California homeowners, especially seniors, are being warned about a misleading “property tax freeze” scam spreading online. This scam promotes a supposed federal Form 1098-SR, claiming homeowners can use it to freeze or dramatically reduce their property taxes.
Here's the problem: the form doesn't exist!
Los Angeles County officials recently warned homeowners about misleading social media posts and solicitations promoting this fake program. There is no secret federal form that allows California homeowners to freeze or eliminate their local property taxes.
Watch for These Red Flags
Be cautious if someone promises to:
- Freeze or eliminate your property taxes
- Give you access to a “secret” government program
- File unfamiliar government forms on your behalf
- Save you thousands of dollars for an upfront fee
- Get you to act immediately or provide personal information
- When in doubt, verify property tax information directly with the appropriate government agency.
Legitimate Property Tax Relief Programs Do Exist
While the viral “tax freeze” is fake, California homeowners may have access to legitimate programs and protections, including:
- Proposition 13 – Limits annual increases in assessed value, generally to no more than 2% unless a reassessment occurs.
- Proposition 19 – Allows certain homeowners age 55 and older, severely disabled homeowners, and qualifying disaster victims to transfer their existing property tax base to a replacement primary residence.
- Homeowners' Exemption – Eligible owner-occupied homes may receive a $7,000 reduction in assessed value.
- Disabled Veterans' Exemption – Qualifying disabled veterans may be eligible for substantial property tax relief.
- Property Tax Postponement Program – Some qualifying seniors and homeowners with disabilities may be able to defer property tax payments.
The Bottom Line
There is no secret IRS form that will freeze your California property taxes. But legitimate programs do exist, and many homeowners may not realize they qualify for available benefits.
Before paying someone for property tax help or sharing personal information, verify the program through an official government source.
And if you're considering downsizing or moving, understanding programs like Proposition 19 before you sell could potentially make a significant difference in your future property taxes.
Questions? Please feel free to reach out anytime! I’m always happy to discuss your real estate goals and any questions you may have.
This article is for general informational purposes only and is not tax or legal advice. Consult the appropriate government agency or qualified professional regarding your specific situation.
Carol Bush is a licensed California real estate agent and co-founder of The Bush Capitano Team with Seven Gables Real Estate, serving Monrovia and surrounding San Gabriel Valley communities.