California Disabled Veteran Property Tax Exemption (2026 Guide)

California's disabled veteran property tax exemption takes $180,671 off a 100 percent disabled veteran's assessed home value for 2026, or $271,009 for low-income households. Sacramento County estimates California's 2026 basic disabled veterans' exemption saves about $2,168 and the low-income exemption about $3,252 in property tax, at a 1.2 percent tax rate.1 An unmarried surviving spouse can often keep California's Disabled Veterans' Exemption, sometimes even when the veteran was never rated 100 percent, and the claim is filed with the county assessor on form BOE-261-G.1 File the first claim late and California's Disabled Veterans' Exemption pays only 85 percent of its amount for that first year.1

In This Guide

• Key Takeaways
• Do You Qualify for California's Disabled Veteran Property Tax Exemption?
• How Much Is California's Disabled Veteran Exemption Worth?
• What About a Surviving Spouse?
• How to Apply for the California Disabled Veteran Property Tax Exemption, Step by Step
• If Your VA Rating Was Delayed
• Moving to a Care Facility, and the Homeowners' Exemption
• Getting Help With the VA Side
• Not Rated 100 Percent?
• Frequently Asked Questions
• Learn More

Do You Qualify for California's Disabled Veteran Property Tax Exemption?

California's Disabled Veterans' Exemption comes from section 4(a) of Article XIII of the California Constitution and is carried out by Revenue and Taxation Code section 205.5. According to the California State Board of Equalization (BOE), it "reduces the property tax liability on the principal place of residence" of a qualified veteran or the veteran's unmarried surviving spouse.1 So the home has to be where you actually live, with one exception for people in a care facility that's covered further down.

A veteran qualifies for California's Disabled Veterans' Exemption through any one of three routes:1

• Blind in both eyes: BOE defines this as visual acuity of 5/200 or less, or concentric contraction of the visual field to 5 degrees or less.
• Loss of use of two or more limbs.
• Totally disabled by an injury or disease incurred in military service: the U.S. Department of Veterans Affairs (VA) or the veteran's military branch has rated the disability at 100 percent, or pays disability compensation at the 100 percent rate because the veteran can't hold a substantially gainful job (individual unemployability).

Two service conditions apply on top of the disability test. For California's Disabled Veterans' Exemption, the veteran's discharge must have been under "other than dishonorable" conditions, and the veteran must have served during one of the time periods listed in Revenue and Taxation Code section 205.5.1 If you're unsure whether your dates of service fall inside a listed period, ask your county assessor before you file.

The rating threshold is the part that surprises people. Asked whether a veteran rated below 100 percent can get part of California's Disabled Veterans' Exemption, BOE answers that "a disability rating of 100 percent is required to be eligible for the exemption" and that "there are no partial allowances for a rating less than 100 percent."1 A veteran rated 70 or 90 percent in California does not get a reduced version of this exemption.

How Much Is California's Disabled Veteran Exemption Worth?

California's Disabled Veterans' Exemption comes in two levels. The basic exemption, which BOE says is also called the $100,000 exemption, is available to all qualifying claimants. The low-income exemption, also called the $150,000 exemption, is for claimants whose annual household income doesn't exceed a set limit.1 Those old nicknames are only labels now. Both exemption amounts and the income limit are compounded every year by an inflation factor, which is why the real figures are much higher.1

BOE publishes each year's figures in a Letter To Assessors. Letter To Assessors No. 2025/014 sets the 2026 lien-date amounts, and Letter To Assessors No. 2026/019 sets the amounts for the January 1, 2027 lien date.1

The income limit applies only to the low-income level. For the 2026 lien date, a California disabled veteran household with annual income of $81,131 or less can claim the $271,009 low-income exemption instead of the $180,671 basic one.1 Sacramento County describes the basic exemption as available "regardless of your total annual income."1

Count every benefit when you add up household income. BOE states that "all veteran's benefits and social security benefits are included in the determination of your household income" for California's low-income Disabled Veterans' Exemption.1 A veteran whose only income is VA compensation and Social Security still has to include both when comparing against the $81,131 limit.

What do these amounts mean for your tax bill? They're exemption amounts, not the tax you save, and the savings depend on your local tax rate. Sacramento County estimates that California's 2026 basic disabled veterans' exemption saves about $2,168 and the 2026 low-income exemption about $3,252, based on a tax rate of 1.2 percent, and notes that "actual tax rates may vary."1 Sacramento County also notes that "the amount of the exemption may never exceed the assessed value of the claimant's residence."1 Your own county assessor can give you the figure for your parcel.

What About a Surviving Spouse?

An unmarried surviving spouse of a qualified veteran may claim California's Disabled Veterans' Exemption through any of three routes:1

1. The veteran qualified for the exemption during their lifetime.
2. The veteran would have qualified if they had been alive on January 1, 1977.
3. The veteran died from a service-connected injury or disease. In this case the surviving spouse may be eligible even though the veteran was never eligible for the exemption while alive.

