tdiu Texas Homestead Exemptions For 100% Now Law

[Teac]

Sent: Monday, June 22, 2009 11:50 AM

Cc:

Subject: Alert: Homestead Exemption of 100 Percent Disabled Veterans

Importance: High

Alert to Appraisal Districts and County Tax Assessors

Total Exemption of Homesteads of 100 Percent Disabled Veterans

House Bill 3613, which contains a provision requiring an exemption of the total appraised value of homesteads of Texas veterans receiving 100 percent disability compensation from the United States Department of Veterans Affairs, is now state law. This new exemption is effective for the 2009 tax year, and you should ensure that it is reflected on the 2009 appraisal roll. Eligible veterans with mortgages may need your immediate confirmation that their homesteads are totally exempt so they can notify their mortgage companies and reduce their escrow payments. Appraisal districts should already have a record of the disability rating of each veteran who owns a homestead if they qualify for the partial exemption allowed by law. Attached please find a temporary model form for use in 2009 for the disabled veteran's homestead exemption. This form is located on our web site at http://www.window.state.tx.us/taxinfo/taxforms/vetexempt.pdf.

The total homestead exemption for 100 percent disabled veterans is codified as the new Property Tax Code Section 11.131. House Bill 3613 also includes provisions that conform the Tax Code bracket points for the disabled veterans' partial exemption to the bracket points in the Texas Constitution and prohibit consideration of highest and best use in appraising homesteads. Please call (800) 252-9121 if you have questions about any of these new provisions.

Property Tax Assistance Division

Attachment

Totally Disabled Veteran Homestead Property Tax Exemption

Originally filed as SB 469 (Sen. John Carona)/HB 742 (Rep. Kino Flores)

Passed as part of HB 3613

• This exemption applies to a veteran:

o with a service-connected disability,

o who receives compensation from the U.S. Department of Veterans Affairs at the 100% level due

to either:

§ a 100% disability rating OR

§ individual unemployability.

• The TOTAL VALUE of an applicable disabled veteran's residence homestead (principal

residence) is EXEMPT from any calculation of property taxation.

o Regardless of the number of taxing units (school districts, utility districts, hospital districts) in

which a veteran's homestead may be, the property's value is virtually worth $0 for the

calculation of a property tax bill.

§ EXAMPLE: If a school district charges $1.00 per $100 of a home's value, your home

costs $100,000, AND you are a totally disabled veteran, then the appraisal district

reports your home's value as $0. One dollar and fifty cents times zero is zero. You

would owe $0 in property taxes to your school district, and this holds true for every other

taxing district your property is in.

• The effective tax year for this exemption is 2009.

o Despite the bill being originally filed with an effective tax year that was essentially 2010, the bill

was amended to apply this exemption to taxes calculated in "the tax year beginning on or after

January 1st, 2009."

o The effective tax year should not be confused with the effective date of the bill.

§ As amended into HB 3613, the language of SB 469 says that it takes effect either

September 1st or immediately if it gets 2/3 vote from both Houses.

• HB 3613 received more than the necessary amount of votes in the House and

Senate, so it takes effect immediately upon the Governor's signature.

• However, even if it had gone into effect on September 1st, the language still

specifies that it applies to the 2009 tax year.

• Applying for the totally disabled veteran property tax should be much easier with a new

certification letter created by the U.S. Department of Veterans Affairs in anticipation of this bill

passing the State Legislature.

o The new certification letter should now address

§ the specific percentage rating of a veteran's disability,

§ the veteran's individually unemployable status, and

§ whether the disability was service-connected.

o Veterans should contact their County Appraisal District to:

§ obtain an application for applying for a disabled veteran property tax exemption (also

available online through the Comptroller's website) AND

§ ensure that a copy of his new letter of certification from the VA was received with that

application.

[LarryJ]

Well, I guess I just received a $5,000 bonus. Nice.

[Pete53]

Larry and Teac:

Its fantastic its like getting a COLA as far as I can tell. As a matter of record Sen John Carona is my State Senator and I have in my own himble way encouraged him to fight for this Bill.

I wonder who got the bill amended I would like to thank all that helped do this.

I guess I don't have to go down to the Dallas Appraisal District and beg June 30th.

There was an article in Texas Business News that said homes in Dallas area were headed to 1999 levels.

