DC Disabled Veteran Property Tax Exemption: $445,000 Off (2026)

The DC disabled veteran property tax exemption is really the Disabled Veterans' Homestead Deduction, which takes $445,000 off the assessed value of a qualifying District of Columbia home.1 The DC deduction is built for a homeowner whom the U.S. Department of Veterans Affairs has classified as totally and permanently disabled from a service-incurred or service-aggravated condition, or pays at the 100% disability rating level because of unemployability, and since October 1, 2025 it can also reach that veteran's eligible surviving spouse or domestic partner.1 The DC Disabled Veterans' Homestead Deduction is income-tested, it replaces DC's other homestead relief rather than stacking on top of it, and veterans apply through the Mayor's Office of Veterans Affairs, not the tax office.

In This Guide

• Is There a DC Disabled Veteran Property Tax Exemption?
• Do You Qualify?
• How Much Is It Worth?
• What About a Surviving Spouse or Domestic Partner?
• How to Apply
• How It Works With Other DC Property Tax Relief
• Keeping It, and Losing It
• Frequently Asked Questions
• Learn More

Is There a DC Disabled Veteran Property Tax Exemption?

Search for a DC disabled veteran property tax exemption and you will find the program under a few names, but the benefit written into District law has one: the Disabled Veterans' Homestead Deduction, set out in D.C. Code § 47-850(a-2).1 DC's Office of Tax and Revenue (OTR) states that the Disabled Veterans' Homestead Deduction has been in effect since October 1, 2022.1

The word "deduction" matters. The DC Disabled Veterans' Homestead Deduction reduces the value of the home that gets taxed; it is not a stated exemption from the whole property tax bill.1 That distinction shapes everything that follows, from what the benefit is worth on your particular home to why it cannot be combined with DC's other homestead programs.

Two offices share the work. The District's veterans office decides whether you meet the disability requirement, and OTR applies the deduction to your tax bill. Under D.C. Code § 47-850(a-2), the DC Office of Veterans Affairs certifies to OTR that the veteran meets the disability requirements for the deduction.1

Do You Qualify for the DC Disabled Veterans' Homestead Deduction?

There are three layers to the test: the veteran's VA rating, the home and how it is owned, and household income. A DC homeowner has to clear all three.

The VA rating test

The DC Disabled Veterans' Homestead Deduction requires one of two determinations by the U.S. Department of Veterans Affairs.1

• Total and permanent disability: the VA has classified the veteran as having a total and permanent disability as a result of a service-incurred or service-aggravated condition.1
• Individual unemployability: the VA pays the veteran at the 100% disability rating level as a result of unemployability.1

Either route satisfies the DC rating test. If you are not sure how your own rating decision is worded, the letter that set your VA disability compensation is the document to check.

The home and how you own it

OTR and the Mayor's Office of Veterans Affairs list these property conditions for the DC Disabled Veterans' Homestead Deduction:1

• The home must qualify for DC's homestead deduction and be occupied by the disabled veteran.1
• The DC property can contain no more than five dwelling units, counting the unit the owner lives in.1
• The home must be the disabled veteran's principal residence.1
• The disabled veteran must own at least 50% of the DC property, as shown by the deed.1
• The disabled veteran must be domiciled in the District of Columbia.1

Some kinds of ownership are shut out entirely. OTR states that cooperative properties are not eligible for the DC Disabled Veterans' Homestead Deduction.1 The Mayor's Office of Veterans Affairs application page adds that a DC property does not qualify for the deduction if it is held in an irrevocable trust (except a special needs trust), or if its record owner is a corporation, LLC or other business entity (except a partnership in which all partners occupy the property as their principal residence).1

The income test

The DC Disabled Veterans' Homestead Deduction is income-tested, which surprises many veterans who expect a disability benefit to turn on the rating alone. For the DC Disabled Veterans' Homestead Deduction, total household income cannot exceed the limit that applies to DC's Senior Citizen/Disabled Tax Relief.1 D.C. Code ties that test to the eligible-household definition in § 47-863, whose dollar limit is increased every year by a cost-of-living adjustment, so the figure that applies to you depends on the tax year you file for.1

Because the limit moves every year, we don't print a dollar figure here. Before you apply, ask OTR or the Mayor's Office of Veterans Affairs for the household income limit that applies to the tax year you are filing for, and have your household's income for that year in front of you.

How Much Is the DC Disabled Veteran Property Tax Exemption Worth?

The DC Disabled Veterans' Homestead Deduction is worth exactly one thing on paper: $445,000 subtracted from the home's assessed value.1 Property tax is then figured on whatever assessed value remains.

What that means in dollars depends on your home. Because the DC deduction is subtracted from assessed value rather than exempting the whole bill, a home assessed above $445,000 is still taxed on the assessed value that remains after the deduction.1 DC's own program pages describe the benefit as a reduction in assessed value, so treat any promise of a guaranteed zero bill with caution, and read your assessment notice and tax bill for the real numbers on your home.

