Tax Relief & Exemption Options
Seniors can qualify for this state income tax credit if their property tax payments are greater than 10% of their annual income. For renters, the law assumes that 25% of rent goes toward property taxes.
Accordingly, renters may claim as a credit the amount by which 25% of their annual rental payment exceeds 10% of their total income.
For circuit breaker tax credit information, please contact the Massachusetts Department of Revenue at (617) 887-6367.
Reading Senior Circuit Breaker Exemption
If you receive a Senior Circuit Breaker Income Tax Credit, you might also qualify for our local Reading Senior Circuit Breaker Exemption. If you receive the income credit, have owned and occupied a home in Reading for the past 10 years and have no other significant assets, the town will match your credit. Apply in August with Assessors.
This exemption provides relief to seniors age 65 and older who meet certain income, asset, and residency requirements. Qualified seniors receive a $1,000 reduction in their total real estate tax obligation. For FY27, income before the applicable statutory deduction may be as high as $33,389 for a single applicant or $50,089 for married applicants. Assets cannot exceed $54,482 if single or $76,215 if married. Income, deduction, and asset limits change annually. Income limits change slightly year to year.
Senior Application (PDF)
This exemption provides relief to taxpayers who are legally blind and meet eligibility requirements. Taxpayers will receive a $500 reduction in their tax obligation.
This exemption exists for veterans who have a service-connected disability of at least 10% and meet residency requirements. Qualified applicants can receive between $800 and $3,000 off of their taxes.
Veteran Application (PDF)
Persons aged 65 or over who meet residency, ownership and have less than $40,000 income can opt to defer 100% of their annual tax obligation at a rate of 4% until such time as they sell their property or the deferred amount equals 50% of the home’s value. 16% upon death of the applicant.
Tax Deferral Application (PDF)
Provided ownership, whole estate ($41,000), and residency requirements are met, taxpayers can receive a $175 reduction in their tax obligation.
This exemption provides full or partial relief, at the discretion of the Board of Assessors, to those taxpayers who may be unable to meet their tax obligations by reason of age, infirmity and poverty.