[Teac]

Yea guys I just put $300.00 a month in my pocket.... I just bought a new van three months ago, but a new pickup is looking mighty nice now......Of course this was late in coming .. Oklahoma approved this 5 years ago, other states have had total exemption for 100% disabled veterans for years.. SC, Georgia, florida come to mind,......

anyway thanks Texas... I wil enjoy

[Teac]

Wooo nelly !!!!!!wait a minute guys .. this did not change the old homestead exemption law... it is in addition to the old law.. that means that those rated 100% will now get two exemptions. One for $12,000 toward any taxed property and one toward your primary resident. It seems the old exemption law did not have to be used toward your homestead but could be used for exempting a car, boat or any other property The new law is a seperate law, leaving the old law intact.. read the attached informaton to get a better understanding of what has actually happened.

http://www.taad.org/The%20APPRISER%20May-June%202009.pdf

Edited June 23, 2009 by Teac (see edit history)

[Pete53]

According to the news letter you posted enrollment is not automatic and the exemption has to be applied for.There is a temporary form on your first post so I printed it and will submit it soon.

I still am pinching my self.

[deltaj]

Yea guys I just put $300.00 a month in my pocket.... I just bought a new van three months ago, but a new pickup is looking mighty nice now......Of course this was late in coming .. Oklahoma approved this 5 years ago, other states have had total exemption for 100% disabled veterans for years.. SC, Georgia, florida come to mind,......

anyway thanks Texas... I wil enjoy

Montana also has 100% exemption for 100% vets and widows of 100% vets if taxable income is less than about $32,000 a year. Information on this is available online by searching the Montana Code Annotated.

[Pete53]

Here’s the status concerning this Bill:

· State must first create an exemption form to be used so until this occurs we won’t be processing any of these requests

· Once form is created by State, eligible veterans must apply (i.e. we won’t automatically grant exemption based on current 100%)

Thank you.

Per Dallas Central Appraisal District via email this morning

[Teac]

Here's the status concerning this Bill:

· State must first create an exemption form to be used so until this occurs we won't be processing any of these requests

· Once form is created by State, eligible veterans must apply (i.e. we won't automatically grant exemption based on current 100%)

Thank you.

Per Dallas Central Appraisal District via email this morning

Seems like dallas Central has there head in a dark moist place....

The form has been created by the state comptroller already and there is a link to it in my first post..

Bexar county San antonio told me no Problem.....

[Pete53]

I have a copy but it has a big print TEMPORARY

[john999]

In Florida only P&T vets get 100% property tax exemption. Funny thing is that housing prices have crashed, but the tax bill for the same houses has not gone down, but has gone up in some cases. Most people are just getting screwed to the wall in my state. We get almost nothing for our tax dollars that I can see. The schools are awful. The roads are terrible. No jobs in Florida, so don't bother coming unless you are retired.

[Teac]

I have a copy but it has a big print TEMPORARY

Pete,

Yes that is the Correct form. Apparently it is marked temporary because they plain to change the form but they needed something quick so that was how they did it.

I faxed my application and va letter to Bexar county yesterday, I called today and they tell me it will be processed by Friday.

I guess every district will do it differently but I don't know why anyone would want to make it harder than is necessary. Maybe you should give them another call, if you get a different person, bet you get a different answer....

[LarryJ]

"Appraisal districts should already have a record of the disability rating of each veteran who owns a homestead if they qualify for the partial exemption allowed by law."

this as per the State of Texas.

So, if I already have presented my letter from the VARO in Waco, and have already been granted my 100% disabled veteran tax exemption status, then I should have to do nothing, the way that I read the law.

[Teac]

"Appraisal districts should already have a record of the disability rating of each veteran who owns a homestead if they qualify for the partial exemption allowed by law."

this as per the State of Texas.

So, if I already have presented my letter from the VARO in Waco, and have already been granted my 100% disabled veteran tax exemption status, then I should have to do nothing, the way that I read the law.

Sorry Larry,

Nothing in government is that easy. You must apply for the 100% homestead exemption, it will not be automatic even if you already have a letter stating 100% on file at the apprisal office, ( as I did). Please take the time to read the information I have linked to and you will see that you must submit the new application and a recent letter dated within the year. You can even fax it to the apprisal office.

Also under the old law if you have another home, boat, auto that you pay taxes on you can apply the $15,000 exemption to one of those items....

This is a new law, seperate and distint from the old exemption law.

[carlie]

In Florida only P&T vets get 100% property tax exemption. Funny thing is that housing prices have crashed, but the tax bill for the same houses has not gone down, but has gone up in some cases. Most people are just getting screwed to the wall in my state. We get almost nothing for our tax dollars that I can see. The schools are awful. The roads are terrible. No jobs in Florida, so don't bother coming unless you are retired.

John,

All SC'd vets in Florida (under 100% P&T) are also eligible for an extra $5,000.00 exemption

along with their homestead deduction.

carlie

[LarryJ]

I just called the Collin County, Texas, Appraisal District's office.

I got a smart-ass. I asked her about the new law about the 100% veterans get 100% off their property tax. She starts out with me:

Q "Where'd you hear that at?"

A "It's common knowledge. The bill has been before the Texas Legislature for quite some time, and I heard that it passed."

Q "Where'd you see that at?"

