Property taxation: exemption: disabled veteran homeowners.

Plain English Breakdown

The bill's status as 'Passed Legislature' does not indicate whether it has been signed into law or vetoed by the governor, which affects its effective date and implementation.

Property Tax Exemption for Disabled Veteran Homeowners

The bill creates an exemption from property taxes for disabled veterans and their spouses who meet certain criteria, effective from January 1, 2026 to January 1, 2036.

What This Bill Does

• Exempts property owned by a veteran or the veteran's spouse if the veteran is 100% disabled due to military service.
• Provides an exemption for unmarried surviving spouses of veterans who meet specific conditions.
• Requires documentation from claimants to receive the tax exemption.
• Limits other real property tax exemptions for those receiving this new exemption.
• Sets up a state-mandated local program with additional duties for local tax officials.

Who It Names or Affects

• Disabled veterans who own their home and meet specific disability criteria.
• Unmarried surviving spouses of disabled veterans.
• Local tax officials responsible for assessing property taxes.

Terms To Know

Tax Exemption

A reduction or exclusion from paying a certain amount of tax on property.

State-Mandated Local Program

A program that requires local governments to perform specific duties as mandated by the state, often with additional costs.

Limits and Unknowns

• The bill does not provide funding for local agencies and school districts affected by property tax revenue loss.
• It is unclear how many veterans will qualify for this exemption.
• Local agencies may incur additional costs due to the new duties imposed on them.

Official Summary Text

SB 296, as amended, Archuleta.
Property taxation: exemption: disabled veteran homeowners.
The California Constitution provides that all property is taxable, and requires that it be assessed at the same percentage of fair market value, unless otherwise provided by the California Constitution or federal law. The California Constitution and existing property tax law provide various exemptions from taxation, including, among others, a disabled veterans’ exemption and a veterans’ organization exemption.
This bill would exempt from taxation, as provided, property owned by, and that constitutes the principal place of residence of, a veteran, the veteran’s spouse, or the veteran and the veteran’s spouse jointly, if the veteran is
100% disabled.
blind in both eyes, has lost
the use of 2 or more limbs, or is totally disabled, as defined, as a result of injury or disease incurred in military service.
The bill would provide an unmarried surviving spouse a property exemption in the same amount that they would have been entitled to if the veteran was alive and if certain conditions are met. The bill would require certain documentation to be provided to the county assessor to receive the exemption and would prohibit any other real property tax exemption from being granted to the claimant if receiving the exemption provided by the provisions of this bill. The bill would make these exemptions applicable for property tax lien dates occurring on or after January 1, 2026, but occurring before January 1, 2036. By imposing additional duties on local tax officials, the bill would impose a state-mandated local program.
Existing law requires any bill authorizing a new tax expenditure to contain, among other things, specific
goals, purposes, and objectives that the tax expenditure will achieve, detailed performance indicators, and data collection requirements.
This bill also would include additional information required for any bill authorizing a new tax expenditure.
The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.
Existing law requires the state to reimburse local agencies annually for certain property tax
revenues lost as a result of any exemption or classification of property for purposes of ad valorem property taxation.
This bill would provide that, notwithstanding those provisions, no appropriation is made and the state shall not reimburse local agencies for property tax revenues lost by them pursuant to the bill.
This bill would take effect immediately as a tax levy.

Current Bill Text

Download Bill PDF