LCO 5350 1 of 4
General Assembly Raised Bill No. 7122
January Session, 2025
LCO No. 5350
Referred to Committee on VETERANS' AND MILITARY
AFFAIRS
Introduced by:
(VA)
AN ACT EXCLUDING VETERANS' DISABILITY PAYMENTS FROM
QUALIFYING INCOME WHEN DETERMINING CERTAIN PROPERTY
TAX RELIEF.
Be it enacted by the Senate and House of Representatives in General
Assembly convened:
Section 1. Subsection (a) of section 12-81kk of the general statutes is 1
repealed and the following is substituted in lieu thereof (Effective October 2
1, 2025): 3
(a) Any municipality, by vote of its legislative body or, in a 4
municipality where the legislative body is a town meeting, by vote of 5
the board of selectmen, may provide that any veteran, as defined in 6
section 27-103, whose federal adjusted gross income, exclusive of any 7
veterans' disability payments, is fifty thousand one hundred dollars or 8
less shall be entitled to an exemption from the tax imposed under this 9
chapter on any dwelling owned and occupied by such veteran as such 10
veteran's primary residence, in an amount equal to ten per cent of the 11
assessed value of such primary residence. 12
Sec. 2. Subdivision (1) of subsection (b) of section 12-170aa of the 13 Raised Bill No. 7122
LCO 5350 2 of 4
general statutes is repealed and the following is substituted in lieu 14
thereof (Effective October 1, 2025): 15
(b) (1) The program established by this section shall provide for a 16
reduction in property tax, except in the case of benefits payable as a 17
grant under certain circumstances in accordance with provisions in 18
subsection (j) of this section, applicable to the assessed value of certain 19
real property, determined in accordance with subsection (c) of this 20
section, for any (A) owner of real property, including any owner of real 21
property held in trust for such owner, provided such owner or such 22
owner and such owner's spouse are the grantor and beneficiary of such 23
trust, (B) tenant for life or tenant for a term of years liable for property 24
tax under section 12-48, or (C) resident of a multiple-dwelling complex 25
under certain contractual conditions as provided in subsection (j) of this 26
section, who (i) at the close of the preceding calendar year has attained 27
age sixty-five or over, or whose spouse domiciled with such 28
homeowner, has attained age sixty-five or over at the close of the 29
preceding calendar year, or is fifty years of age or over and the surviving 30
spouse of a homeowner who at the time of such homeowner's death had 31
qualified and was entitled to tax relief under this section, provided such 32
spouse was domiciled with such homeowner at the time of such 33
homeowner's death, or (ii) at the close of the preceding calendar year 34
has not attained age sixty-five and is eligible in accordance with 35
applicable federal regulations to receive permanent total disability 36
benefits under Social Security, or has not been engaged in employment 37
covered by Social Security and accordingly has not qualified for benefits 38
thereunder but who has become qualified for permanent total disability 39
benefits under any federal, state or local government retirement or 40
disability plan, including the Railroad Retirement Act and any 41
government-related teacher's retirement plan, determined by the 42
Secretary of the Office of Policy and Management to contain 43
requirements in respect to qualification for such permanent total 44
disability benefits that are comparable to such requirements under 45
Social Security; and in addition to qualification under clause (i) or (ii) of 46
this subdivision, whose taxable and nontaxable income, the total of 47 Raised Bill No. 7122
LCO 5350 3 of 4
which shall hereinafter be called "qualifying income", in the tax year of 48
such homeowner ending immediately preceding the date of application 49
for benefits under the program in this section, was not in excess of 50
sixteen thousand two hundred dollars, if unmarried, or twenty 51
thousand dollars, jointly with spouse if married, subject to adjustments 52
in accordance with subdivision (2) of this subsection, evidence of which 53
income shall be required in the form of a signed affidavit to be submitted 54
to the assessor in the municipality in which application for benefits 55
under this section is filed. Such affidavit may be filed electronically, in 56
a manner prescribed by the assessor. The amount of any Medicaid 57
payments, and the amount of any veterans' disability payments, made 58
on behalf of such homeowner or the spouse of such homeowner shall 59
not constitute income. The amount of tax reduction provided under this 60
section, determined in accordance with and subject to the variable 61
factors in the schedule of amounts of tax reduction in subsection (c) of 62
this section, shall be allowed only with respect to a residential dwelling 63
owned by such qualified homeowner and used as such homeowner's 64
primary place of residence. If title to real property or a tenancy interest 65
liable for real property taxes is recorded in the name of such qualified 66
homeowner or his spouse making a claim and qualifying under this 67
section and any other person or persons, the claimant hereunder shall 68
be entitled to pay his fractional share of the tax on such property 69
calculated in accordance with the provisions of this section, and such 70
other person or persons shall pay his or their fractional share of the tax 71
without regard for the provisions of this section, unless also qualified 72
hereunder. For the purposes of this section, a "mobile manufactured 73
home", as defined in section 12-63a, or a dwelling on leased land, 74
including but not limited to a modular home, shall be deemed to be real 75
property and the word "taxes" shall not include special assessments, 76
interest and lien fees. 77
Sec. 3. Section 12-81l of the general statutes is repealed and the 78
following is substituted in lieu thereof (Effective October 1, 2025): 79
Whenever used in sections 12-81f, 12-81g, 12-81i, 12-81j, 12-81ii and 80
12-81jj, "qualifying income" means, with respect to any person making 81 Raised Bill No. 7122
LCO 5350 4 of 4
application for exemption from property tax as provided under any of 82
said sections, such person's total adjusted gross income as determined 83
for purposes of the federal income tax plus any other income not 84
included in such adjusted gross income, individually if unmarried, or 85
jointly with spouse if married, during the calendar year ending 86
immediately preceding the filing of a claim for any such exemption, but 87
does not include veterans' disability payments. For purposes of 88
determining eligibility for any of such exemptions, such qualifying 89
income may not exceed fourteen thousand dollars, if unmarried, or 90
sixteen thousand dollars, jointly with spouse, if married, provided in no 91
event shall such maximum amounts of qualifying income with respect 92
to any such person be less than the maximum amount of such qualifying 93
income in the case of a married or unmarried person, whichever is 94
applicable, under subsection (b) of section 12-170aa, as amended by this 95
act, and in the event that such maximum qualifying income under this 96
section is less than the comparable amount under said subsection (b) of 97
section 12-170aa, as amended by this act, for any assessment year, such 98
amount under this section shall be made equivalent to that under said 99
subsection (b) of section 12-170aa, as amended by this act, for purposes 100
of determining eligibility under this section for such assessment year. 101
This act shall take effect as follows and shall amend the following
sections:
Section 1 October 1, 2025 12-81kk(a)
Sec. 2 October 1, 2025 12-170aa(b)(1)
Sec. 3 October 1, 2025 12-81l
VA Joint Favorable