Arkansas Amendment 79: How the 5% Cap, Senior Freeze, and $600 Homestead Credit Stack
Updated April 2026
Arkansas's property tax relief for seniors lives inside Amendment 79 of the Arkansas Constitution and codified at Arkansas Code §26-26-1124. Amendment 79 is structured as a stack of four separate protections layered on the same homestead, and the senior/disabled freeze is the topmost layer that activates only after age 65 (or qualifying disability) is reached. Two of the layers apply to every homestead in Arkansas; one is targeted at non-homestead property; one is the senior-specific freeze. Understanding which layer is doing what to your bill is the difference between knowing what to file for and missing protections that are sitting unclaimed.
Important context for the 2026 cycle: the Arkansas General Assembly authorized an increase in the Homestead Property Tax Credit from $500 to $600 beginning with 2026 tax bills. If you're renewing or first-time-applying this year, the higher credit applies.
Amendment 79's Four Layers
Adopted by Arkansas voters in 2000 and progressively modified since, Amendment 79 establishes four distinct property tax protections:
Layer 1: Homestead Property Tax Credit ($600 starting 2026)
A flat dollar credit applied directly to the property tax bill of any qualifying homestead, not just senior homesteads. Up to $500 for the 2025 tax year and $600 starting with 2026 tax bills (per the General Assembly authorization). The credit is a reduction in the tax owed, not a reduction in assessed value, so it works the same way regardless of millage rate or assessed value. To claim it, the property owner must file with the county assessor's office and certify that the property is the owner's primary residence.
Layer 2: 5% Annual Cap on Homestead Taxable Value
For any homestead in Arkansas (not just senior-owned), the taxable assessed value can rise by no more than 5% per year during a county-wide reappraisal cycle. This cap applies regardless of how much the market value of the home actually went up. If a county reappraisal would have lifted your assessment by 18%, the taxable assessed value rises only 5% that year, the remainder of the appreciation is deferred. The cap continues each year until the assessment reaches full assessed value, at which point further reappraisal increases catch up only via the same 5% mechanism going forward.
Layer 3: 10% Annual Cap on Non-Homestead Property
For non-homestead property, vacation homes, rental properties, vacant land, commercial, the cap is 10% per year instead of 5%. This is relevant for seniors with secondary properties: the freeze applies only to the homestead, but the 10% cap protects other parcels from runaway reassessment.
Layer 4: Senior / Disabled Assessed Value Freeze (§26-26-1124)
This is the senior-specific layer. For homeowners who are 65 or older or permanently disabled, the taxable assessed value of the homestead is frozen at the value as of the assessment date following the qualifying event. The freeze is on top of, not instead of, the 5% homestead cap, but for someone who qualifies, the freeze locks the value rather than allowing the 5% annual rise. There is no income test to qualify for the freeze, which makes Arkansas's senior freeze one of the simplest in the country to qualify for on paper.
When the Freeze Actually Activates: The “Next Assessment Date” Detail
A common misunderstanding: the freeze does not lock the assessed value as of the day you turn 65. It locks the value as of the next assessment date after qualification. Arkansas counties typically assess as of January 1, so:
- If you turn 65 in March 2026, your freeze locks the value as of January 1, 2027, the next assessment date after your birthday. The 2026 tax bill is calculated on the January 1, 2026 assessed value.
- If you purchase a home and you're already 65+, the freeze locks the value as of the next assessment date after the purchase. So a 67-year-old who buys in May 2026 sees the freeze take effect on the January 1, 2027 assessment.
- For a person already 65+ who's lived in the home for years before applying, the assessor will lock the value as of the assessment date following the application year.
The practical implication: in counties where reassessments are scheduled to push values up sharply (the cycle averages every 3–5 years across Arkansas counties), apply for the freeze before the reassessment hits, not after. A person turning 65 in 2026 in a county that reappraises in 2026 will see the larger reappraised value lock in for the freeze, not the prior smaller value.
The Freeze Does Not Transfer With the Property
Per Amendment 79 and the implementing statute: one homeowner's freeze cannot pass or convey to a subsequent owner. This affects three common situations:
- Inheritance: when the senior owner dies and the home passes to an heir, the freeze ends. If the heir is themselves 65+ and uses the home as their primary residence, the heir applies for their own freeze, but it locks at the next-assessment-date value at the time of the heir's application, which after a parent's long-frozen base may be substantially higher than the inherited frozen amount.
- Surviving spouse: Arkansas's statute does have a surviving-spouse continuation provision in some cases, but it requires the surviving spouse to qualify on their own (age 65+ or disabled). A 60-year-old surviving spouse does not inherit the deceased's freeze.
- Sale to another senior: the new buyer, even if 65+, starts a new freeze at the post-purchase assessment date. The seller's long-frozen base does not convey.
