HB 2406
Initials VP/DD Page 1 Ways & Means
ARIZONA HOUSE OF REPRESENTATIVES
Fifty-seventh Legislature
First Regular Session
HB 2406: property tax; exemption; combat veterans
Sponsor: Representative Kolodin, LD 3
Committee on Ways & Means
Overview
Grants a complete exemption from property tax to combat veterans with a service connected
disability which is combat related and is rated as 100% by The United States Department of
Veterans Affairs (VA).
History
Currently, a veteran with a service or nonservice connected disability receives an exemption
of $4,188 if the property tax does not exceed $28,459 (A.R.S. § 42-11111).
Disability ratings for veterans are done by the VA to determine the veteran's disability
compensation rate and other eligibility benefits. The VA bases the rating on evidence the
veteran provides (doctors reports or medical tests), results from the VA's claim exam and
information the VA receives from other sources such as federal agencies. VA disability ratings
do not exceed 100% and will be calculated as a combined disability rating if the veteran has
multiple disability ratings (VA.gov).
Provisions
1. Makes the property of a combat veteran with a service connected disability which is
combat related and is rated as 100% by the VA fully exempt from taxation. (Sec. 1)
2. Specifies the property of widows, widowers, persons with a permanent disability and
veterans with a service or nonservice connected disability are exempt in the amount of:
a) $4,188 for the property of people who are not fully exempt if the individual's total
assessment does not exceed $28,459;
b) reduces the $4,188 limit by multiplying the total exemption by the percentage of the
veteran's disability; and
c) imposes an income limit to qualify for the exemption. (Sec. 1)
3. Mandates that the amount of tax raised from primary taxes cannot include an amount to
offset the aggregate amount of exemptions for combat veterans with a service connected
disability which is combat related and is rated as 100% by the VA. (Sec. 2)
4. Contains an applicability clause. (Sec. 3)
5. Makes conforming changes. (Sec. 1)
☐ Prop 105 (45 votes) ☐ Prop 108 (40 votes) ☐ Emergency (40 votes) ☐ Fiscal Note