Governor Rendell Reminds Disabled Veterans of Changes to Real Estate Tax Exemption Program

GOVERNOR RENDELL REMINDS DISABLED VETERANS OF CHANGES TO REAL ESTATE TAX EXEMPTION PROGRAM

NEW LAW MAKES IT EASIER TO QUALIFY, REDUCES FREQUENCY OF ELIGIBILITY REVIEWS

Governor Edward G. Rendell today reminded eligible disabled veterans and their surviving spouses of new provisions that will make it easier to receive exemptions from paying annual real estate taxes.

Under Act 161, which Governor Rendell signed last November, honorably discharged veterans who were disabled during wartime military service and their surviving spouses who have not remarried may be exempt from any property taxes so long as their income does not exceed $75,000 annually.

The law also changes the time between periodic reviews that help gauge a recipient's need for the program to every five years, helping to reduce the level of paperwork.

Under the previous rules, applicants qualified for the exemption if their expenses exceeded their annual income, and the periodic review of financial need was conducted every two years.

"For the brave men and women who were disabled in the line of duty, this is a good way in which we can all say thank you," said Governor Rendell. "Many times, the injuries our soldiers suffered on the battlefield created additional financial burdens that they would not have had to face if it were not for their sacrifice."

According to the Pennsylvania Department of Military and Veterans Affairs, more than 1,900 disabled veterans and surviving spouses received the real estate tax exemption last year. That figure is expected to increase under the new guidelines.

To be eligible for the Veterans Real Estate Tax Exemption Program, a veteran must:

* Be a resident of the commonwealth;
* Have been honorably discharged - or released under honorable conditions - from the U.S. Armed Forces for service in a war or armed conflict in which the U.S. was engaged;
* Be blind or paraplegic; suffered the loss of two or more limbs; or be declared by the U.S. Department of Veterans Affairs to have a total or 100 percent, permanent service-related disability;
* Occupy the real estate property as a principal dwelling;
* Own the dwelling outright or through an estate either independently or with a spouse; and
* Prove that they have a need for the exemption. Under the new law, applicants with an annual income of $75,000 or less are presumed to have such a need. Applicants with annual income in excess of $75,000 must show that eligible expenses exceed income.

The Governor also noted that, upon the death of a qualified disabled veteran, the tax exemption may pass to the unmarried surviving spouse so long as he/she can demonstrate need.

http://www.state.pa.us/papower/cwp/view.asp?A=11&Q=460302