The Veteran Spouse Homestead Deduction Amendment Act of 2025 amends section 47-850 of the District of Columbia Official Code to extend the disabled veterans homestead deduction to the surviving spouses or domestic partners of disabled veterans. Key changes include the insertion of the phrase "veteran or eligible spouse" in place of "veteran" in various sections, allowing eligible spouses to claim the deduction if the veteran was classified as having a total and permanent disability at the time of their death. Additionally, the definition of "eligible spouse" is established to include the surviving spouse or domestic partner of a deceased veteran whose property was receiving or would have been eligible for the deduction at the time of the veteran's death.

The bill also outlines the process for eligible spouses to apply for the deduction, requiring certification from the District of Columbia Office of Veterans Affairs that the deceased veteran met the necessary disability requirements. The act is set to take effect on October 1, 2025, following approval by the Mayor and a 30-day congressional review period.