Modify Property Tax Exemption For Veterans With Disabilities

The Colorado constitution allows a veteran who has a service-connected disability rated as a 100% permanent disability to claim a property tax exemption for 50% of the first $200,000 of actual value of the veteran's owner-occupied primary residence. The general assembly may enact legislation to raise or lower the $200,000 actual value limit but the 100% permanent disability requirement can only be changed through a constitutional amendment.

For property tax years commencing on and after January 1, 2021, the bill increases from $200,000 to $300,000 the maximum amount of actual value of the owner-occupied primary residence of an eligible veteran with a disability of which 50% is exempt from property taxation. If at the 2022 general election the voters of the state approve a proposed constitutional amendment to make more veterans eligible for the exemption by allowing veterans who have a service-connected disability rated as a 50% or greater to claim the exemption, the bill makes a conforming statutory amendment to reflect the expansion of the exemption for property tax years commencing on or after January 1, 2023.

(Note: This summary applies to this bill as introduced.)