An Act to Provide up to $5,000 in Property Tax Relief to Veterans
Maine Legislature, Session 131, LD 1737
Committee Amendment CA_A_H897 (House)
Amends: 36 MRSA §653, 36 MRSA §841

COMMITTEE AMENDMENT " /^ " to H.P, 1116, L.D. 173 7, "An Act to Provide up
to $5,000 in Property Tax Relief to Veterans"
Amend the bill by striking out the title and substituting the following:
'An Act to Expand Property Tax Relief for Veterans and Their Survivors'
Amend the bill by striking out everything after the enacting clause and inserting the
following:
'See. 1. 36 MRSA §653, sub-§l, ^C, as amended by PL 2023, c, 441, Pt. B, §1
and affected by §7, is further amended to read:
C. The estates up to the just value of $6,000 $5.000. having a taxable situs in the place
of residence, of veterans who served in the Armed Forces of the United States-; except
that, for veterans who are 6^ older, the exemption is up to $6,000 of the
just value,
(1) During any federally recognized war period, including the Korean Conflict,
tho Vietnam War, th® Persian Gulf War, the periods from August 2^1, 1982 to July
31, 1981 and December 20, 1989 to January 31, 1990, Operation Enduring
Freedom, Operation Iraqi Freedom and Operation New Dawn, or during the period
from Febmary 1, 1955 to February 27, 1961, or who were awarded an
oxpeditionary medal for service in the Armed Forces of the United States, when
thoy have reached the age of 62 years or when they are receiving any form of
pension or compensation from the United States Government for total disability,
sorvioe connected or nonservioe connected, as a veteran, A veteran of the Vietnam
War must have served on active duty after Februaiy 27, 1961 and before May 8,
1975. "Persian Gulf War" means service on active duty on or after August 2,1990
and before or on the date that the United States Government recognizes as the ond
of that war period; or
(2) Who are disabled-by injury or disease inourred or aggravated during aotivo
military service in the line of duty and are receiving any form of pension OF
COMMITTEE AMENDMENT
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ROS
'I compensation from the United States Government for total, service oonneotsd
disability.
The exemptions provided in this paragraph apply to the property of that veteran,
mcluding property held in joint tenancy with that veteran's spouse or held in a revocable
living trust for the benefit of that veteran.
Sec. 2. 36 MRSA §653, sub-§l, ^C-l, as amended by PL 1995, c. 368, Pt. CCC,
§2 and affected by §11, is farther amended to read;
C-l. The estates up to the just value of $7,000, having a taxable situs in the place of
residence of veterans who served in the Armed Forces of the United States during afiy
federally rooognized war period during or before World War I and who would bo
eligible for an exemption under paragraph C.
The exemption provided in this paragraph is in lieu of any exemption under paragFapfe
C to which the veteran may be eligible and applies to the property of that veteran,
including property held injointtenancywiththatveteran's spouse orheldinarevocable
living trust for the benefit of that veteran.
Sec. 3. 36 MRSA §653, sub-gl, ^C-2 is enacted to read:
C-2. The estates. having a taxable situs in the place of residence of veterans who served
in the Armed Forces of the United Statesand have a service-connected disability rating
as determined by the United States Department of Veterans Affairs of 60% or greater.
as follows.
CD For a veteran with a service-connected disability rating of 100%. the exemotiQn.
is uo to $50.000 of the just value,
f2) For a veteran with a service-connected disability rating of 90%, the exemption
is w to $40.000 of the just value.
dlFor a veteran with a service-connected disability rating of 80%. the exemption
is TO to $3 0.000 of the just value.
f4) Foraveteran with a service-connected disability rating of 70%. the exemption
is up to $20.000 of the just value,
(5) For a veteran with a service-connected disability rating of 60°/o. the exemption
is UP to $10.000 of the just value,
The exemptions pj'OYided in_this paragraeh apolv to the protiertv of that veteran,
including property held in i oint tenancv with that veteran's speuse or held in a revocable
3 living trust for the benefit of_that veteran.
Sec. 4. 36 MRSA §653, sub-§l, fD, as amended by PL 2007, c. 240, Pt. PPPP,
§2, is repealed.
Sec. 5. 36 MRSA §653, sub-§l, ^D-l, as amended by PL 2023, c. 441, Pt, B, §2
and affected by §7, is further amended to read;
D-1, The estates up to the just value of $50,000, having a taxable situs in the place of
residence, for specially adapted housing units, of veterans who served in the Armed
Forces of the United States during any federally recognized war period, including the
Korean Conflict, the Vietnam War, the Persian Gulf War, the periods from August 2/1,
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Q^ COMMITTEE AMENDMENT "f-\ " to H.P. 1116, L,D. 1737
1982 to July 3 1,1981 and Dooombor 20, 1989 to January 31, 1990, Oporation Enduring
Froodom, Operation Iraqi- Freedom and Operation New Dawn, or during the period
from February 1, 1955 to Febmary 27, 1961, or who were awarded an expeditionary
medal for service in tho Armed Forces of the United States, a&4 who are veterans as
described in 38 United States Code, Section 2101^ and who received a grant from the
United States Government for any such housing, or of the unremamed widews-e?
widowers of those votorans. A veteran oftho Vietnam War must have served on active
duty after February 27, 1961 and boforo May 8, 1975, "Poraian Gulf War" moana
sorvioo on active duty on or after August 2, 1990 and before or on the date that tho
United States Govemmont reoognizeB aQ the end of that war period, The exemption
provided in this paragraph applies to the property of the veteran including property
held in joint tenancy with a spouse or held in a revocable living trust for the benefit of
that veteran.
