Arizona Disabled Veterans Property Tax Exemption: HB 2792 Makes Full Relief Possible

Under HB 2792, signed by the Governor, the primary residence of a veteran with a 100% VA-rated service-connected disability is fully exempt from Arizona property taxation, subject to the law's eligibility requirements. The law applies to tax years beginning January 1, 2026.

That's a significant change from Arizona's previous exemption structure. The new law removes the property-assessment barrier for qualifying veterans, meaning the exemption is no longer limited to homes with an assessed value below a specified threshold. However, income eligibility requirements still apply, so a 100% VA disability rating alone does not necessarily guarantee qualification.

The law also provides an important protection for families: a surviving spouse may continue claiming the full exemption for the primary residence as long as the spouse does not remarry and the other requirements are met.

What Arizona Veterans Should Know

If you are an Arizona homeowner with a 100% service-connected VA disability rating, this could potentially eliminate your Arizona property-tax bill on your qualifying primary residence.

Don't assume you're automatically enrolled. Check your eligibility and contact your county assessor about the application requirements.

Your service matters. Your sacrifice matters. And now, Arizona law may provide substantial property-tax relief in return.

Official Arizona Legislature information: HB 2792 — https://www.azleg.gov/legtext/57leg/2R/summary/H.HB2792_020326_SIGNEDBYTHEGOVERNOR.DOCX.htm