HB 52: Ad valorem tax; qualified disabled veterans; extend homestead exemption to unremarried surviving spouses or minor children

The Senate Committee on Finance offered the following

substitute to HB 52:

A BILL TO BE ENTITLED

AN ACT

To amend Code Section 48-5-48 of the Official Code of Georgia Annotated, relating to homestead exemption by qualified disabled veteran, filing requirements, periodic substantiation of eligibility, persons eligible without application, and retroactive award, so as to extend a homestead exemption for unremarried surviving spouses or minor children of a disabled veteran to include any future homestead; to provide for procedures; to clarify language; to amend Code Sections 40-2-69 and 48-5-478 of the Official Code of Georgia Annotated, relating to license plates for veterans qualifying as totally disabled and constitutional exemption from ad valorem taxation for disabled veterans, respectively, so as to make conforming changes; to provide for related matters; to provide for compliance with constitutional requirements; to provide for a referendum, effective dates, and automatic repeal; to provide for applicability; to repeal conflicting laws; and for other purposes.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:

PART I

SECTION 1-1.

Code Section 48-5-48 of the Official Code of Georgia Annotated, relating to homestead exemption by qualified disabled veteran, filing requirements, periodic substantiation of eligibility, persons eligible without application, and retroactive award, is amended by revising subsections (a), (b), (d), and (e) and paragraph (1) of subsection (g) and repealing subsection (b.1) as follows:

"(a) As used in this Code section, the term:

(1) 'Disabled disabled veteran' means:

(1)(A) Any veteran who is a citizen and a resident of this state, who was discharged under honorable conditions, and who has been adjudicated by the United States Department of Veterans Affairs as having a service related disability that renders such veteran as being 100 percent totally disabled or as being less than 100 percent totally disabled but is compensated at the 100 percent level due to individual unemployability or is entitled to receive a statutory award from the United States Department of Veterans Affairs for:

(A)(i) Loss or permanent loss of use of one or both feet; (B)(ii) Loss or permanent loss of use of one or both hands; (C)(iii) Loss of sight in one or both eyes; or

(D)(iv) Permanent impairment of vision of both eyes of the following status: central visual acuity of 20/200 or less in the better eye, with corrective glasses, or central visual acuity of more than 20/200 if there is a field defect in which the peripheral field has contracted to such an extent that the widest diameter of visual field subtends on angular distance no greater than 20 degrees in the better eye; (2)(B) An American veteran of any war or armed conflict in which any branch of the armed forces of the United States engaged, whether under United States command or otherwise, and that he or she is disabled due to the loss or loss of use of both lower extremities such as to preclude locomotion without the aid of braces, crutches, canes, or a wheelchair; due to blindness in both eyes, having only light perception, together with the loss or loss of use of one lower extremity; or due to the loss or loss of use of one lower extremity together with residuals of organic disease or injury which so affect the functions of balance or propulsion as to preclude locomotion without resort to a wheelchair;

(3)(C) Any disabled veteran who is not entitled to receive benefits from the Department of Veterans Affairs but who qualifies otherwise, as provided for by Article VII, Section I, Paragraph IV of the Constitution of Georgia of 1976; (4)(D) An American veteran of any war or armed conflict who is disabled due to loss or loss of use of one lower extremity together with the loss or loss of use of one upper extremity which so affects the functions of balance or propulsion as to preclude locomotion without the aid of braces, crutches, canes, or a wheelchair; or (5)(E) A veteran becoming eligible for assistance in acquiring housing under Section 2101 of Title 38 of the United States Code as hereafter amended on or after July 1, 1999.

(2) 'Minor' means an individual under the age of 18.

(b)(1) Each Any disabled veteran as defined in any paragraph of subsection (a) of this Code section who is a citizen and resident of Georgia is granted an exemption of the greater of $32,500.00 or the maximum amount which may be granted to a disabled veteran under Section 2102 of Title 38 of the United States Code, as amended, on his or her homestead which such veteran owns and actually occupies as a residence and homestead, such exemption being from all ad valorem taxation for state, county, municipal, and school purposes. As of January 1, 2004, the maximum amount which may be granted to a disabled veteran under the above-stated federal law is $50,000.00. The value of all property in excess of the exempted amount cited above shall remain subject to taxation.

