Bill > HB1738

This bill provides a sales and use tax exemption for disabled veterans in Arkansas, defined as those who qualify for a property tax exemption under § 26-3-306. The exemption applies to gross receipts from the sale of tangible personal property, digital products, digital codes, or services to disabled veterans or household members authorized to make purchases on their behalf. To qualify, a disabled veteran must submit a certification letter from the United States Department of Veterans Affairs. The exemption is limited to $25,000 per year for each disabled veteran, with the Department of Finance and Administration authorized to request verification and recover taxes if the limit is exceeded. The department will issue exemption cards to qualified disabled veterans and their authorized household members. Fraudulently claiming the exemption is a Class C misdemeanor, and the department is required to develop rules for implementing the exemption. The bill will become effective on the first day of the calendar quarter following its enactment, providing tax relief and support for disabled veterans in the state.

Budget and Finance

https://arkleg.state.ar.us/Bills/Detail?id=hb1738&ddBienniumSession=2025%2F2025R