A "Well, ah, gee, how about the Texas.gov website?"

What it boiled down to, after quite a bit of bullshit back and forth, is that THEY DON'T HAVE A CLUE!

Gee, sounds like another gubbermint organization, don't it?

I've just got one question as I slide ever-increasingly faster into my twi-light years (well, actually I have more than one but I figure that I'd better keep it short and sweet for fear of overwhelming myself):

What the hell is happening, have all of us been "dumbed down" to the lowest common denominator?

It would not surprise me to find that there are tax appraisal offices in the state of Texas that will wind up trying to collect taxes on 100% veterans, regardless of what laws the state legislature passes.

I did get her to admit that, yes, my name is on the rolls as being 100% disabled and that "no" I would not have to apply again..........."when and if this bill does pass the legislature and is signed by the Govenor, which, if it did pass today, would take several months before it could become law.." so she says.

[Teac]

I just called the Collin County, Texas, Appraisal District's office.

I got a smart-ass. I asked her about the new law about the 100% veterans get 100% off their property tax. She starts out with me:

Q "Where'd you hear that at?"

A "It's common knowledge. The bill has been before the Texas Legislature for quite some time, and I heard that it passed."

Q "Where'd you see that at?"

A "Well, ah, gee, how about the Texas.gov website?"

What it boiled down to, after quite a bit of bullshit back and forth, is that THEY DON'T HAVE A CLUE!

Gee, sounds like another gubbermint organization, don't it?

I've just got one question as I slide ever-increasingly faster into my twi-light years (well, actually I have more than one but I figure that I'd better keep it short and sweet for fear of overwhelming myself):

What the hell is happening, have all of us been "dumbed down" to the lowest common denominator?

It would not surprise me to find that there are tax appraisal offices in the state of Texas that will wind up trying to collect taxes on 100% veterans, regardless of what laws the state legislature passes.

I did get her to admit that, yes, my name is on the rolls as being 100% disabled and that "no" I would not have to apply again..........."when and if this bill does pass the legislature and is signed by the Govenor, which, if it did pass today, would take several months before it could become law.." so she says.

Larry,

Sounds like you really ran into some dumb ass... are you sure you wern't at the VA regional office (LOL) Well like aI told Pete wait awhile try again, and your get someone else that tells you something different.

[Pete53]

I actually spent most of my working years dealing with Property Taxes and I will tell you this Larry. The woman you talked to is not the last word and that you will have to more than likely fill out a new form. All exemptions are based on an application and if you ever wanted to make some extra spending money you could look at the appraisal roll on your own block and be amazed that there are several dumb asses who do not get a homestead exemption on their taxes cause they never filed for it.

So my guess is that most Texans who get the exemption will file for it.

[Teac]

I actually spent most of my working years dealing with Property Taxes and I will tell you this Larry. The woman you talked to is not the last word and that you will have to more than likely fill out a new form. All exemptions are based on an application and if you ever wanted to make some extra spending money you could look at the appraisal roll on your own block and be amazed that there are several dumb asses who do not get a homestead exemption on their taxes cause they never filed for it.

So my guess is that most Texans who get the exemption will file for it.

That is so true, I live in a new subdivision, ( they are still building two years later) and I can look up the address on a map from the tax office, I can also tell who has applied for exemptions, every texan can get one exemption. Some get the SSD or over 65 exemption and some get the DV exemption. I was so surprised to find out more than half that live on my street have never filed for the basic exemption, let alone the Disabled or DV exemptions.

[LarryJ]

I actually spent most of my working years dealing with Property Taxes and I will tell you this Larry. The woman you talked to is not the last word and that you will have to more than likely fill out a new form. All exemptions are based on an application and if you ever wanted to make some extra spending money you could look at the appraisal roll on your own block and be amazed that there are several dumb asses who do not get a homestead exemption on their taxes cause they never filed for it.

So my guess is that most Texans who get the exemption will file for it.

I may very well have to fill out a new form........but the form that I filled out for my DV exemption (the original $12,000 exemption, before this new law came into being), looks exactly like the form that they are having up on their website (the so-called "temporary" form). And, they have me down as being totally disabled TDIU P&T. I was able to check with the chick about that, at least.

It ain't no biggy, heck I even think I still have the letter from the VARO WACO telling the appraisal district all the above. I'll just go down there AGAIN (because I simply have NOTHING else better to do that to do what I did all over again, because I had nothing else to do the first time I did what I did).

[Inthewind]

Can someone tell me if it's possible to get them to accept a new 100% rating in retrospect? I have been receiving a 50% homestead exemption since 2004 and filed a claim for increase in Oct 2010. I just found out that as of 1 September 2012 I'm rated at 100% but the VA recognizes the date of the submission of my claim. Does the state of Texas recognize the same date?

Thanks for any help.