By Matthew Holloway |
Arizona lawmakers approved a Republican-sponsored bill granting full property tax exemptions to veterans with a 100% service-connected disability, advancing the measure with bipartisan support before it was signed into law last week.
The bill, HB 2792, was approved unanimously by the Arizona House and moved through the Senate as SB 1268 with near-unanimous support before reaching the governor’s desk. The House measure was sponsored by Majority Leader Carbone (R-LD25). Senator David Gowan (R-LD19) sponsored the corresponding legislation in the Senate.
According to Senate records, the sole dissenting vote was cast by Democratic Senator Sally Ann Gonzales, who represents Legislative District 20.
Under the legislation, a veteran determined by the U.S. Department of Veterans Affairs to have a 100% service-connected disability will qualify for a full property tax exemption on their primary home. The exemption also extends to surviving spouses, provided they remain in the residence and do not remarry.
“This bill keeps a simple promise,” Carbone said in a statement. “If a veteran sacrifices their health in service to America, the government should not tax them out of their home. We worked directly with county assessors to ensure the law is clear and properly implemented. Preserving homeownership for those who earned it is central to the House Republican Majority Plan and to preserving the American Dream. This law delivers direct relief, limits government reach, and stands up for veterans and their families.”
The change codifies and expands existing law that previously provided partial exemptions based on disability percentage and income limits. State personal exemption programs already allow a reduction in assessed value for certain disabled veterans, widows, and widowers, and can result in full relief in some cases.
In a post to X, Senate GOP leaders wrote, “Arizona Republicans are fighting to eliminate property taxes for veterans with 100% service-connected disabilities. SB 1268 and HB 2792 deliver full property tax relief on their primary residence. These men and women gave everything for our country. The least we can do is make sure they can stay in their homes.”
County assessors across the state have begun notifying eligible residents of the change and encouraging veterans and surviving spouses to file applications for the exemption through their local assessor’s offices. For example, the Santa Cruz County Assessor’s Office states that the new law is effective for the 2026 tax year and details documentation requirements, including VA disability certification and proof of property ownership.
Applications for individual exemption programs generally must be filed with county assessor offices by the February 28 deadline, according to the Maricopa County Assessor’s Office. This deadline may be extended to September 1 with an approved Exemption Deadline Waiver.
Speaking to reporters on Thursday, Carbone said, “This is about fairness. It’s about honoring service, and it’s about ensuring the most vulnerable among us can remain in their homes with dignity and integrity.”
The legislation brings Arizona in line with property tax relief policies in several other states that offer full or partial exemptions for disabled veterans on their primary residences.
Matthew Holloway is a senior reporter for AZ Free News. Follow him on X for his latest stories, or email tips to Matthew@azfreenews.com.
