Enrolled Copy H.B. 539
1 VETERAN PROPERTY TAX EXEMPTI ON
2 2023 GENERAL SESSION
3 STATE OF UTAH
4 Chief Sponsor: Jon Hawkins
5 Senate Sponsor: Michael K. McKell
6Cosponsors:
7Nelson T. Abbott
8Cheryl K. Acton
9Carl R. Albrecht
10Melissa G. Ballard
11Stewart E. Barlow
12Gay Lynn Bennion
13Kera Birkeland
14Joel K. Briscoe
15Walt Brooks
16Kay J. Christofferson
17Tyler Clancy
18Paul A. Cutler
19Jennifer Dailey-Provost
20James A. Dunnigan
21Steve Eliason
Brett Garner
Katy Hall
Sahara Hayes
Sandra Hollins
Ken Ivory
Tim Jimenez
Marsha Judkins
Jason B. Kyle
Rosemary T. Lesser
Anthony E. Loubet
Steven J. Lund
A. Cory Maloy
Ashlee Matthews
Carol S. Moss
Calvin R. Musselman
Doug Owens
Michael J. Petersen
Thomas W. Peterson
Candice B. Pierucci
Judy Weeks Rohner
Angela Romero
Rex P. Shipp
Jeffrey D. Stenquist
Andrew Stoddard
Mark A. Strong
Jordan D. Teuscher
Christine F. Watkins
Mark A. Wheatley
Stephen L. Whyte
Ryan D. Wilcox
22
23LONG TITLE
24General Description:
25 This bill amends the veteran armed forces property tax exemption.
26Highlighted Provisions:
27 This bill:
28 <creates a process for a veteran with a 100% service-connected disability that is H.B. 539 Enrolled Copy
- 2 -
29permanent and total to apply for a veteran armed forces property tax exemption before the
30veteran purchases a residence.
31Money Appropriated in this Bill:
32 None
33Other Special Clauses:
34 None
35Utah Code Sections Affected:
36AMENDS:
37 59-2-1904, as enacted by Laws of Utah 2019, Chapter 453
38
39Be it enacted by the Legislature of the state of Utah:
40 Section 1. Section 59-2-1904 is amended to read:
41 59-2-1904. Veteran armed forces exemption -- Application.
42 (1) As used in this section[, "default]:
43 (a) "Default application deadline" means the application deadline described in
44Subsection (3)(a).
45 (b) "Qualifying disabled veteran claimant" means a veteran claimant who has a 100%
46service-connected disability rating by the Veterans Benefits Administration that is permanent
47and total.
48 (2) A veteran claimant may claim an exemption in accordance with Section 59-2-1903
49and this section if the veteran claimant owns the property eligible for the exemption at any time
50during the calendar year for which the veteran claimant claims the exemption.
51 (3) (a) Except as provided in Subsection (4) [or], (5), or (7), a veteran claimant shall
52file, on or before September 1 of the calendar year for which the veteran claimant is applying
53for the exemption, [file] an application for an exemption described in Section 59-2-1903 with
54the county in which the veteran claimant resides on September 1 of that calendar year.
55 (b) An application described in Subsection (3)(a) shall include:
56 (i) a copy of the veteran's certificate of discharge from military service or other Enrolled Copy H.B. 539
- 3 -
57satisfactory evidence of eligible military service; and
58 (ii) for an application submitted under the circumstances described in Subsection
59(5)(a), a statement, issued by a military entity, that gives the date on which the written decision
60described in Subsection (5)(a) takes effect.
61 (c) A veteran claimant who is claiming an exemption for a veteran with a disability or a
62deceased veteran with a disability, shall ensure that as part of the application described in this
63Subsection (3), the county has on file, for the veteran related to the exemption, a statement of
64disability:
65 (i) issued by a military entity; and
66 (ii) that lists the percentage of disability for the veteran with a disability or deceased
67veteran with a disability.
68 (d) If a veteran claimant is in compliance with Subsection (3)(c), a county may not
69require the veteran claimant to file another statement of disability, except under the following
70circumstances:
71 (i) the percentage of disability has changed for the veteran with a disability or the
72deceased veteran with a disability; or
73 (ii) the veteran claimant is not the same individual who filed an application for the
74exemption for the calendar year immediately preceding the current calendar year.
75 (e) A county that receives an application described in Subsection (3)(a) shall, within 30
76days after the day on which the county received the application, provide the veteran claimant
77with a receipt that states that the county received the veteran claimant's application.
78 (4) A county may extend the default application deadline for an initial or amended
79application until December 31 of the year for which the veteran claimant is applying for the
80exemption if the county finds that good cause exists to extend the default application deadline.