The third route matters most for widows and widowers who assume they're shut out. BOE gives the example of a veteran who received a 30 percent disability rating from the VA, which did not make him eligible, and who later died of that disease; his unmarried surviving spouse may then qualify for California's Disabled Veterans' Exemption.1 If your spouse's death was connected to a condition the VA had rated, it's worth asking the assessor before you rule the exemption out.

Marriage status controls whether the surviving spouse keeps it. BOE says that "in California, once you remarry, regardless of age, you will no longer qualify for the Disabled Veterans' Exemption."1 Losing it this way isn't always permanent: upon divorce or the death of the new spouse, a surviving spouse who once qualified may again receive California's Disabled Veterans' Exemption.1 One more rule catches some families off guard. For California's Disabled Veterans' Exemption, BOE says "your domestic partner is not considered a spouse."1

A surviving spouse's claim needs more paperwork than a veteran's. Along with the regular documents, a surviving spouse filing for California's Disabled Veterans' Exemption attaches a copy of the marriage certificate and a copy of the death certificate. If the veteran didn't qualify during their lifetime, the spouse also attaches proof that the death was service-connected and the veteran's dates of service.1

How to Apply for the California Disabled Veteran Property Tax Exemption, Step by Step

California's Disabled Veterans' Exemption is claimed through your county, not the state. The claim form, BOE-261-G, Claim for Disabled Veterans' Property Tax Exemption, "must be obtained from your local county assessor's office and may be available on their website," according to BOE.1

The first-year deadline decides whether you get the whole exemption. To receive 100 percent of California's Disabled Veterans' Exemption for the first qualifying year, file the claim by the January 1 after the eligibility event or within 90 days of the eligibility event, whichever is later. An initial claim filed after that window gets 85 percent of the exemption for that first year.1

After the first year, the two levels work differently:

The yearly refiling is where low-income households lose money. California's low-income Disabled Veterans' Exemption must be claimed every year between January 1 and February 15; an annual claim filed after February 15 but on or before December 10 gets 90 percent of the exemption, and one filed after December 10 gets 85 percent.1 A calendar reminder for early January each year is a simple way to protect the full amount. The basic level of California's Disabled Veterans' Exemption has no annual filing requirement once it's granted.1

If Your VA Rating Was Delayed

California's Disabled Veterans' Exemption has a specific rule for a VA rating that arrives late. When a VA rating is delayed, the full exemption may be granted for previous years back to the rating's effective date, and taxes that would have been exempt are cancelled or refunded, including interest and penalties, subject to an eight-year statute of limitation.1

The retroactive relief has its own filing window. To receive 100 percent of California's Disabled Veterans' Exemption after a delayed VA rating, file the claim with the county assessor within 90 days after you receive the rating or on or before the next lien date, whichever is later.1 So when the rating letter comes, send the claim to the assessor promptly rather than waiting for the next tax bill.

Moving to a Care Facility, and the Homeowners' Exemption

Many veterans reading this are older, and a move out of the home for care is a real possibility. California's Disabled Veterans' Exemption normally requires the home to be the claimant's principal place of residence, but BOE makes one exception: a claimant confined to a hospital or other care facility keeps the exemption on a home that would be their principal residence if not for that confinement, "provided that the property is not rented or leased to another party."1 If the family is thinking about renting out the house to help pay for care, raise it with the assessor first, because renting or leasing it ends this exception.

California's Disabled Veterans' Exemption also can't be stacked with the Homeowners' Exemption. BOE says "only one exemption per property is allowed," and a property granted the Disabled Veterans' Exemption can't also receive the Homeowners' Exemption, even if a co-owner qualifies for it.1 If your home already carries the Homeowners' Exemption, ask the assessor how the switch is handled when you file BOE-261-G.

Getting Help With the VA Side

The property tax claim starts with a VA rating letter, and that's where free help is available. California's County Veterans Service Offices (CVSOs), whose staff the California Department of Veterans Affairs (CalVet) describes as trained and accredited professionals, help veterans and families with VA claims, including service-connected disability compensation, evidence gathering, and responding to VA correspondence.2 The VA states that the services an accredited VSO representative provides on your VA benefit claims are always free, though an accredited attorney or claims agent can charge fees.2

To reach a County Veterans Service Office in California, call 844-SERV-VET to be connected to your local office, or call CalVet's toll-free line at 800-952-5626.2 For the property tax form itself and your county's filing questions, the county assessor is the office to call.

If you're looking at the wider picture of VA support for care, our guide to VA benefits for senior care in California covers the programs beyond property tax.

Not Rated 100 Percent?

If your VA rating is below 100 percent and you have questions about it, a California County Veterans Service Office (CVSO) can help with a service-connected disability compensation claim, and the VA says an accredited VSO representative's help on VA benefit claims is always free.2 For older homeowners, our guide to California senior property tax relief is the place to look next; it covers different programs with their own rules, and this guide doesn't say whether you'd qualify for any of them.

Learn More

Find personalized help claiming California's disabled veteran property tax exemption at brevy.com.

The information on Brevy.com is for educational purposes only and is not a substitute for professional legal, financial, or medical advice. Rules vary by state and program and change frequently. Always verify with the relevant agency or a qualified professional. Brevy is not a law firm, financial advisor, or healthcare provider.