Millions of veterans live with a service-connected disability, and many could shrink or erase their property tax bill but never claim the break. In 2024, about 2,582,000 veterans with a service-connected disability rated 70 percent or more were living in the community.
A disabled veteran's property tax exemption lowers or eliminates property taxes on their primary residence. The benefit is usually tied to your VA disability rating. At Ownwell, we see how often they go unclaimed.
There is no single national rule. Every state sets its own amount, rating threshold, and application process.
Below, we explain how ratings map to benefits, which states we serve, and how to apply. We also review surviving-spouse rules and whether a service can file on your behalf.
Key Takeaways
* A disabled veteran's property tax exemption lowers or eliminates property taxes on their primary residence.
* The benefit is almost always tied to your VA service-connected disability rating, and the rules differ in every state.
* Many states grant a full exemption at a 100 percent permanent and total rating; others give a partial break tied to rating or income.
* Surviving spouses often keep the exemption if they do not remarry.
* Exemptions are not automatic; you must apply with your state or county, and a service can do it for you.
What Is a Disabled Veterans Property Tax Exemption?
A disabled veterans property tax exemption removes part or all of your primary residence's value from property taxation. The amount you save depends on your VA service-connected disability rating. A higher rating generally unlocks a larger exemption.
This benefit is different from the general homestead exemption, which many owner-occupants can claim regardless of military service. Depending on your state, the veteran exemption either stacks on top of the homestead exemption or replaces it. We always check both so you capture every dollar you are owed.
Veteran exemptions take two broad shapes.
The first is a fixed or partial reduction that lowers your assessed value by a set amount. Your bill drops, but you still owe something.
The second shape is a full exemption that can take your bill to zero. States often reserve this for veterans with a 100 percent permanent and total (P&T) service-connected disability rating. Some tie the full break to an income test instead.
A few rules are common across states. The exemption applies only to your primary residence, not a vacation home or rental. Eligibility usually keys to owning and occupying the home on a set date, such as January 1 of the tax year.
How Your VA Rating Maps to Your Exemption
Most states tie your benefit to VA rating bands. A higher rating usually means a bigger exemption, and a 100 percent P&T rating often means a full exemption that zeroes your bill. The exact thresholds and dollar amounts depend on your state.
Texas shows how this works. According to Texas Tax Code Section 11.22, Texas grants a $12,000 assessed-value exemption at a 70-100% rating.
Under the Texas Comptroller's property tax exemptions, it also grants a total residence homestead exemption with a 100% permanent and total rating under Texas Tax Code Section 11.131.
The table below walks through the math for both cases. The tax rate here is an illustrative example, not an official Texas rate. We use a $300,000 home and a 2 percent rate to show the difference.
Line item | 70-100% rating | 100% P&T rating |
|---|---|---|
Assessed value before | $300,000 | $300,000 |
Exemption amount | $12,000 | Full exemption |
Taxable value after | $288,000 | $0 |
Illustrative tax rate | 2% | 2% |
Bill before | $6,000 | $6,000 |
Bill after | $5,760 | $0 |
Annual savings | $240 | $6,000 |
In Texas, you claim this relief through your county appraisal district, and you call a challenge to your value a protest rather than an appeal. The partial exemption trims your taxable value, while the 100 percent P&T exemption can remove the bill entirely.
Your numbers will shift with your home's value, rating band, and local rate.
Disabled Veterans Property Tax Exemptions by State (Where We Can Verify Them)
State rules change, and conflicting numbers circulate online. We only publish figures we verify against the statute. The table below covers the nine states we fully serve and their current rules.
For any other state, confirm the amount and rating threshold with your state department of veterans affairs or county assessor first. Nearly all states offer some form of veteran relief, but the details vary by state.
State | Benefit by VA rating | Form or structure | Note |
|---|---|---|---|
Texas | $5,000 to $12,000 off assessed value by rating band; full exemption at 100% P&T | Partial tiered exemption plus total exemption | Surviving spouse of a veteran who died of a qualifying condition may get a full exemption. |
Florida | Full homestead exemption at 100% service-connected disability | Full exemption | Verify partial benefits separately with the state. |
Illinois | $2,500 EAV reduction at 30-49%; $5,000 at 50-69%; full exemption at 70% or more | Equalized assessed value (EAV) reduction | Dollar impact depends on your local rate and equalization factor. |
Colorado | 50% of the first $200,000 of actual value at a 100% permanent disability | Partial exemption, any age | Surviving spouses may continue to receive it. |
Pennsylvania | Full exemption for a service-connected total disability | Full exemption plus financial-need test | Administered by the Department of Military and Veterans Affairs. |
Washington | Veterans rated 80% or more qualify under the income-tiered program | Senior Citizens and Disabled Persons exemption | Washington has no general homestead exemption; income thresholds vary by county. |
California | Basic and low-income Disabled Veterans' Exemption | Amount adjusted annually by the Board of Equalization | Confirm the current figure with the state Board of Equalization. |
Georgia | Disabled veteran homestead exemption keyed to a federal maximum | Fixed exemption | Confirm the current amount with the Georgia Department of Revenue or your county. |
New York | Alternative, eligible-funds, cold-war, and new Veterans with a Permanent and Total Disability exemptions | Four exemption types; the new P&T exemption is a local-option full exemption | Adopted locally; confirm with your assessor. The P&T exemption is effective for assessment rolls with taxable status dates on or after October 1, 2026. |
A few verified details are worth calling out. Under the Colorado Revised Statutes 39-3-203, Colorado exempts 50% of the first $200,000 of actual value for a 100% permanent service-connected disability. This mirrors Colorado's senior property tax exemption structure.
