This bill amends the existing law regarding the optional tax credit for service-connected total disability for disabled veterans. Specifically, it introduces the term "permanent" to describe the total disability and increases the maximum allowable tax credit from $4,000 to $5,000. The bill stipulates that the optional tax credit, once adopted by a city or town, will replace the standard tax credits outlined in RSA 72:28, 72:28-b, 72:28-c, and 72:36-a, rather than being an additional benefit.

The effective date of this legislation is set for 60 days after its passage, which is scheduled for July 13, 2025. The changes aim to provide greater financial relief to disabled veterans by enhancing the tax credit available to them, thereby recognizing their service and sacrifices.