What About a Surviving Spouse or Domestic Partner?

The surviving-spouse rule is the newest part of the DC program, and the part most likely to help a widow or widower who assumes the benefit ended with the veteran. OTR states that, effective October 1, 2025, a DC home owned by a disabled veteran's eligible surviving spouse may qualify for the same $445,000 reduction in assessed value.1

D.C. Code § 47-850(a-2) defines an "eligible spouse" as the surviving spouse or domestic partner of a deceased veteran in either of two situations:1

1. The veteran's home was validly receiving the DC Disabled Veterans' Homestead Deduction at the time of the veteran's death.
2. The veteran's home would have been eligible for the deduction at the time of death had the veteran applied for it.

The second route is the one families miss. A DC surviving spouse or domestic partner can qualify even if the veteran never applied for the Disabled Veterans' Homestead Deduction, as long as the home would have qualified at the veteran's death.1 For a surviving spouse, the veteran's VA rating is judged as it stood at the time of death: the veteran must have been classified as totally and permanently disabled from a service-incurred or service-aggravated condition, or paid at the 100% rate for unemployability, when they died.1

The rest of the test still applies to the spouse's household. Under D.C. Code § 47-850(a-2), the eligible spouse's household must meet the same eligible-household income test, and the spouse files the same application with the veterans office.1

How to Apply for the DC Disabled Veterans' Homestead Deduction

You do not apply at the tax office. D.C. Code § 47-850(a-2) directs the application to the District of Columbia Office of Veterans Affairs, which OTR lists as the Mayor's Office of Veterans Affairs (MOVA).1

A family member helping a parent with dementia or a serious illness can handle the whole filing if they hold the right authority, since D.C. Code lets a legal guardian, attorney-in-fact, or other legal representative file the DC application.1

When to file

There is no single deadline for the DC Disabled Veterans' Homestead Deduction. Instead, the date you file decides how much of the first year you receive.1

Both windows come from D.C. Code § 47-850(a-2) and OTR's program page.1 So March 31 is not a cliff: a DC veteran who misses March 31 still receives one-half of the Disabled Veterans' Homestead Deduction, on the second-half tax bill, by filing between April 1 and September 30.1

You file once. A DC Disabled Veterans' Homestead Deduction application carries forward to later tax years for which the deduction is allowed, so it continues as long as the property continues to qualify.1

Getting help from MOVA

The Mayor's Office of Veterans Affairs is at 441 4th Street NW in Washington, DC, and OTR lists its phone number as (202) 724-5454 for questions about the Disabled Veterans' Homestead Deduction.1 MOVA also assists DC veterans and their family members with federal VA claims through its District Veteran Service Officers, including VA disability compensation claims, which matters if the rating you need for this deduction is still pending.2

How It Works With Other DC Property Tax Relief

A veteran already getting DC's regular homestead relief needs to slow down before applying. OTR states that a property receiving the Disabled Veterans' Homestead Deduction is not eligible for the regular Homestead Deduction, Senior Citizen/Disabled Tax Relief, or the Assessment Cap Credit.1

In other words, the DC veterans' deduction replaces those three programs on your home rather than adding to them. If your DC home already receives the regular Homestead Deduction and Senior Citizen/Disabled Tax Relief, switching to the Disabled Veterans' Homestead Deduction means giving those up. Before you file, ask OTR or MOVA to walk through what your current relief is worth on your home compared with the $445,000 veterans' deduction, so the switch leaves you better off.1

Keeping It, and Losing It

Once approved, the DC Disabled Veterans' Homestead Deduction stays on the home without a yearly renewal, but the owner has a duty to speak up if something changes. If a DC property loses eligibility for the Disabled Veterans' Homestead Deduction, the owner or an authorized representative must submit a cancellation request within 30 days of the change, using OTR's online form ASD-105 on MyTax.DC.gov.1

The cost of staying silent can be steep. OTR states that if a cancellation request is not submitted on time and OTR later finds the property ineligible for the Disabled Veterans' Homestead Deduction, additional taxes are assessed along with interest and penalties.1 OTR also conducts random eligibility audits, so an out-of-date deduction is not something to count on going unnoticed.1

Changes that can end eligibility follow directly from the conditions above: the home stops being the principal residence, deed ownership drops below 50%, the property is moved into an irrevocable trust (other than a special needs trust) or into a corporation, LLC or other business entity (other than a partnership in which all partners occupy the home as their principal residence), or household income rises above the Senior/Disabled Tax Relief limit.1 Selling the home or moving out also ends the deduction on that property.

For how other states treat disabled veterans' homes, see our disabled veteran property tax exemption by state guide.

Learn More

Find personalized help applying for DC's Disabled Veterans' Homestead Deduction 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.