabled veteran exemption (AS 29.45.030 and 3 AAC 135), the optional residential exemption (AS 29.45.050(a)) and other local options (AS 29.45.050(i), (r) and (s)), the senior motor vehicle exemption, the creditor homestead (AS 09.38 and 8 AAC 95.030) and the probate homestead allowance (AS 13.12.402). Anchorage figures appear only as one municipality's example. It does not cover the rules, amounts or deadlines of other boroughs and cities, business property, or the law of other states.

Does Alaska have a homestead exemption?

Not at the state level. In Alaska, local governments levy the property tax on homes. AS 29.45.010 states: "A unified municipality may levy a property tax. A borough may levy (1) an areawide property tax for areawide functions; (2) a nonareawide property tax for functions limited to the area outside cities; (3) a property tax in a service area for functions limited to the service area."

State law then sets these home exemptions for those municipalities:

All are claimed from the municipality. Because the amounts, procedures and deadlines are local, start with your borough or city assessor.

The $150,000 senior and disabled veteran exemption

AS 29.45.030(e) is a required exemption: a municipality that levies property tax must grant it. For a qualifying owner, the statute states that the property "is exempt from taxation on the first $150,000 of the assessed value of the real property." It exempts assessed value; it is not a credit on the bill. Value above the first $150,000 stays taxable unless your municipality's voters have approved an exemption of the value above $150,000 under AS 29.45.050(i), or a hardship exemption, described below, applies.

The exemption covers real property, including a mobile home, that the owner occupies as a primary residence and permanent place of abode. Only one exemption is allowed per property. The state reimburses the municipality: "The state shall reimburse a borough or city, as appropriate, for the real property tax revenues lost to it by the operation of (e) of this section."

Who is eligible

The exemption covers a resident who is:

1. 65 or older (under the regulation, 65 or older before January 1 of the exemption year);
2. a disabled veteran; or
3. at least 60 and the widow or widower of a person who qualified under either of the first two groups.

The statute defines a disabled veteran as "a disabled person (A) separated from the military service of the United States under a condition that is not dishonorable who is a resident of the state, whose disability was incurred or aggravated in the line of duty in the military service of the United States, and whose disability has been rated as 50 percent or more by the branch of service in which that person served or by the United States Department of Veterans Affairs." Alaska Territorial Guard service is also covered.

Municipalities can change the edges of the program. A municipality may require applicants to be eligible for a Permanent Fund Dividend (AS 29.45.030(f)). The statute also states that a municipality "may by ordinance approved by the voters grant the exemption under this subsection to the widow or widower under 60 years of age of a person who qualified for an exemption under (2) of this subsection or to a resident who is the widow or widower of a person who dies from a service-connected cause sustained while serving as a member of the United States armed forces or as a member of the National Guard." Group (2) is the disabled veteran group. For these rules, the statute defines a widow or widower as "a person whose spouse has died and who has not remarried." The exemption may not be granted if the assessor determines, after notice and a hearing, that the property was conveyed to the applicant primarily to obtain it; the assessor's determination may be appealed under AS 44.62.560 to 44.62.570.

How to apply

The exemption is not automatic. AS 29.45.030 states: "An exemption may not be granted under (e) of this section except upon written application for the exemption."

You apply to your municipality, not to a state agency. Under 3 AAC 135, "Applications for the senior citizen and disabled veteran property tax exemption shall be on forms provided by the department. ... Application forms are available only from the office of the clerk or assessor of the municipality." The state forms are Form 21-400 for seniors and Form 21-400b for disabled veterans, and many municipalities distribute their own versions. The assessor may require proof of eligibility at any time, and veterans need their disability rating.

Deadlines vary by municipality

Alaska has no single statewide filing deadline for this exemption. The regulation sets a late-filing rule: "Exemption applications filed after January 15 of the assessment year, or after a date provided by ordinance as specified in AS 29.45.030(f), must be accompanied by an affidavit stating the reason for the late filing." The municipal governing body may waive a late filing for good cause, and if it approves the exemption after the taxes were paid, the tax paid is refunded.

Many municipalities set their own date by ordinance. As one example, the Municipality of Anchorage uses March 15, and its 2027 senior exemption application lists March 15, 2027. That date applies in Anchorage only; ask your own assessor for yours.

Renewal and moving

State law does not set an annual renewal rule; each municipality decides. Anchorage, for example, states: "If you have received an exemption for a property in the prior year, and there have been no changes to the ownership or use of the property, there is no need to resubmit an exemption application." Anchorage's disabled veteran form is an annual certification.