81 (5) A county shall extend the default application deadline by one additional year if, on
82or after January 4, 2004:
83 (a) a military entity issues a written decision that:
84 (i) (A) for a potential claimant who is a living veteran, determines the veteran is a H.B. 539 Enrolled Copy
- 4 -
85veteran with a disability; or
86 (B) for a potential claimant who is the unmarried surviving spouse or minor orphan of
87a deceased veteran, determines the deceased veteran was a deceased veteran with a disability at
88the time the deceased veteran with a disability died; and
89 (ii) takes effect in a year before the current calendar year; or
90 (b) the county legislative body determines that:
91 (i) the veteran claimant or a member of the veteran claimant's immediate family had an
92illness or injury that prevented the veteran claimant from filing the application on or before the
93default application deadline;
94 (ii) a member of the veteran claimant's immediate family died during the calendar year
95of the default application deadline;
96 (iii) the veteran claimant was not physically present in the state for a time period of at
97least six consecutive months during the calendar year of the default application deadline; or
98 (iv) the failure of the veteran claimant to file the application on or before the default
99application deadline:
100 (A) would be against equity or good conscience; and
101 (B) was beyond the reasonable control of the veteran claimant.
102 (6) (a) A county shall allow a veteran claimant to amend an application described in
103Subsection (3)(a) after the default application deadline if, on or after January 4, 2004, a military
104entity issues a written decision:
105 (i) that the percentage of disability has changed:
106 (A) for a veteran with a disability, if the veteran with a disability is the veteran
107claimant; or
108 (B) for a deceased veteran with a disability, if the claimant is the unmarried surviving
109spouse or minor orphan of a deceased veteran with a disability; and
110 (ii) that takes effect in a year before the current calendar year.
111 (b) A veteran claimant who files an amended application under Subsection (6)(a) shall
112include a statement, issued by a military entity, that gives the date on which the written Enrolled Copy H.B. 539
- 5 -
113decision described in Subsection (6)(a) takes effect.
114 (7) (a) A qualifying disabled veteran claimant may submit an application described in
115Subsection (3)(b) before the qualifying disabled veteran claimant owns a residence if the
116qualifying disabled veteran claimant:
117 (i) intends to purchase the residence as evidenced by a real estate purchase contract or
118similar documentation;
119 (ii) files the application in the county where the residence that the qualifying disabled
120veteran claimant intends to purchase is located; and
121 (iii) intends to use the residence as the qualifying disabled veteran claimant's primary
122residence.
123 (b) (i) The county shall process the application and send the qualifying disabled veteran
124claimant a receipt, which shall also include documentation that:
125 (A) the application is preliminarily approved or denied; and
126 (B) if the application is preliminarily approved, the amount of the qualifying disabled
127veteran claimant's tax exemption calculated in accordance with Section 59-2-1903.
128 (ii) The county shall provide the receipt within 15 business days after the day on which
129the county received the application.
130 (8) After issuing the receipt described in Subsection (3)(e) or (7)(b), a county may not
131require a veteran claimant to file another application under Subsection (3)(a) or (7)(a), except
132under the following circumstances relating to the veteran claimant:
133 (a) the veteran claimant applies all or a portion of an exemption to tangible personal
134property;
135 (b) the percentage of disability changes for a veteran with a disability or a deceased
136veteran with a disability;
137 (c) the veteran with a disability dies;
138 (d) a change in the veteran claimant's ownership of the veteran claimant's primary
139residence;
140 (e) a change in the veteran claimant's occupancy of the primary residence for which the H.B. 539 Enrolled Copy
- 6 -
141veteran claimant claims an exemption under this section; or
142 (f) for an exemption relating to a deceased veteran with a disability or a veteran who
143was killed in action or died in the line of duty, the veteran claimant is not the same individual
144who filed an application for the exemption for the calendar year immediately preceding the
145current calendar year.
146 [(8)] (9) If a veteran claimant is the grantor of a trust holding title to real or tangible
147personal property for which an exemption described in Section 59-2-1903 is claimed, a county
148may allow the veteran claimant to claim a portion of the exemption and be treated as the owner
149of that portion of the property held in trust, if the veteran claimant proves to the satisfaction of
150the county that:
151 (a) title to the portion of the trust will revest in the veteran claimant upon the exercise
152of a power by:
153 (i) the veteran claimant as grantor of the trust;
154 (ii) a nonadverse party; or
155 (iii) both the veteran claimant and a nonadverse party;
156 (b) title will revest as described in Subsection [(8)(a)] (9)(a), regardless of whether the
157power described in Subsection [(8)(a)] (9)(a) is a power to revoke, terminate, alter, amend, or
158appoint; and
159 (c) the veteran claimant satisfies the requirements described in this part for the
160exemption described in Section 59-2-1903.
161 [(9)] (10) A county may verify that real property for which a veteran claimant applies
162for an exemption is the veteran claimant's primary residence.
163 [(10)] (11) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking
164Act, the commission may, by rule:
165 (a) establish procedures and requirements for amending an application described in
166Subsection (3)(a);
167 (b) for purposes of Subsection (5)(b), define the terms:
168 (i) "immediate family"; or Enrolled Copy H.B. 539
- 7 -
169 (ii) "physically present"; [or]
170 (c) for purposes of Subsection (5)(b), [prescribe] provide the circumstances under
171which the failure of a veteran claimant to file an application on or before the default application
172deadline:
173 (i) would be against equity or good conscience; and
174 (ii) is beyond the reasonable control of a veteran claimant[.]; or
175 (d) for purposes of Subsection (7)(a), establish the type of documentation that is
176evidence of intent to purchase.