Sec. 6. 36 MRSA §653, sub-§l, ^D-2, as amended by PL 2003, c. 702, §3, is
repealed.
Sec. 7. 36 MRSA §653, sub-§l, ^D-3, as amended by PL 2003, c, 702, §4, is
repealed.
Sec. 8. 36 MRSA §653, sub-§l, ^E, as amended by PL 2023, c. 360, Pt. A, §7,is
further amended to read:
E, The word "veteran" as used in this subQeotion section means an individual who was
on active duty in the Armed Forces of the United States and who, if discharged, retired
or separated from the Armed Forces, was discharged, retired or separated under other
than dishonorable conditions, "Veteran" also includes:
(1) The unremarried widow or widower or minor child of a veteran who would be
entitled to an exemption under this section if living. or who is in receipt of a
pension or compensation from the Federal Government as the widow or widower
or minor child of a veteran; and
(2') The parent of a deceased veteran who is 62 years of age or older and is an
unremamed widow or widower who is in receipt of a pension or compensation
0 from the Federal Government based upon the service-connected death of that
parent's child.
Individuals seeking an exemption as the unremarried widow or widower or minor child
or parent of a veteran as described m subp^ragraphs(D and (2) are eligible for the
4 exemption that the veteran would be eligible for pursuant to this section if the veteran
waslivine.
Sec. 9. 36 MRSA §841, sub-§4, as amended by PL 2017, c. 367, §8, is further
amended to read:
4. Veteran's widow or widower or minor child. Notwithstanding failure to comply
with section 706-A, the assessors, on written application within one year from the date of
commitment, may make such abatement as they think proper in the case of the unremarried
widow or widower or the minor child of a veteran, if the widow, widower or child would
be entitled to an exemption under section 653, subsection 1, paragraph & E, except for the
failure of the widow, widower or child to make application and file proof within the time
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<^-
set by section 653, subsection 1, paragraph G, if the veteran died during the 12-month
period preceding the April 1 st for which the tax was committed.
Sec. 10. Appropriations and allocations. The following appropriations and
allocations are made.
ADMMSTRATWE AND FINANCIAL SERVICES, DEPARTMENT OF
Revenue Services, Bureau of 0002
Initiative; Provides one-time funding for computer programming costs to implement
changes to property tax exemptions for veterans,
GENERAL FUND 2023-24 2024-25
AllOther $0 $32,000
GENERAL FUND TOTAL $0 $32,000
Sec. 11. Application. This Act applies to property tax years beginning on or after
April 1, 2025.'
Amend the bill by relettering or renumbering any nonconsecutive Part letter or section
number to read consecutively.
SUMMARY
This amendment changes the property tax benefits for militaiy veterans beginning with
property tax years begmning on or after April 1, 2025. The amendment provides that
veterans are no longer required to have served during a federally recognized war period
and receive an exemption of up to $5,000 of the just value of the property. It provides that
veterans who are 62 years of age or older receive an exemption of up to $6,000 of the just
value of the property. It also provides that veterans receive an exemption of between
$10,000 and $50,000 based on their United States Department of Veterans Affairs service-
connected disability rating. The amendment provides that veterans' survivors remain
eligible for the benefit that the veteran would be eligible for if the veteran was living,
FISCAL NOTE REQUIRED
(See attached)
Page4-131LR2103(02)
COMMITTEE AMENDMENT
Approved: 03/15/24 ^^^
LD 1737 LR 2103(02)
An Act to Provide up to $5,000 in Property Tax Relief to Veterans
Fiscal Note for Bill as Amended by Committee Amendment 7-f'
Committee: Taxation
Fiscal Note Required: Yes
Fiscal Note
State Mandate - Funded
Projections Projections
FY 2023-24 FY 2024-25 FY 2025-26 FY 2026-27
Net Cost (Savings)
General Fund • $0 $32,000
Appropriations/Allocations
General Fund $0 $32,000
State Mandates
Required Activity
Requires municipalities to administer an expanded property tax exemption for
veterans.
The required local activities in this bill may represent a state mandate pursuant to the Constitution of Maine. If the
bill does requu-e a local unit of government to expand or modify its activities so as to necessitate additional
expenditures from local revenue, the state mandate provisions of the Constitution of Maine require either: (1) General
Fund appropriations be provided to fund at least 90% of any additional necessitated local costs of the mandate; or (2)
a Mandate Preamble be added to the bill and two-thirds of the members of each House vote to exempt the mandate
from the funding requirement. If the bill does represent a state mandate and neither one of these actions occurs, the
local units of government will not be required to implement the mandated activities,
Fiscal Detail and Notes
This bill expands the property tax exemption for veterans effective for property tax years begmning on or after April
1, 2025, The bill includes a one-time General Fund appropriation to the Department ofAdmmistrative and Financial
Services, Bureau of Revenue Services of $32,000 in fiscal year 2024-25 for computer programming costs to
implement the changes to the exemption.
Ongomg General Fund appropriations of $4,500,000 m fiscal year 2026-27 will be required to reimburse
municipalities for 50% of the additional property tax revenue loss from expanding the property tax exemption for
veterans. Ongoing General Fund appropriations of $207,000 in fiscal year 2026-27 will be required to reimburse
municipalities for 90% of the additional local mandate costs,
LR2103(02) - Fiscal Note - Page 1 of 1
$0
$0
Unit Affected
Municipality
$4,707,000
$4,707,000
Local Cost
$230,000 is
100%