(2) The unremarried surviving spouse or minor children of any such disabled veteran as defined in this Code section entitled to an exemption pursuant to paragraph (1) of this subsection shall also be entitled to an exemption of the greater of $32,500.00 or the maximum amount which may be granted to a disabled veteran under Section 2102 of Title 38 of the United States Code, as amended, on the a homestead so long as the unremarried surviving spouse or minor children continue actually to own and occupy the such home as a residence and homestead, such exemption being from all ad valorem taxation for state, county, municipal, and school purposes. As of January 1, 2004, the maximum amount which may be granted to the unremarried surviving spouse or minor children of any such disabled veteran under the above-stated federal law is $50,000.00. (3) The value of all property in excess of such an exemption granted to such unremarried surviving spouse or minor children pursuant to this Code section shall remain subject to taxation.

(4) In no event shall more than one person be allowed a homestead exemption under this Code section on the basis of any one disabled veteran."

"(d)(1) Each disabled veteran shall file for the exemption only once in the county of his or her residence. Once filed, the exemption shall automatically be renewed from year to year, except as provided in subsection (e) of this Code section. Such exemption shall be extended to the such disabled veteran's unremarried surviving spouse or minor children at the time of his on the death of such disabled veteran so long as they such unremarried surviving spouse or minor children continue to own and occupy the home as a residence and homestead. In the event If a disabled veteran who would otherwise be is entitled to the an exemption pursuant to this Code section dies or becomes incapacitated to the extent that he or she and cannot personally file for such exemption, the such disabled veteran's spouse, the unremarried surviving spouse, or the minor children at the time of the disabled veteran's death may file for the exemption, and such exemption may shall be granted as if the disabled veteran had made personal application therefor.

(2) If the unremarried surviving spouse or minor children, who are entitled to the exemption granted under paragraph (2) of subsection (b) of this Code section, own and occupy a new homestead, such unremarried surviving spouse or minor children shall file for the exemption in the county containing the new homestead. Once filed, the exemption shall be renewed from year to year automatically, except as provided in subsection (e) of this Code section.

(e)(1) Not more often than once every three years, the county board of tax assessors may require the holder of an exemption granted pursuant to this Code section to substantiate his or her continuing eligibility for the exemption. In no event may the board require more than three doctors' letters to substantiate eligibility.

(2) Any homestead exemption granted to a surviving minor child pursuant to this Code section shall terminate at the end of the taxable year during which such individual reaches the age of 18."

"(g)(1) If a disabled veteran receives a final determination of disability from the United States Department of Veterans Affairs containing a retroactive period of eligibility, such disabled veteran or his or her surviving unremarried spouse or minor children shall be entitled to a refund of the ad valorem taxes paid during such period in the amount that he or she or his or her surviving unremarried spouse or minor children would have otherwise been exempt from such taxes paying pursuant to this Code section, provided that the refund shall only be for the three tax years preceding his or her or his or her surviving unremarried spouse's or minor children's application for the homestead exemption permitted by this Code section."

PART II

SECTION 2-1.

In accordance with the requirements of Article VII, Section II, Paragraph II(a)(1) of the Constitution of the State of Georgia, this Act shall not become law unless it receives the requisite two-thirds' majority vote in both the Senate and the House of Representatives.

SECTION 2-2.

The Secretary of State shall call and conduct an election as provided in this section for the purpose of submitting this Act to the electors of the entire state for approval or rejection. The Secretary of State shall conduct such election on the Tuesday after the first Monday in November, 2026, and shall issue the call and conduct such election as provided by general law. The Secretary of State shall cause the date and purpose of the election to be published once a week for two weeks immediately preceding the date thereof in the official organ of each county in the state. The ballot shall have written or printed thereon the words: "( ) YES Do you approve the Act that extends a homestead exemption for qualified ( ) NO disabled veterans to their surviving spouses or minor children?" All persons desiring to vote for approval of the Act shall vote "Yes," and all persons desiring to vote for rejection of the Act shall vote "No." If more than one-half of the votes cast on such question are for approval of the Act, this Act shall become of full force and effect on January 1, 2027. If the Act is not so approved or if the election is not conducted as provided in this section, this Act shall not become effective and this Act shall be automatically repealed on the first day of January immediately following such election date. It shall be the duty of each county election superintendent to certify the results thereof to the Secretary of State.

SECTION 2-3.

Except as otherwise provided in Section 3-2 of this Act, this Act shall become effective upon its approval by the Governor or upon its becoming law without such approval and shall be applicable to all taxable years beginning on or after January 1, 2027.

SECTION 2-4.

All laws and parts of laws in conflict with this Act are repealed.