Market Value Exclusion on Homestead Property of Disabled Veterans

Market Value Exclusion on Homestead Property of Disabled Veterans

What is it?
The program provides an annual market value exclusion of up to $300,000 on homestead property of a qualifying disabled veteran.

What are the qualifications?
A property must be the homestead of a qualified veteran in order to receive this value exclusion.  

To qualify, a veteran must have been honorably discharged from the United States armed forces as indicated by United States Government Form DD214 or other official military discharge papers, and must be certified by the United States Veterans Administration as having a service-connected disability.  

In the case of agricultural homesteads, only the house, garage, and immediately surrounding one acre of land will qualify for the exclusion.  

If a property qualifies for this market value exclusion, the property does not receive the residential homestead market value credit provided under Minnesota Statute 273.1384, subdivision 1.

Qualifying veterans with a 70 percent disability rating or higher are eligible for a market value exclusion of $150,000.   

Qualifying veterans who are totally (100 percent) and permanently disabled are eligible for a market value exclusion of $300,000.    

How do I apply?
Applications are available in your county assessor’s office. Applications must be made by July 1 to qualify for the exclusion on the current year’s market value for taxes payable next year.  

Veterans with a disability rating of 70 percent or higher will need to reapply annually. 

Veterans who are totally and permanently disabled do not need to reapply after the initial approval.  The property will continue to qualify for the value exclusion until there is a change in ownership or use of the property.  A surviving spouse can continue the exclusion under this provision for one additional assessment year, or until the spouse sells, transfers, vacates, or otherwise disposes of the property (whichever occurs first).

What information do I need to supply?
Qualifying veterans may supply the United States Government Form DD214 or other official military discharge papers, as well as documentation from the Veterans Administration verifying disability status.  

The Veterans Administration may also provide a letter that encompasses all required information (both dis-charge and disability).  If you need any of this documentation, please contact the Veterans
Administration or your County Veterans Service Officer.

What if I have questions?
This is only a summary of the Valuation Exclusion on Homestead Property for Disabled Veterans program. For more information, or for answers to specific questions, contact your county assessor’s office.