HB2553 Summary

• Amends the Property Tax Code to establish tiered homestead exemptions for veterans with service-connected disabilities based on disability rating percentage, effective for taxable year 2024 and thereafter.

• For 2024 and beyond, veterans with 30-50% disability rating receive 30% exemption of assessed value; those with 50-70% disability receive 50% exemption; those with 70% or more disability receive full property tax exemption.

• Replaces previous dollar-amount exemptions ($2,500-$5,000) with percentage-based exemptions scaled to property assessed value for taxable years starting 2024.

• Extends exemption eligibility to surviving spouses of service-connected deceased veterans who qualify for dependency and indemnity compensation, effective for taxable year 2023 and thereafter.

• Takes effect immediately upon becoming law.