Story May 23, 2024

The expressed opinions in the article may not be shared by the publisher.

See our simplified interpretation and the entire Act itself following the article.

(HARTFORD, CT) – Governor Ned Lamont today announced that he has signed legislation creating a state law that exempts from property taxes the primary residence or motor vehicle of former members of the United States Armed Forces who have a permanent and total disability rating resulting from their active-duty service.

The exemption applies to a home that is owned by an eligible service member and is their primary residence. If an eligible service member does not own a home, the exemption will apply to one motor vehicle owned by the service member.

To qualify, the former service member must have served in the U.S. Army, Navy, Marine Corps, Coast Guard, Air Force, or Space Force; have a service-connected permanent and total disability rating as determined by the United States Department of Veterans Affairs; reside in Connecticut; and file for the exemption with the town assessor.

“Our service members put their lives on the line to protect our nation, and this property tax exemption will provide some relief to those who have made sacrifices for our country,” Governor Lamont said. “Connecticut is the home of many veterans who have provided for our nation, and we want to ensure that they are properly cared for in their lives after leaving service. I want to thank the entire legislature for sending this bill to my desk so that I could sign it into law, and in particular I applaud Representative Anthony Nolan for his continued advocacy in support of this bill.”

The bill was approved with the unanimous support of every member of the Connecticut General Assembly present and voting.

“This is one of the greatest bills I’ve voted for, and I’m so proud to see its unanimous, bipartisan passage in the legislature and signage into law by Governor Lamont,” State Representative Anthony Nolan (D-New London), co-chair of the Committee on Veterans and Military Affairs, said. “This bill acknowledges and appreciates the sacrifices these veterans have made for their country. It provides them with financial relief and support, recognizing their services and the challenges they may face due to their disabilities. It also improves their quality of life by easing their financial burden and allowing them to focus on their health and well-being. Thank you to Governor Lamont for his steadfast support and for signing this amazing bill into law.”

“Our veterans who served our country and made sacrifices deserve our continued support, and this law will provide them with welcome, valuable financial relief,” State Senator Martha Marx (D-New London), co-chair of the Committee on Veterans and Military Affairs, said. “It’s wonderful to know that our state’s disabled veterans will have this new benefit that will provide long-term aid.”

“As an Army veteran and American Legion Post commander, this is an issue that is very close to my heart,” State Senator Cathy Osten (D-Sprague), co-chair of the Appropriations Committee, said. “I’ve been working for years to get this law passed, and I’m really happy to see the unanimous and bipartisan support it got this year. Only one-half of one percent of Americans serve in the military. We have to remember what a select group of people we are talking about who might receive this benefit. As we approach Memorial Day, and as we bestow accolades and honors on all of those who have died fighting for our country, let’s remember that military service members are injured every day. Some of them will end up being permanently and totally disabled. These service members and their sacrifice for our country need to be remembered and honored, and eliminating their local property taxes is just one good way of doing that.”

The legislation is Public Act 24-46, An Act Establishing a Property Tax Exemption for Veterans Who Have a Service-Connected Permanent and Total Disability Rating. It takes effect October 1, 2024.

It is the opinion of this publication that the Underlying Act itself is of small significance and no more than a couple hundred dollars in tax relief to the most Disabled Veterans, who deserve far better. It is our hope that pressure to do more will result.

Below 👇 is our interpretation of the Legislation. However, hopefully we are wrong??

PLEASE PROVE US WRONG!! COMMENT IN THE COMMENT SECTION

Starting October 1, 2024, eligible Connecticut veterans with a permanent and total service-connected disability can receive a property tax exemption up to $3,500. This means their property’s taxable value will be reduced by this amount. For example, if a town’s mill rate is 4.24%, the maximum exemption could save the veteran $148.40 in taxes each year. Does this new law really help to honor veterans by easing their financial burdens?

The Fine print 👇

Substitute House Bill No. 5491

Public Act No. 24-46

AN ACT ESTABLISHING A PROPERTY TAX EXEMPTION FOR VETERANS WHO HAVE A SERVICE-CONNECTED PERMANENT AND TOTAL DISABILITY RATING.

Be it enacted by the Senate and House of Representatives in General Assembly convened:

Section 1. Section 12-81 of the 2024 supplement to the general statutes is amended by adding subdivision (83) as follows (Effective October 1, 2024, and applicable to assessment years commencing on or after October 1, 2024):

(NEW) (83) (A) (i) A dwelling, including a condominium, as defined in section 47-68a, and a unit in a common interest community, as defined in section 47-202, that is (I) owned by any resident of this state who has served in the Army, Navy, Marine Corps, Coast Guard, Air Force or Space Force of the United States and has a service-connected permanent and total disability rating as determined by the United States Department of Veterans Affairs, and (II) occupied by such resident as the resident’s primary residence, or (ii) lacking such residence, one motor vehicle owned by such resident and garaged in this state.

