California Expands Disabled Veterans' Property Tax Exemption

Senate Bill 296, signed by Gov. Gavin Newsom, widens property tax relief for eligible disabled veterans starting with the 2027 lien date.

Updated on Nov. 12, 2026 in Military

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Governor Gavin Newsom signed Senate Bill 296 on September 28, expanding property tax exemptions for eligible disabled veterans and certain surviving spouses in California starting with the 2027 lien date. AI Illustration. Upload story photo >

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California enacted Senate Bill 296, authored by state Sen. Bob Archuleta and signed by Gov. Gavin Newsom on September 28, expanding the Disabled Veterans' Property Tax Exemption. Los Angeles County Assessor Jeff Prang announced the expanded exemptions in a Veterans Day bulletin.

Why it matters

The expansion could lower property tax bills for eligible disabled veterans and their surviving spouses across California, including homeowners in Los Angeles County. Some eligible homeowners may also qualify for retroactive refunds.

The exemption equals 50% of the first $1 million of assessed value for eligible veterans and 100% for qualifying low-income veterans, with a $83,474 household income threshold for the low-income benefit. The expanded exemptions apply to lien dates from January 1, 2027, through January 1, 2031, and the number of eligible households has not been reported.

The players

Gavin Newsom

Gavin Newsom is the Governor of California, who signed Senate Bill 296 into law.

Jeff Prang

Jeff Prang is the Los Angeles County Assessor, whose office administers property tax exemptions for homeowners in the county.

The details

Veterans must hold a 100% service-connected disability rating from the U.S. Department of Veterans Affairs or receive disability compensation at the 100% rate to qualify. Certain unmarried surviving spouses are also eligible, and the law preserves the existing exemption for homeowners whose property values fall below a specified threshold. Veterans already receiving the basic exemption do not need to reapply, while first-time applicants must establish eligibility with the county assessor.

Timeline

  1. September 28, 2025: Gov. Gavin Newsom signs Senate Bill 296.

  2. November 11, 2026: Assessor Jeff Prang announces the expanded exemptions in a Veterans Day bulletin.

  3. January 1, 2027: Expanded exemptions take effect with the lien date.

  4. January 1, 2031: The expanded exemption lien-date period ends.

Roadmap

Senate Bill 296 builds on California's long-standing Disabled Veterans' Property Tax Exemption by raising the exemption amount and adding a full-exemption tier for low-income veterans. The expansion runs through the 2027 to 2031 lien-date window, leaving its long-term effect on state property tax revenue and veteran housing costs for later review.

Eligible disabled veterans may see lower annual property tax bills starting with the 2027 lien date, and some may qualify for retroactive refunds. Veterans already receiving the basic exemption do not need to reapply, while first-time applicants should contact the Los Angeles County Assessor at 213-974-3211 to establish eligibility.

The takeaway

Eligible disabled veterans and certain surviving spouses should confirm their status with their county assessor before the January 1, 2027, lien date to secure the expanded exemption.

What happens next

The expanded exemptions take effect with the January 1, 2027, property tax lien date, and the expanded lien-date period runs through January 1, 2031.

Further reading

Explore more Military coverage for California veterans policy updates.

More information

Review Los Angeles County disabled veterans exemption application information for eligibility details.

Source note: This article includes information reported by Pasadena Now.

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