Bill > SB8

This bill modifies the real property tax exemption for surviving spouses of members of the armed forces who died in the line of duty by allowing localities, starting in tax year 2026, to provide a full property tax exemption for dwellings on single-family residential zoned property regardless of the dwelling's assessed value. Currently, the exemption is limited to dwellings with assessed values not exceeding the average assessed value of similar properties in the locality. The bill maintains existing provisions that the exemption applies only to surviving spouses who have not remarried and covers the dwelling and up to one acre of land. The exemption can apply to various types of dwellings including single-family homes, condominiums, townhomes, and manufactured homes, as long as they are the surviving spouse's principal residence. The bill also clarifies that if the dwelling is jointly owned, the tax exemption will be prorated based on the surviving spouse's ownership percentage. Additionally, the bill includes a provision stating that localities are not liable for refunding taxes paid by surviving spouses of service members who died in the line of duty but were not technically killed in action for tax years before January 1, 2025.

Budget and Finance

https://lis.virginia.gov/bill-details/20261/SB8