2. If such resident lacks such dwelling or motor vehicle in such resident’s name, the dwelling or motor vehicle, as applicable, belonging to or held in trust for such resident’s spouse, who is domiciled with such resident, shall be so exempt. When any resident entitled to an exemption

under the provisions of this subdivision has died, the dwelling or motor vehicle, as applicable, belonging to or held in trust for such deceased resident’s surviving spouse, while such spouse remains a widow or widower, or held in trust for such deceased resident’s minor children during their minority, or both, while they are residents of this state, shall be so exempt as that to which such resident was or would have been entitled at the time of such resident’s death.

3. No individual entitled to the exemption under this subdivision and under one or more of subdivisions (19), (22), (23), (25) and (26) of this section shall receive more than one exemption.
4. (i) No individual shall receive any exemption to which such individual is entitled under this subdivision until such individual has complied with section 12-95, as amended by this act, and has submitted proof of such individual’s disability rating, as determined by the United States Department of Veterans Affairs, to the assessor of the town in which the exemption is sought. If there is no change to an individual’s disability rating, such proof shall not be required for any assessment year following that for which the exemption under this subdivision is granted initially. If the United States Department of Veterans Affairs modifies an individual’s disability rating to other than service- connected permanent and total disability, such modification shall be deemed a waiver of the right to the exemption under this subdivision. Any such individual whose disability rating was modified to other than service-connected permanent and total disability may seek the exemption under subdivision (20) of this section.
5. Any individual who has been unable to submit evidence of disability rating in the manner required by this subdivision, or who has failed to submit such evidence as provided in section 12-95, as amended by this act, may, when such individual obtains such evidence, make application to the tax collector not later than one year after such individual obtains such proof or not later than one year after the

expiration of the time limited in section 12-95, as amended by this act, as the case may be, for abatement in case the tax has not been paid, or for refund in case the whole tax or part of the tax has been paid. Such abatement or refund may be granted retroactively to include the assessment day next succeeding the date as of which such individual was entitled to such disability rating as determined by the United States Department of Veterans Affairs, but in no case shall any abatement or refund be made for a period greater than three years.

3. The tax collector shall, after examination of such application, refer the same, with the tax collector’s recommendations thereon, to the board of selectmen of a town or to the corresponding authority of any other municipality, and shall certify to the amount of abatement or refund to which the applicant is entitled. Upon receipt of such application and certification, the selectmen or other duly constituted authority shall, in case the tax has not been paid, issue a certificate of abatement or, in case the whole tax or part of the tax has been paid, draw an order upon the treasurer in favor of such applicant for such amount, without interest. Any action so taken by such selectmen or other authority shall be a matter of record and the tax collector shall be notified in writing of such action.

Sec. 2. Subdivision (20) of section 12-81 of the 2024 supplement to the general statutes is repealed and the following is substituted in lieu thereof (Effective October 1, 2024, and applicable to assessment years commencing on or after October 1, 2024):

(20) (A) Subject to the provisions hereinafter stated, property not exceeding three thousand five hundred dollars in amount shall be exempt from taxation, which property belongs to, or is held in trust for, any resident of this state who has served, or is serving, in the Army, Navy, Marine Corps, Coast Guard, Air Force or Space Force of the United States and [(1)] (i) has a disability rating as determined by the United States Department of Veterans Affairs amounting to ten per cent

or more of total disability, other than a service-connected permanent and total disability rating, provided such exemption shall be two thousand dollars in any case in which such rating is between ten per cent and twenty-five per cent; two thousand five hundred dollars in any case in which such rating is more than twenty-five per cent but not more than fifty per cent; three thousand dollars in any case in which such rating is more than fifty per cent but not more than seventy-five per cent; and three thousand five hundred dollars in any case in which such [person] resident has attained sixty-five years of age or such rating is more than seventy-five per cent; or [(2)] (ii) is receiving a pension, annuity or compensation from the United States because of the loss in service of a leg or arm or that which is considered by the rules of the United States Pension Office or the Bureau of War Risk Insurance the equivalent of such loss.

