Colorado Property Tax Relief for Seniors and Veterans: What El Paso County Homeowners Need to Know

Colorado's property values, and the tax bills that come with them, have climbed for years. For seniors on a fixed income and veterans living with a service-connected disability, that can put real pressure on the budget. The good news: Colorado offers two constitutional property tax exemptions, plus a separate deferral program, that can meaningfully lower or delay what you owe.

These programs are not automatic. Each has its own eligibility rules, deadlines, and application process through the El Paso County Assessor's Office. Here is what homeowners in Colorado Springs, Monument, Falcon, Peyton, Fountain, and the rest of El Paso County should know as of August 2026.

The Senior Property Tax Exemption (Senior Homestead Exemption)

This is Colorado's main property tax break for older homeowners. When it is funded by the state, which it is for the 2026 tax year, the exemption reduces the taxable value of a qualifying home by exempting up to 50% of the first $200,000 of its market value.

To put that in real numbers: if your primary residence has a market value of $200,000, the first $100,000 is exempt from taxation; if it's valued at $175,000, the first $87,500 is exempt. For most El Paso County homes valued above $200,000, the exemption caps out at $100,000 of value removed from the tax calculation.

Who qualifies. To apply for the first time, a homeowner generally must meet all three of these as of January 1 of the application year:

• Be at least 65 years of age.
• Have owned the property for at least ten consecutive years.
• Have occupied the property as a primary residence for at least ten consecutive years.

If you already applied and were approved in a prior year, you don't need to reapply; your original application stays active.

Surviving spouses may also qualify without meeting the age and title requirements themselves, provided their spouse passed away on or after January 1 of the current year, was at least 65 and had occupied the home as a primary residence for at least 10 consecutive years at the time of death, and the surviving spouse currently occupies the property as their own primary residence and has not remarried.

Deadline. Applications for tax year 2026, payable in 2027, are due July 15, 2026. If you missed this year's window, mark your calendar for next July.

Where to apply. Applications go through the El Paso County Assessor's Office, which also handles the required forms. You can reach the office at (719) 520-6600 or asrweb@elpasoco.com.

The Disabled Veteran Property Tax Exemption

In 2006, Colorado voters approved Referendum E, amending Section 3.5 of Article X of the Colorado Constitution to expand the Senior Property Tax Exemption to include qualifying disabled veterans. It carries the same benefit as the senior exemption — 50% of the first $200,000 of actual value — but with different eligibility and no 10-year residency requirement.

Who qualifies. The exemption is available to veterans who sustained a service-connected disability rated by the federal Department of Veterans Affairs as a 100 percent permanent disability, or who have been granted individual unemployability (TDIU) status under a law or regulation administered by the VA, DHS, or a branch of the armed forces. The veteran must also have owned and occupied the property as their primary residence since January 1 of the application year. Homeowners with more than one property may only designate one as their primary residence for this purpose.

Surviving spouses and Gold Star spouses of a veteran who previously qualified for the exemption may also be eligible to continue receiving it, and El Paso County has separate application forms for that situation.

Deadline. The filing deadline is July 1 each year, two weeks earlier than the senior exemption deadline. This is a firm date, so if you're helping a veteran client think through this, plan ahead of the summer.

Where to apply. Forms and instructions are available through the El Paso County Assessor's Disabled Military Exemption page. The Colorado Division of Veterans Affairs (155 Van Gordon Street, Suite 201, Lakewood, CO 80228, phone 303-914-5832, vets.colorado.gov) can also help veterans document their qualifying disability rating.

Who Pays for These Exemptions?

Both programs work the same way behind the scenes. The State of Colorado pays the exempted portion of the property tax directly to the county, which is why the savings show up as a reduced bill rather than a rebate check you have to wait for.

One thing worth knowing before you count on either exemption long-term: funding is not guaranteed by statute every year. The General Assembly may eliminate funding for the Senior Citizen Exemption or Disabled Veteran Exemption at its discretion in any year the state budget doesn't allow for the reimbursement, and that has happened during past recessions. For the current cycle, the Colorado General Assembly has reinstated funding for the Senior Property Tax Exemption for tax year 2026, payable in 2027. If funding were ever paused in a future year, eligible homeowners are still encouraged to apply so they're in the system if funding is restored.

The Property Tax Deferral Program (A Loan, Not an Exemption)

Colorado also runs a separate program worth knowing about, especially for seniors or active-duty families who don't qualify for the exemptions above but still want help managing their tax bill.

The Property Tax Deferral Program helps seniors 65 and up, along with active military service members, continue affording their homes by deferring the payment of property taxes through a simple-interest loan. It's important to understand what this is not: deferrals are not property tax exemptions; the program doesn't reduce what you owe — it's a loan designed to help you pay it over time. Payments continue until you sell the property or your estate is settled, and the loan is recorded as a lien against the home. Notably, you can qualify for both the deferral and the Senior Homestead Exemption at the same time.

There's a structural change to flag for 2026: county treasurers, rather than the state, now handle applications for the deferral program, and the separate tax-growth deferral category available to non-senior, non-military homeowners has been eliminated by state law and is no longer open to new applicants.

Deadline. The application window runs from January 1 through April 1 each year. That window has already closed for 2026, so the next opportunity opens January 1, 2027. Contact the El Paso County Treasurer's Office directly for details, since county treasurers now manage the process locally.

Where Should a Homeowner Start?

• Check what's already on the property. Call the El Paso County Assessor's Office at (719) 520-6600 to confirm whether a senior or veteran exemption is already applied to your home.
• If you're a senior nearing 65 with 10+ years in the home, watch for the July 15 deadline and file with the Assessor's Office ahead of time.
• If you're a veteran with a 100% permanent VA disability rating or TDIU status, gather your VA documentation early and file by July 1, since that deadline comes sooner than the senior exemption's.
• If you or a spouse are considering the deferral loan program, plan for the January 1 to April 1 window and reach out to the County Treasurer's Office for the current application process.
• If you think your home's assessed value is too high regardless of exemptions, ask the Assessor's Office about the property tax appeal process and its filing window.

Final Takeaway

Colorado's senior and disabled veteran exemptions can each cut the taxable value of a primary residence by up to $100,000 — a meaningful difference on an annual tax bill. Neither one is automatic, and both come with hard deadlines that are easy to miss if you're not watching for them. If you're a senior homeowner, a veteran, or helping a parent or fellow service member figure out what applies to them, the County Assessor's Office is the right first call.

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— Jeff Morrell | eXp Realty | 719-321-0335 | jeff.morrell@exprealty.com

Sources:
El Paso County Assessor — Senior Property Tax Exemptions
El Paso County Assessor — Disabled Military Exemption
El Paso County Assessor — Forms
Colorado Department of the Treasury — Property Tax Deferral Program
Colorado Division of Veterans Affairs
Colorado Division of Property Taxation