What Breaks the Freeze (or Resets the Cap)
Both the senior freeze and the underlying 5%/10% Amendment 79 caps are subject to the same exception: new construction and substantial improvements are assessed at full value and not subject to the cap or the freeze. The Department of Finance and Administration's Assessment Coordination Division explicitly carves this out, newly constructed or substantially improved property is “assessed at full value” outside the cap mechanism.
Practical examples:
- Adding a 400-square-foot addition to a frozen homestead: the value of the addition is assessed at full market value and added to the taxable assessed value, outside the freeze. The original house keeps its frozen base; the addition does not.
- Finishing a previously unfinished basement, converting a garage to living space, building an in-law suite: each is treated as new construction and assessed outside the cap.
- Replacing a roof, repainting, redoing a kitchen with the same footprint: maintenance and routine replacement, generally not treated as new construction. The cap and freeze remain intact.
County assessors apply judgment on whether a project crosses into “substantial improvement” territory. If a planned project is borderline, ask the assessor in advance what the assessment treatment will be. A conversation before construction is far cheaper than a fight after the assessment lands.
Application: One Filing, Multiple Layers
Arkansas's structure means a senior homeowner files separately for each layer they want:
- Homestead Property Tax Credit: file with county assessor on first occupancy. Once granted, it remains in effect for as long as the property is the owner's primary residence, no annual renewal. The 5% cap on homestead taxable value is automatically applied to any property granted the homestead designation.
- Senior/disabled freeze: separate application to the same county assessor, presenting proof of age (or disability documentation). The county locks the taxable assessed value at the next assessment date after the application is approved.
- If disabled: documentation requirements vary by county. Acceptable proof typically includes a letter from a state or federal agency awarding disability benefits, two physicians' statements, or VA disability rating. Disability under §26-26-1124 includes both age 65+ and qualifying disability under any age, 100% disabled or rated as such.
There is no statutory deadline to apply. The freeze takes effect at the next assessment date after approval, so applying earlier in the year produces faster benefit than applying late. County assessors generally process applications in the order received.
Frequently Asked Questions
Is there an income limit for Arkansas's senior freeze?
No. Unlike Arizona, Illinois, or Texas, Arkansas's freeze under Amendment 79 has no income test. Eligibility is purely on age (65+) or disability status, plus the homestead requirement. A high-income retiree in a $1.5 million Little Rock home qualifies on the same terms as a low-income retiree in a $90,000 home outside Texarkana.
My county is reappraising next year. Should I apply for the freeze now or wait?
Apply now if you currently qualify. The freeze locks the taxable assessed value as of the assessment date following approval. If you apply this year and the county reappraises next year, the freeze may lock you in at the pre-reappraisal value, meaning you avoid the bump entirely. If you wait until after the reappraisal, you lock in at the higher post-reappraisal value, which is a permanently worse base. The exact timing depends on your county's reappraisal cycle and your application processing date, talk to your county assessor early, not late.
My parent had a frozen value of $40,000 on their home. I'm inheriting it and I'm 67. Do I keep that $40,000?
No. The freeze does not transfer to a subsequent owner. When ownership changes, including by inheritance, the prior freeze ends. If you're 65+ and you make the inherited home your primary residence, you can apply for your own freeze, which will lock at the next-assessment-date value at the time you apply. After your parent's long-frozen base, the new freeze may lock at a substantially higher figure, possibly hundreds of percent higher if the freeze ran for many years. There is no statutory mechanism to inherit the prior frozen value.
If I do a major renovation, does that break the freeze on the entire house or just the addition?
Just the new construction or substantial improvement. The original house keeps its frozen base; the value of the addition is assessed at full value and added to the taxable assessed value outside the freeze. Practically: a 400-square-foot addition that's appraised at $80,000 brings $80,000 of new assessed value onto the bill, while the original home's assessment stays at its frozen base. Renovations that don't increase square footage or convert unfinished space (re-roofing, repainting, replacing kitchen cabinets in the same footprint) generally aren't treated as substantial improvements. If a project is borderline, ask the assessor before starting.
I'm 64 and disabled. Do I qualify for the freeze?
Yes, if you qualify under §26-26-1124's disability standard. The freeze covers both age 65+ and persons under 65 who are permanently disabled. Documentation requirements vary by county, typical acceptable proofs include letters from the Social Security Administration, the Department of Veterans Affairs, the Arkansas Department of Workforce Services, or two physicians' statements certifying permanent and total disability. Application is the same form filed with your county assessor. If you later turn 65, the freeze continues; you don't reapply.
Can I appeal my assessment if my home is already under the senior freeze?
Yes. Amendment 79 does not preclude assessment appeals. If you believe the assessed value the freeze is built on top of is itself wrong, you can appeal it through your county Board of Equalization (the county-level appeal body). A successful appeal lowers the underlying assessed value, which then becomes the new base for the freeze going forward. The deadline for board-level appeals in Arkansas is typically the third Monday in August of the assessment year, but check your specific county's schedule. Appeals to the County Court are available if the Board of Equalization decision is unsatisfactory.
