Texas Disabled Veteran Property Tax Exemption

Partial exemption amounts under §11.22 (applies to any property you own, not just homestead): - 10% – 29% rating: $5,000 off appraised value - 30% – 49% rating: $7,500 off appraised value - 50% – 69% rating: $10,000 off appraised value - 70% – 99% rating: $12,000 off appraised value For 100% rated veterans OR those with Individual Unemployability (IU): FULL exemption on the homestead (property value minus zero equals zero tax). The partial amounts above can still apply to a second property or land.

You must be a Texas resident who owns the property. You do NOT need to have served in a Texas unit or have any other Texas connection beyond residency. The property must be in Texas. If you're a veteran from another state relocating to Texas, you qualify immediately upon becoming a Texas resident and owning a home here — file Form 50-114 (or 50-135 for 100% rating) with your county appraisal district.

Two ways to qualify for the full (100%) homestead exemption under Texas Tax Code §11.131: (1) VA Service-Connected Disability rating of 100%, OR (2) Individual Unemployability (IU) designation from the VA, which means you're paid at the 100% rate even if your raw percentage is lower (typically 70%+). A separate provision in Texas Tax Code §11.22 grants the maximum partial exemption ($12,000, NOT the full 100%) to veterans who are age 65+ with any disability rating of 10% or higher, as well as to veterans who are totally blind in one or both eyes or have lost the use of one or more limbs. These §11.22 cases get the top partial tier regardless of their actual rating percentage, but they do not qualify for the full §11.131 homestead exemption unless they also meet the 100%-rating or IU requirement. Confirm your specific tier with your county appraisal district — they're the final authority on exemption amounts.

Yes — Texas Tax Code §11.131(c) protects surviving spouses of 100%-rated disabled veterans. The surviving spouse keeps the full exemption indefinitely IF: (1) the spouse has not remarried, (2) the property was the couple's homestead at the time of the veteran's death, and (3) the surviving spouse continues to occupy it as their principal residence. If the surviving spouse later moves, they can transfer an equivalent dollar amount of exemption to a new homestead — this is a huge benefit for surviving spouses downsizing later in life.

For 100%-rated veterans: Yes — the §11.131 homestead exemption covers all property taxes on the homestead, including county, city, school district, and special district taxes. You pay zero. For partial ratings (10-99%): The §11.22 exemption dollar amount ($5K-$12K) is deducted from the appraised value, then all taxing jurisdictions calculate tax on the remainder. Savings depend on your total tax rate and property value.

You need two forms depending on your rating: Partial rating (10%-99%): File Form 50-114 (Application for Residence Homestead Exemption) with your county appraisal district. Check the "Disabled Veteran" section and include a VA disability rating letter. 100% rating or Individual Unemployability: File Form 50-135 (Application for Disabled Veteran's or Survivor's Exemption) — a separate form specifically for the 100% homestead exemption. Include: (1) VA disability rating letter or IU determination, (2) proof of Texas residency, (3) driver's license showing homestead address. Both forms are free to file. Most counties accept online filing.

Under Texas Tax Code §11.22, veterans age 65+ who have any disability rating of 10%+ qualify for the $12,000 maximum partial exemption tier regardless of their actual rating percentage. They can also stack the standard over-65 homestead benefits (extra $10,000 school exemption + school tax freeze) on top of the veteran exemption. And if their rating is 100% (or Individual Unemployability), the full §11.131 homestead exemption applies instead, zeroing out their property tax regardless of age.

No. Once approved, the disabled veteran exemption stays with the property as long as you own and occupy it. However, the appraisal district may request a new VA rating letter every few years to verify your disability is still rated at the level you originally applied with. Keep your VA award letters on file and respond promptly if the CAD requests updated documentation. Changes to your VA rating (up or down) should be reported so the exemption can be adjusted accordingly.

The 100% homestead exemption under §11.131 applies only to ONE property — your principal residence. The partial §11.22 exemption, however, can apply to any real property you own in Texas (primary home, rental, vacation home, farmland). For a 100%-rated veteran with multiple properties: homestead gets full exemption, additional properties get the $12,000 partial exemption (applied to each separately).

Report the change to your county appraisal district. A rating increase from, say, 70% to 100% unlocks the full homestead exemption — huge savings. A rating decrease reduces your exemption tier. If your rating drops below 10%, you lose the veteran-specific exemption entirely (but keep your standard homestead). Time your notifications thoughtfully: if you're close to retiring or the VA is re-evaluating you, wait for a final determination before applying.

Yes, if you have a partial rating (not 100%). The partial §11.22 exemption subtracts a fixed dollar amount — so a lower appraised value still means lower taxes on the portion above your exemption. Protesting is free and risk-free. For 100%-rated veterans on their homestead, protesting is not financially impactful (you pay zero regardless of value). But it's still worth filing a protest to keep the CAD's records accurate, and some jurisdictions (like your city or MUD) may have nominal minimum-floor taxes that still depend on value.