Benefits · Tax Relief
How to apply for Arizona Disabled Veteran Property Tax Exemption (Proposition 130)
Local county assessor (statewide exemption under A.R.S. §42-11111; amounts set annually by the Arizona Department of Revenue)
Who it's for
Arizona reduces property taxes for veterans with a VA disability rating. For 2026 the exemption is $4,873 of assessed value, multiplied by the disability percentage — a 50% rating exempts about $2,437 of assessed value, and both service-connected and non-service-connected VA ratings count. New for tax year 2026: a veteran rated 100% service-connected has the home fully exempt from property tax, even if the property is jointly owned, and the surviving spouse keeps that full exemption while living in the home and unmarried. Household income for the prior year must be $39,865 or less ($47,826 with a minor or disabled child at home) — but Social Security and VA payments do not count toward that limit, so many retirees qualify on paper income that looks higher. Apply with the county assessor between early January and March 1, with the VA letter showing the rating.
The exemption is prorated by the VA disability percentage, and 2026 figures are: $4,873 exemption base, income limit $39,865 (or $47,826 with a minor child or a child with a disability at home). Social Security, VA payments, and railroad retirement do NOT count as income for this limit, so the assessor may qualify a household whose gross income looks higher. The new 100% service-connected full exemption (HB 2792) applies beginning tax year 2026 and county assessors are finalizing procedures — the assessor's office can confirm exactly how it applies. A surviving spouse of a 100% service-connected veteran keeps the full exemption while living in the home and unmarried; other surviving spouses may qualify instead under Arizona's separate widow/widower exemption on the same dollar terms. A person can claim only one exemption category (veteran, widow/widower, or disability).
What you'll need
- VA benefits or award letter showing the disability rating (a VA disability award letter counts as the medical certification)
- Affidavit of Individual Tax Exemption (DOR Form 82514 / 82514V) filed with the county assessor
- Proof of income for the prior year (the assessor may ask for the state income tax return with a first-time filing)
- Photo ID (driver's license or state ID)
Where to apply
Apply online: official application
Renewals
annual — re-confirm income with the county assessor each year (filing window runs early January to March 1)
Not sure if you qualify? Run a free check first.
Find my benefitsNot legal or financial advice. The agency makes the final eligibility decision.