The homestead exemp- tion provides a reduction in property taxes to qualified senior or disabled citizens, or a surviving spouse, on the dwelling that is that. The following pages and forms give helpful tax information for retirees and seniors.Homestead Exemption. Property Tax Deferral for Elderly Property owners. The homestead exemption allows lowincome senior citizens and permanently and totally disabled Ohioans, to reduce their property tax bills. Application for Exemption Instructions Details on how to fill out and mail your Property Taxation Exemption Form , PDF: Application for Exemption Property Tax. Depending on your disability rating, income and the state you live in, you may be able to receive a partial or full property tax exemption. Douglas County has additional exemptions.