Disabled Veterans Tax Exemption

In 2006, Colorado voters approved Referendum E, amending section 3.5 of article X of the Colorado Constitution.  The amendment and subsequent legislation expanded the senior property tax exemption to include “qualifying disabled veterans.” 

For disabled veterans who qualify, 50 percent of the first $200,000 of actual value of the veteran’s primary residence is exempted.  The state will reimburse the county treasurer for the lost revenue.  The exemption is effective January 1, 2007, on property tax bills sent beginning in 2008.  Owners of multiple residences may only designate one property as their primary residence. 

ELIGIBILITY REQUIREMENTS:

A “qualifying disabled veteran” is a person who meets each of the following requirements - § 39-3-202(3.5), C.R.S. 

• The veteran sustained a service-connected disability while serving on active duty in the Armed Forces of the United States.  This includes members of the National Guard and Reserves who sustained their injury during a period in which they were called to active duty.
• The veteran was honorably discharged.
• The United States Department of Veterans Affairs has issued a permanent and total disability rating to the veteran.

Property Requirements - §§ 39-3-202(2) and (3) and 203(1.5) to (5), C.R.S:

• Ownership – The veteran must own the property and must have been an owner of record since January 1 of the current year.  The veteran’s ownership can be limited to a fractional, joint, or life estate interest.

Completed applications must be postmarked no later than July 1 of the year for which the exemption is requested. To ensure that the application is timely filed, all of the information requested on the application, including a copy of your VA award letter, must be submitted by July 1 to the Colorado Department of Military and Veterans Affairs, Division of Veterans Affairs.

For further information about qualifications and where and how to apply, see Application Instructions below under Related Information.