California Disabled Veterans' Property Tax Exemption
California's Disabled Veterans' Exemption is the state's most valuable property-tax break for homeowners — far larger than the ordinary Homeowners' Exemption. It removes a big slice of a qualifying disabled veteran's home value from taxation, and a low-income version removes even more.
Here's who qualifies, how much the exemption is for 2026, and how to claim it with your county assessor.
Quick answer
A veteran who is 100% service-connected disabled (or blind in both eyes, or has lost the use of two or more limbs) and owns and occupies the home can exempt $180,671 of assessed value for 2026 — or $271,009 if the household is income-qualified. An unmarried surviving spouse can claim it too. You claim it with the county assessor, and it can't be combined with the $7,000 Homeowners' Exemption.
Who qualifies
- A veteran rated 100% disabled by the VA from a service-connected cause — or compensated at the 100% rate due to individual unemployability.
- A veteran who is blind in both eyes, or has lost the use of two or more limbs, as a result of service.
- An unmarried surviving spouse of a qualifying veteran, or of a service member who died on active duty or from a service-connected injury or disease.
- In every case, the claimant must own and occupy the home as their principal residence.
How much the exemption is worth
The exemption comes in a basic amount and a larger low-income amount; the figures are indexed for inflation each year and are subtracted from the home's assessed value before the tax rate is applied.
| Exemption | 2026 lien date | 2027 lien date |
|---|---|---|
| Basic exemption | $180,671 | $185,889 |
| Low-income exemption | $271,009 | $278,836 |
| Household-income limit (low-income) | $81,131 or less | $83,474 or less |
Amounts from the Board of Equalization (Letters to Assessors 2025/014 and 2026/019, Revenue & Taxation Code § 205.5). The low-income exemption applies when household income is at or below the limit; otherwise the basic amount applies. Confirm the current year's figures with your county assessor.
From 2027: the SB 296 tiered exemption
SB 296 (Archuleta; Chapter 727, Statutes of 2026, signed September 28, 2026) adds a temporary Revenue and Taxation Code § 205.5.1. For lien dates from January 1, 2027 through January 1, 2031, a qualifying veteran or unmarried surviving spouse exempts half of the first $1 million of the home's full value — all of the first $1 million if household income is $83,474 or less — in place of the basic or low-income exemption above. The law leaves an owner on the existing exemption only when both the home's full value is $371,778 or less and income is above $83,474, the one case where the $185,889 basic exemption is worth at least as much as half the value. The $1 million and the income limit are indexed each year; the section expires January 1, 2032. Claims go to the county assessor with a VA letter showing the disability rating.
| 2027 lien date, SB 296 | Exempt amount |
|---|---|
| Household income above $83,474, home worth more than $371,778 | 50% of the first $1,000,000 of full value |
| Household income $83,474 or less | 100% of the first $1,000,000 of full value |
| Household income above $83,474, home worth $371,778 or less | Existing basic exemption, $185,889 |
Source: California Legislature, SB 296 (2025-26), Chapter 727, Statutes of 2026 (leginfo.legislature.ca.gov). No Board of Equalization Letter to Assessors had been issued on § 205.5.1 as of October 2026; the 2027 basic, low-income and income-limit figures are from LTA 2026/019. The state does not reimburse counties for the revenue, and the Board reports to the Legislature each year through 2031.
How many veterans claim it, by county (2025-26)
Assessors granted 97,290 veterans' exemptions statewide on the 2025-26 roll, worth $17B of assessed value — about $171K per claim, which is the disabled veterans' basic or low-income amount (the $4,000 veterans' exemption barely registers). That is up from 32,715 claims in 2013-14. The 20 counties with the most claims:
| County | Claims 2025-26 | Claims 2013-14 | Exempt value | Average per claim |
|---|---|---|---|---|
| San Diego | 20,295 | 4,666 | $3.5B | $172,713 |
| Riverside | 14,367 | 2,798 | $2.5B | $176,107 |
| Los Angeles | 7,438 | 2,122 | $1.3B | $169,895 |
| San Bernardino | 6,596 | 1,927 | $1.1B | $166,654 |
| Sacramento | 4,516 | 2,217 | $764M | $169,071 |
| Solano | 4,062 | 1,544 | $694M | $170,736 |
| Orange | 3,671 | 1,475 | $603M | $164,288 |
| Kern | 2,699 | 748 | $451M | $167,273 |
| Ventura | 2,424 | 763 | $414M | $170,703 |
| Contra Costa | 2,251 | 1,023 | $385M | $170,852 |
| Fresno | 2,217 | 830 | $368M | $165,992 |
| Placer | 2,004 | 594 | $348M | $173,824 |
| San Joaquin | 1,925 | 625 | $333M | $172,928 |
| Alameda | 1,351 | 690 | $220M | $162,632 |
| Stanislaus | 1,292 | 660 | $221M | $170,986 |
| Santa Clara | 1,277 | 752 | $209M | $163,459 |
| Monterey | 1,227 | 949 | $199M | $162,260 |
| Santa Barbara | 1,206 | 390 | $202M | $167,177 |
| Shasta | 1,206 | 843 | $208M | $172,324 |
| Sonoma | 1,126 | 507 | $190M | $168,658 |
Every county's figure, with the other exemption types, is on the exemptions page.
