                                 CODE OF VIRGINIA

EXEMPTION FROM TAXES ON PROPERTY FOR DISABLED VETERANS (§ 58.1-3219.5)

A. Pursuant to subdivision (a) of Section 6-A of Article X of the Constitution
of Virginia, and for tax years beginning on or after January 1, 2011, the
General Assembly hereby exempts from taxation the real property, including the
joint real property of married individuals, of any veteran who has been rated by
the U.S. Department of Veterans Affairs or its successor agency pursuant to
federal law to have a 100 percent service-connected, permanent, and total
disability, and who occupies the real property as his principal place of
residence. If the veteran&#8217;s disability rating occurs after January 1,
2011, and he has a qualified primary residence on the date of the rating, then
the exemption for him under this section begins on the date of such rating.
However, no county, city, or town shall be liable for any interest on any refund
due to the veteran for taxes paid prior to the veteran&#8217;s filing of the
affidavit or written statement required by &#xA7; 58.1-3219.6. If the qualified
veteran acquires the property after January 1, 2011, then the exemption shall
begin on the date of acquisition, and the previous owner may be entitled to a
refund for a pro rata portion of real property taxes paid pursuant to &#xA7;
58.1-3360.

B. The surviving spouse of a veteran eligible for the exemption set forth in
this article shall also qualify for the exemption, so long as the death of the
veteran occurs on or after January 1, 2011, and the surviving spouse does not
remarry. The exemption applies without any restriction on the spouse&#8217;s
moving to a different principal place of residence.

C. A county, city, or town shall provide for the exemption from real property
taxes the qualifying dwelling pursuant to this section and shall provide for the
exemption from real property taxes the land, not exceeding one acre, upon which
it is situated. However, if a county, city, or town provides for an exemption
from or deferral of real property taxes of more than one acre of land pursuant
to Article 2 (&#xA7; 58.1-3210 et seq.), then the county, city, or town shall
also provide an exemption for the same number of acres pursuant to this section.
If the veteran owns a house that is his residence, including a manufactured home
as defined in &#xA7; 46.2-100 whether or not the wheels and other equipment
previously used for mobility have been removed, such house or manufactured home
shall be exempt even if the veteran does not own the land on which the house or
manufactured home is located. If such land is not owned by the veteran, then the
land is not exempt. A real property improvement other than a dwelling, including
the land upon which such improvement is situated, made to such one acre or
greater number of acres exempt from taxation pursuant to this subsection shall
also be exempt from taxation so long as the principal use of the improvement is
(i) to house or cover motor vehicles or household goods and personal effects as
classified in subdivision A 14 of &#xA7; 58.1-3503 and as listed in &#xA7;
58.1-3504 and (ii) for other than a business purpose.

D. For purposes of this exemption, real property of any veteran includes real
property (i) held by a veteran alone or in conjunction with the veteran&#8217;s
spouse as tenant or tenants for life or joint lives, (ii) held in a revocable
inter vivos trust over which the veteran or the veteran and his spouse hold the
power of revocation, or (iii) held in an irrevocable trust under which a veteran
alone or in conjunction with his spouse possesses a life estate or an estate for
joint lives or enjoys a continuing right of use or support. The term does not
include any interest held under a leasehold or term of years.
			The exemption for a surviving spouse under subsection B includes real
property (a) held by the veteran&#8217;s spouse as tenant for life, (b) held in
a revocable inter vivos trust over which the surviving spouse holds the power of
revocation, or (c) held in an irrevocable trust under which the surviving spouse
possesses a life estate or enjoys a continuing right of use or support. The
exemption does not apply to any interest held under a leasehold or term of
years.

E. 1. In the event that (i) a person is entitled to an exemption under this
section by virtue of holding the property in any of the three ways set forth in
subsection D and (ii) one or more other persons have an ownership interest in
the property that permits them to occupy the property, then the tax exemption
for the property that otherwise would have been provided shall be prorated by
multiplying the amount of the exemption by a fraction that has as a numerator
the number of people who are qualified for the exemption pursuant to this
section and has as a denominator the total number of all people having an
ownership interest that permits them to occupy the property.

   2. In the event that the primary residence is jointly owned by two or more
   individuals, not all of whom qualify for the exemption pursuant to subsection
   A or B, and no person is entitled to the exemption under this section by
   virtue of holding the property in any of the three ways set forth in
   subsection D, then the exemption shall be prorated by multiplying the amount
   of the exemption by a fraction that has as a numerator the percentage of
   ownership interest in the dwelling held by all such joint owners who qualify
   for the exemption pursuant to subsections A and B, and as a denominator, 100
   percent.

HISTORY: 2011, cc. 769, 840; 2012, cc. 75, 263, 782, 806; 2014, c. 757; 2016,
cc. 349, 393, 485; 2018, c. 236; 2019, cc. 15, 801; 2020, c. 900.