Substitute Bill No. 1276 seeks to enhance property tax exemptions for veterans who are permanently and totally disabled, as well as for Gold Star spouses. The bill introduces new legal language that clarifies eligibility criteria for these exemptions, specifically stating that they apply to a dwelling or motor vehicle owned by qualifying veterans or their spouses, and that the exemption remains valid for the surviving spouse or minor children of a deceased veteran. Key changes include the repeal of subdivision (83) of section 12-81, which is replaced with provisions requiring proof of disability from the United States Department of Veterans Affairs and allowing for retroactive abatement or refunds. Additionally, the bill allows municipalities to grant property tax exemptions for surviving spouses of veterans who had a service-connected disability rating and died before October 1, 2024, with specific requirements for documentation.

The bill also amends existing tax exemption provisions by repealing and replacing subdivision (20) of section 12-81, clarifying exemption amounts based on disability ratings, and ensuring that exemptions extend to the property of surviving spouses or minor children of deceased veterans. It mandates that individuals seeking these exemptions must comply with section 12-95 and provide proof of their disability rating, with allowances for retroactive applications. Furthermore, the bill modifies the requirements for claiming tax exemptions, ensuring that all claims are properly documented and recorded. The proposed changes aim to streamline the exemption process for veterans and their families, making it easier for them to access tax relief while ensuring compliance with established criteria.

Statutes affected:
Raised Bill: 12-93, 12-94, 12-95, 12-93a, 12-81cc
VA Joint Favorable Substitute: 12-93, 12-94, 12-95, 12-93a, 12-81cc
File No. 38: 12-93, 12-94, 12-95, 12-93a, 12-81cc
APP Joint Favorable: 12-93, 12-94, 12-95, 12-93a, 12-81cc
FIN Joint Favorable: 12-93, 12-94, 12-95, 12-93a, 12-81cc