This bill authorizes a proportional property tax exemption for honorably discharged veterans with a service-connected disability, starting at a minimum disability rating of 25 percent. The exemption is granted in proportion to the veteran's disability percentage, with a cap of $15,000 for those with less than 100 percent disability. However, veterans deemed unemployable due to their service-connected disability will receive a full 100 percent property tax exemption, aligning with the current law for those with a 100 percent disability rating. The bill also maintains the provision for surviving spouses of veterans to receive the same property tax exemption as the deceased veteran.

Additionally, the bill removes specific medical conditions from eligibility criteria, allowing any service-connected disability recognized by the United States Department of Veterans' Affairs to qualify for the exemption. To support municipalities, the bill mandates that the State reimburse taxing districts annually for the cost of these exemptions, including administrative expenses. It also establishes reporting requirements for tax assessors and county boards of taxation to ensure accurate reimbursement calculations.

Statutes affected:
Introduced: 54:4-3.30