How to apply
Claim the exemption with your county assessor using form BOE-261-G (basic) or BOE-261-GNT (low-income), and include the VA rating that establishes 100% disability. The basic exemption generally carries over automatically once granted; the low-income version must be filed every year because it depends on annual household income. File as soon as you qualify — a late claim can mean a reduced exemption for the first year.
Claim this instead of the Homeowners' Exemption
You can't stack the Disabled Veterans' Exemption with the $7,000 Homeowners' Exemption on the same home — but the veterans' exemption is worth far more, so it's the one to claim.
Frequently Asked Questions
What is the California Disabled Veterans' Property Tax Exemption?
It's a property-tax exemption that removes a large amount of assessed value from the principal residence of a veteran who is 100% disabled from a service-connected cause (or is blind in both eyes or has lost the use of two or more limbs), and from the home of an unmarried surviving spouse. For 2026 the basic exemption is $180,671, or $271,009 for income-qualified low-income households.
Who qualifies for the 100% disabled veteran property tax exemption in California?
A veteran who owns and occupies the home as a principal residence and is rated 100% service-connected disabled by the VA — or is compensated at the 100% rate because of individual unemployability — qualifies. Veterans who are blind in both eyes or have lost the use of two or more limbs from service also qualify. An unmarried surviving spouse of a qualifying veteran (or of a service member who died in service or from a service-connected cause) may claim it too.
How much is the Disabled Veterans' Exemption for 2026?
For the 2026 lien date the basic exemption is $180,671 off assessed value, and the low-income exemption is $271,009 for households with income at or below $81,131. For the 2027 lien date the amounts rise to $185,889 basic and $278,836 low-income, with an $83,474 income limit. The figures are indexed for inflation each year.
How do I apply for the Disabled Veterans' Exemption?
File a claim with your county assessor: form BOE-261-G for the basic exemption, or BOE-261-GNT for the low-income exemption. Include the VA rating that establishes 100% disability. The basic exemption generally carries over once granted; the low-income version must be filed every year because it depends on annual income.
Can I combine the Disabled Veterans' Exemption with the Homeowners' Exemption?
No. You can claim the Disabled Veterans' Exemption or the $7,000 Homeowners' Exemption on the same property, but not both. The Disabled Veterans' Exemption is worth far more, so qualifying veterans should claim it instead.
What does SB 296 change for disabled veterans from 2027?
SB 296 (Archuleta; Chapter 727, Statutes of 2026, signed September 28, 2026) adds a temporary Revenue and Taxation Code section 205.5.1. For lien dates from January 1, 2027 through January 1, 2031, a qualifying 100%-disabled veteran (or unmarried surviving spouse) exempts half of the first $1 million of the home's full value — all of the first $1 million if household income is $83,474 or less — in place of the basic or low-income exemption. The law keeps an owner on the existing exemption only when both the home's full value is $371,778 or less and income is above $83,474, because there the existing $185,889 basic exemption is worth at least as much as half the value. The $1 million and income figures are indexed each year, claims go to the county assessor with a VA disability-rating letter, and the section expires January 1, 2032. The Board of Equalization had not issued a Letter to Assessors on it as of October 2026.
Does the disabled veteran exemption transfer to a surviving spouse?
Yes. An unmarried surviving spouse of a qualifying disabled veteran can claim the exemption on their principal residence. It also extends to the unmarried surviving spouse of a service member who died while on active duty or from a service-connected injury or disease.
Primary sources: Revenue and Taxation Code §205.5 (Disabled Veterans' Exemption) · Revenue and Taxation Code §205.5.1 · California State Board of Equalization, property taxes. Check a figure against the document before relying on it. Last reviewed October 2026.
Learn More
General educational information about the California Disabled Veterans' Exemption, not legal, tax, or financial advice. Amounts, income limits, and forms change; confirm current details and eligibility with your county assessor and the California State Board of Equalization before relying on them.