At least in Anchorage, the exemption does not follow you to a new home: "If you had an exemption on a previous property and purchased a new property you must apply for an exemption on the new property, it does not transfer."

Hardship beyond $150,000

Under 3 AAC 135.040, a municipality may exempt more than the first $150,000 in a case of hardship. Hardship exists when the taxes exceed 2 percent of gross household income, and the added exemption covers only the excess. In extreme hardship, the governing body may exempt up to 100 percent by a two-thirds vote. The hardship application is Form 21-400c, filed before July 1 or a date set by municipal ordinance.

Optional local residential exemptions

AS 29.45.050(a) lets a municipality give every owner of a residence a partial exemption, but only if voters approve. The statute states: "A municipality may exclude or exempt or partially exempt residential property from taxation by ordinance ratified by the voters at an election."

The amount has a ceiling: "An exclusion or exemption authorized by this subsection may not exceed the assessed value of $75,000 for any one residence except that a municipality may, by ordinance, annually adjust the municipality's voter-authorized exemption by the amount calculated by the State Assessor to reflect the increase, if any, in the annual average cost of living, using the United States Department of Labor Consumer Price Index for Urban Alaska."

Each municipality sets its own terms. In Anchorage, the Property Appraisal exemptions page states: "Owner occupied residential property may be partially exempt (40% of assessed value, up to $75,000 maximum)." Anchorage applications "MUST be received in office, submitted online, or postmarked by March 15th of the tax year in which the exemption is sought," and "Exemptions do NOT automatically transfer." These Anchorage rules are not statewide.

AS 29.45.050 also lets a municipality adopt narrower local options by ordinance:

• Value above $150,000. With voter approval, a municipality may exempt "the assessed value that exceeds $150,000 of real property owned and occupied as a permanent place of abode by a resident who is (1) 65 years of age or older; (2) a disabled veteran, including a person who was disabled in the line of duty while serving in the Alaska Territorial Guard; or (3) at least 60 years old and a widow or widower of a person who qualified for an exemption under (1) or (2) of this subsection" (AS 29.45.050(i)).
• Volunteer firefighters and emergency medical providers. A municipality may exempt up to $10,000 of the assessed value of the home of a resident who volunteers in the municipality as a firefighter certified by the Department of Public Safety, or provides volunteer emergency medical or mobile intensive care paramedic services and is certified or licensed under AS 18.08.082 (AS 29.45.050(r)).
• Hostile-fire widows and widowers. A municipality may partially or wholly exempt the home of the widow or widower of a member of the armed forces who was injured on active duty while eligible for hostile fire or imminent danger pay and died because of the injury or related complications (AS 29.45.050(s)).

These apply only where your municipality has adopted them. Ask your assessor which ones are in effect.

Senior motor vehicle exemption

AS 29.45.030(j) adds a vehicle break for seniors: "One motor vehicle per household owned by a resident 65 years of age or older on January 1 of the assessment year is exempt either from taxation on its assessed value or from the registration tax under AS 28.10.431." It requires a written application on a form prescribed by the Department of Administration.

Assessment limits

We did not find a statewide homestead assessment-growth cap in AS 29.45.030 or 29.45.050, the two sections reviewed for this page. Under AS 29.45.050, a municipality may by ordinance exempt part or all of an increase in assessed value from certain improvements, but that is an improvement exemption, not a homestead cap. Ask your assessor whether any local limit applies.

Losing the exemption

Statewide, the senior and veteran exemption may not be granted if the assessor determines, after notice and a hearing, that the property was conveyed to the applicant primarily to obtain it. Local rules can add more. Anchorage requires owners to tell the assessor about changes in ownership, occupancy or use, and warns: "Failure to notify the assessor may result in loss of the exemption, payment of back taxes, penalty and interest." That warning comes from Anchorage Municipal Code 12.15.015 C.(6) and applies in Anchorage; check your own municipality's rules.

The creditor homestead: a different law

Alaska's creditor homestead protects part of the value of your home from most creditors. It is a separate law from the property tax exemptions, and no figure from one applies to the other.

AS 09.38.010 states: "An individual is entitled to an exemption as a homestead of the individual's interest in property in this state used as the principal residence of the individual or the dependents of the individual, but the value of the homestead exemption may not exceed $54,000." That printed figure is not the current amount. The statute requires the amount to be adjusted for inflation by regulation, and 8 AAC 95.030(a) states: "Notwithstanding the exemption amount provided for a homestead under AS 09.38.010 (a) and (b), the amount of the exemption for a homestead is $72,900." Co-owners each claim a pro rata share of that cap. There is no acreage limit.