2. If such veteran lacks such amount of property in [his or her] such veteran’s name, so much of the property belonging to, or held in trust for, [his or her] such veteran’s spouse, who is domiciled with [him or her] such veteran, as is necessary to equal such amount shall also be so exempt. When any veteran entitled to an exemption under the provisions of this [section] subdivision has died, property belonging to, or held in trust for, [his or her] such deceased veteran’s surviving spouse, while such spouse remains a widow or widower, or belonging to or held in trust for [his or her] such deceased veteran’s minor children during their minority, or both, while they are residents of this state, shall be exempt in the same aggregate amount as that to which the disabled veteran was or would have been entitled at the time of [his or her] such veteran’s death.

3. No individual entitled to the exemption under this subdivision and under one or more of subdivisions (19), (22), (23), (25) and (26) of this section shall receive more than one exemption.
4. (i) No individual shall receive any exemption to which [he or she]

such individual is entitled under this subdivision until [he or she] such individual has complied with section 12-95, as amended by this act, and has submitted proof of [his or her] such individual’s disability rating, as determined by the United States Department of Veterans Affairs, to the assessor of the town in which the exemption is sought. If there is no change to an individual’s disability rating, such proof shall not be required for any assessment year following that for which the exemption under this subdivision is granted initially. If the United States Department of Veterans Affairs modifies a veteran’s disability rating, such modification shall be deemed a waiver of the right to [such] the exemption under this subdivision until proof of disability rating is submitted to the assessor and the right to such exemption is established as required initially, except that if such disability rating is modified to a service-connected permanent and total disability rating, such veteran may seek the exemption under subdivision (83) of this section.

2. Any [person] individual who has been unable to submit evidence of disability rating in the manner required by this subdivision, or who has failed to submit such evidence as provided in section 12-95, as amended by this act, may, when [he or she] such individual obtains such evidence, make application to the tax collector [of taxes within] not later than one year after [he or she] such individual obtains such proof or [within] not later than one year after the expiration of the time limited in section 12-95, as amended by this act, as the case may be, for abatement in case the tax has not been paid, or for refund in case the whole tax has been paid, of such part or the whole of such tax as represents the service exemption. Such abatement or refund may be granted retroactively to include the assessment day next succeeding the date as of which such person was entitled to such disability rating as determined by the United States Department of Veterans Affairs, but in no case shall any abatement or refund be made for a period greater than three years.
3. The tax collector shall, after examination of such application, refer the same, with [his] the tax collector’s recommendations thereon, to the board of selectmen of a town or to the corresponding authority of any other municipality, and shall certify to the amount of abatement or refund to which the applicant is entitled. Upon receipt of such application and certification, the selectmen or other duly constituted authority shall, in case the tax has not been paid, issue a certificate of abatement or, in case the whole tax has been paid, draw an order upon the treasurer in favor of such applicant for the amount, without interest, [which] that represents the service exemption. Any action so taken by such selectmen or other authority shall be a matter of record and the tax collector shall be notified in writing of such action;

Sec. 3. Section 12-95 of the general statutes is repealed and the following is substituted in lieu thereof (Effective October 1, 2024, and applicable to assessment years commencing on or after October 1, 2024):

No individual shall receive any exemption to which [he] such individual is entitled by any one of subdivisions (19), (20), (22), (23), (25), (26), [and] (28) and (83) of section 12-81, as amended by this act, or section 12-82 until [he] such individual has proved [his] such individual’s right to such exemption in accordance with the provisions of sections 12-93 and 12-94, together with such further proof as is necessary under the provisions of any of said sections. Exemptions so proved by residents shall take effect on the next succeeding assessment day, provided individuals entitled to an exemption under the provisions of subdivision (20) or (83) of section 12-81, as amended by this act, may prove such right at any time before the expiration of the time limited by law for the board of assessment appeals of the town wherein the exemption is claimed to complete its duties and such exemption shall take effect on the assessment day next preceding the date of the proof thereof. For purposes of any tax payable in accordance with the provisions of section 12-71b, any such exemption referred to in

this section shall take effect on the first day of January next following the date on which the right to such exemption has been proved.

Sec. 4. Section 12-81h of the general statutes is repealed and the following is substituted in lieu thereof (Effective October 1, 2024, and applicable to assessment years commencing on or after October 1, 2024):

Any municipality, upon approval by its legislative body, may allow an exemption from property tax to be determined as a uniform percentage of the assessed value of any one motor vehicle owned by any veteran with a condition of disability enabling such veteran to qualify for the exemption from property tax currently allowed under subdivision (20), [or subdivision] (21) or (83) of section 12-81, as amended by this act, provided such motor vehicle [must be] is specially equipped for purposes of adapting its use to the disability of such veteran and provided further no individual entitled to claim the exemption under this section and under subdivision (83) of section 12- 81, as amended by this act, shall receive more than one exemption for a motor vehicle.

Approved May 21, 2024