PHOENIX – Legislation delivering full property tax relief to Arizona’s most severely disabled veterans was signed into law Friday following near-unanimous bipartisan passage in the Arizona Legislature.
House Bill 2792, sponsored by House Majority Leader Michael Carbone (R), passed the Arizona House unanimously and cleared the Senate with overwhelming bipartisan support, reflecting broad agreement that Arizona should honor veterans who have given everything in service to this country. The measure was developed in coordination with county assessors after implementation questions were raised following last year’s tax omnibus legislation. Sen. David Gowan sponsored the mirror measure in the Senate.
HB 2792 ensures that qualifying veterans who are rated 100 percent service-connected disabled receive a full property tax exemption on the entire value of their primary residence, even if the property is jointly owned. The law also allows a surviving spouse to continue receiving the exemption if the spouse does not remarry, including if the spouse relocates to another primary residence.
The legislation clarifies that income limits apply across the entire section of law and confirms that property tax exemptions may not be combined across categories, providing consistency and certainty for taxpayers and county assessors.
“This bill keeps a simple promise,” said Carbone. “If a veteran sacrifices their health in service to America, the government should not tax them out of their home. We worked directly with county assessors to ensure the law is clear and properly implemented. Preserving homeownership for those who earned it is central to the House Republican Majority Plan and to preserving the American Dream. This law delivers direct relief, limits government reach, and stands up for veterans and their families.”
The law takes effect immediately and applies beginning with tax year 2026. Qualifying veterans will see the benefit reflected in their first property tax payments due in October.