That figure may change. The Department of Labor and Workforce Development published a proposed amendment to 8 AAC 95.030 in July 2026 that would replace the $72,900 figure. AS 09.38.115 states that the dollar amounts "change on October 1 of each even-numbered year" when the inflation index has risen by 10 percent or more, and the department's notice said the change was "required by AS 09.38.115." As of October 8, 2026, the published regulation still read $72,900, and we could not confirm an adopted figure or its effective date. Before relying on the amount in a collection or bankruptcy case, confirm the current figure with the court clerk or a lawyer.

AS 09.38.010 does not require a recorded declaration; the exemption attaches to the property used as the principal residence. Proceeds from a voluntary sale of an exempt homestead remain exempt for six months after you receive them, and proceeds from a condemnation or an insurance payout for a lost, damaged or destroyed homestead for 12 months, as long as they are traceable (AS 09.38.060). Under AS 09.38.105, "A waiver of exemption executed in favor of an unsecured creditor before levy on an individual's property is unenforceable, but a valid security interest may be given in exempt property."

The exemption has exceptions. Under AS 09.38.065, "a creditor may make a levy against exempt property of any kind to enforce a claim for (A) child support; (B) unpaid earnings of up to one month's compensation or the full-time equivalent of one month's compensation for personal services of an employee; or (C) state or local taxes;" and a creditor may also levy on specific exempt property for its purchase price or purchase loan, labor or materials furnished to improve it, and special assessments for public improvements. Crime victim restitution is also enforced with limited exemptions.

Alaska has opted out of the federal bankruptcy exemptions. AS 09.38.055 states: "In a proceeding under 11 U.S.C. (Bankruptcy) only the exemptions under AS 09.38.010, 09.38.015(a), 09.38.017, 09.38.020, 09.38.025 and 09.38.030 apply." For how these exemptions work in a bankruptcy case, see Alaska bankruptcy laws.

The homestead allowance at death

Alaska's probate code has a separate homestead allowance. AS 13.12.402 states: "A decedent's surviving spouse is entitled to a homestead allowance of $27,000." If there is no surviving spouse, each minor and dependent child shares the $27,000 equally; see Alaska probate laws. To find your parcel's assessment record, see Alaska property records.

Related

• Homestead exemptions by state
• Alaska bankruptcy laws
• Alaska probate laws
• Alaska property records

This article is general legal information about Alaska law (AS 29.45.010, 29.45.030, 29.45.050, 3 AAC 135, AS 09.38, 8 AAC 95.030 and AS 13.12.402), verified as of October 8, 2026. It is not tax or legal advice. For your situation, contact your borough or city assessor or clerk, or a lawyer licensed in Alaska.

Last updated: October 8, 2026.

Frequently Asked Questions

How much is the homestead exemption in Alaska?

Alaska has no statewide homestead exemption for all owners. Residents 65 or older, disabled veterans rated 50 percent or more and certain surviving spouses 60 or older can exempt the first $150,000 of assessed value of their primary residence under AS 29.45.030(e), claimed from their municipality. Some municipalities add an optional exemption of up to $75,000 (AS 29.45.050(a)) or other local options under AS 29.45.050.

When is the deadline to file for the senior exemption in Alaska?

Each municipality sets its own date by ordinance. Under 3 AAC 135, an application filed after January 15 of the assessment year, or after the municipality's ordinance date, needs an affidavit explaining the late filing. Anchorage, for example, uses March 15.

Do I have to reapply for the senior exemption every year in Alaska?

State law leaves renewal to each municipality. In Anchorage, owners who received the exemption the prior year and had no change in ownership or use do not need to resubmit, but the exemption does not transfer to a new property.

Does Alaska have property tax?

Yes, in boroughs, unified municipalities and cities that levy it. AS 29.45.010 lets municipalities levy property tax; the state itself does not tax homes.

Do disabled veterans pay property tax in Alaska?

A disabled veteran with a service-connected disability rated 50 percent or more is exempt from tax on the first $150,000 of assessed value of a primary residence under AS 29.45.030(e). The required exemption covers only the first $150,000, though a municipality may, with voter approval, exempt value above that (AS 29.45.050(i)). The veteran must apply in writing to the municipality.

Does the Alaska homestead exemption protect my house from creditors?

Partly. 8 AAC 95.030 reads $72,900, which supersedes the $54,000 in AS 09.38.010 text. A 2026 inflation adjustment was proposed and may apply from October 1, 2026; we could not confirm an adopted figure as of October 8, 2026, so confirm the current amount with the court clerk or a lawyer. It does not protect against child support, state or local taxes, or purchase-money and improvement debts on the home.