Per the Florida Department of Revenue property tax rules, Florida grants a full homestead exemption to veterans with a 100% service-connected disability.
New York works differently. New York adopts the veterans exemption locally, so the amount depends on your municipality.
New York also added a fourth option, the Veterans with a Permanent and Total Disability exemption under New York Real Property Tax Law Section 458-a(11). It is a municipal local option, so not every municipality offers it, and it provides a full exemption from property taxes.
This option is effective for assessment rolls with taxable status dates on or after October 1, 2026.
If your state is not listed, start with your state department of veterans affairs or county assessor to confirm your rating threshold and benefit. Local rules can also add to the state benefit, so it pays to check both. For a broader reference, see our guide to property tax exemptions by state.
Do You Qualify? Eligibility and How to Apply
Eligibility rules share a few common threads across states. Most ask for an honorable or otherwise qualifying discharge and a VA service-connected disability rating. You must also own and occupy the home as your primary residence.
Some states, such as Washington and Pennsylvania, apply an income or financial-need test in addition to those rules.
Once you confirm you qualify, the application follows a clear path. Follow these five steps:
Get your VA rating decision letter, which documents your service-connected disability rating.
Confirm your state or county's rating threshold and the benefit you are owed.
Complete the correct state or county application, since forms differ (for example, California's Form BOE-261-G).
Submit proof of your rating, ownership, and residency.
Confirm the exemption appears on your next assessment notice or tax bill.
Deadlines vary by state and county, and they change from year to year. Instead of trusting a date you find online, confirm the current deadline with your assessing authority. Missing it can cost you a full year of savings.
Renewals work differently across states, too. Many veteran exemptions renew automatically once granted. Others require you to reapply or verify your status on a set schedule.
Watch your mail for verification notices so your exemption does not lapse. If this feels like a lot to track, we can file your property tax exemptions and handle the paperwork for you.
Surviving Spouses and Missed Years
Surviving spouses are often protected. In many states, an unmarried surviving spouse keeps the veteran's exemption after the veteran passes. Texas and Colorado both allow a qualifying surviving spouse to continue the benefit.
Rules vary by state, so confirm the details with your state before assuming you are covered.
Missed years are the second overlooked angle. Most states forfeit a missed year once the deadline passes, but a few let you recover prior-year savings. Check with your assessing authority to learn what your state allows.
We pursue these missed exemptions where state rules permit. In our work on the Texas homestead exemption, we helped 11,000 Texas properties secure $23.9 million in missed exemption savings in 2025.
How Ownwell Serves Property Owners
At Ownwell, we handle veteran exemptions from start to finish. We check which exemptions you qualify for and file the paperwork with your state or county. We also pursue missed or retroactive exemptions where allowed and monitor your status.
Our contingency-based pricing means you only pay if you save, with no upfront cost. As of 2025, Ownwell customers saw an 88 percent success rate and $774 in average annual savings, and we have processed more than 1 million appeals.
We currently offer full-service appeals and exemptions in Texas, California, Florida, Georgia (appeal only), Illinois, New York, Washington, Pennsylvania, and Colorado.
Frequently Asked Questions
Do all 50 states offer a disabled veterans property tax exemption?
Nearly all states offer some form of veteran property tax relief, but the amount and form of the benefit vary by state. Confirm the rule where you live.
Does a 100% VA disability rating mean I pay no property tax?
Not always; it depends on your state and the exact rating. Many states grant a full exemption at a 100 percent permanent and total rating, while others apply an income test or a partial break.
Can a surviving spouse keep the disabled veteran exemption?
In many states, an unmarried surviving spouse keeps the exemption, as Texas and Colorado allow, but the rules vary, so confirm with your state.
Are disabled veteran property tax exemptions automatic?
No; you must apply with your state or county, and some exemptions require periodic reapplication or verification even after they are granted.
Is there a service that can check my eligibility and file the exemption for me?
Yes; at Ownwell we check your eligibility, file the paperwork, and pursue missed exemptions where allowed, so you only pay if you save.
