Exemption for Veterans
TAXPAYER’S GUIDE TO LOCAL PROPERTY TAX EXEMPTIONS
VETERANS
Clauses 22, 22A, 22B, 22C, 22D, 22E, 22F, 22H
Cities and towns may give property tax exemptions to some individuals as defined by state law. An exemption discharges the taxpayer from the legal obligation to pay all or a portion of the tax assessed for the fiscal year. Exemptions are found in various clauses of Massachusetts General Laws Chapter 59, Section 5 (M.G.L. c. 59, § 5).
Clauses 22, 22A, 22B, 22C, 22D, 22E, 22F, and 22H provide exemptions to some veterans, their spouses who own the domicile and their surviving spouses, and some surviving parents and spouses of active duty military personnel who died during or due to military service.
APPLICATIONS
You must file an application for each fiscal year with the assessors in the city or town where your property is located. The application is due on April 1, or three months after the actual tax bills are mailed, whichever is later. Filing on time is required. By law, the assessors may not waive this filing deadline, nor act on a late application, for any reason. Filing an application does not entitle you to delay your tax payment.
DOCUMENTATION
You must provide the assessors with whatever information is reasonably required to establish eligibility. This information may include, but is not limited to:
1. Evidence of residency, ownership, domicile and occupancy.
2. Certification of a service-connected disability or death from the U.S. Department of Veterans Affairs (VA) or branch of U.S. military service from which discharged or in which served.
NUMBER OF EXEMPTIONS
With limited exceptions, you may only receive one exemption under M.G.L. c. 59, § 5 for each fiscal year. If you qualify for more than one, you will receive the one that provides the greatest benefit. You may receive an exemption and if qualified, defer all or a part of the balance of the reduced tax.
VETERAN
Veterans are individuals who served on active duty in the Armed Forces of the United States for certain time periods during peace or wartime eras and were discharged from military service. Their last discharge or release must have been under other than dishonorable conditions.
ELIGIBILITY REQUIREMENTS
You must satisfy tests relating to residency, domicile, ownership and service-connected disability or awards. You must meet all eligibility requirements as of July 1 of the tax year. (The fiscal year of cities and towns begins July 1 and ends the following June 30.) If you do not meet all requirements as of July 1, you cannot receive all or any portion of the exemption for that tax year.
RESIDENCY
Veterans must have (1) been domiciled in Massachusetts for at least 6 consecutive months before entering military service, or (2) lived in Massachusetts for at least 2 consecutive years before the tax year begins (or at least 1 consecutive year before the tax year begins, if the legislative body of your city or town has voted, subject to local charter, to accept this local option).
DOMICILE
You must occupy the property as your domicile. If you are a spouse of a veteran, you and the veteran must occupy the property as your domicile. Your domicile is where your principal and legal home is located, your family, social, civic and economic life is centered and you plan to return whenever you are away. You may have more than one residence, but only one domicile.
OWNERSHIP
You must own the property.
1. Your ownership interest must be worth at least an amount ranging from $2,000 to $10,000, depending on the exemption. You may own this interest solely, as a joint owner or as a tenant in common.
2. If you hold a life estate in the domicile, you are the owner.
3. If your domicile is held in a trust, you are the owner only if:
a. You are a trustee or co-trustee of that trust, and
b. You have a sufficient beneficial interest in the domicile.
If the legislative body of your city or town has voted, subject to local charter, to accept a local option, and you do not hold title to your domicile under a trust (or conservatorship or other fiduciary arrangement), you may still be considered the owner.
EXEMPTION CREDIT
If the assessors decide you are eligible and grant an exemption, the amount granted is credited toward and reduces the tax assessed on your domicile for that fiscal year. You will only receive a refund if the entire tax for the year has already been paid at the time the exemption is granted.
SALE OF DOMICILE
If you are selling your domicile, you should make your attorney aware that you receive a property tax exemption that reduces the tax owed for the fiscal year. The sale is a private financial transaction and as a party, you are responsible for seeing that the exemption is properly credited at the closing, through escrow or other arrangements, when the parties make adjustments for local property taxes or charges. Your city or town is not responsible for seeing that you and the buyer allocate the property taxes so you get the benefit of the exemption.
The town of Holliston offers the following exemption amounts:
22a - Veterans with a minimum 10% service-connected disability = $800
22b - Veterans of pre-WW 1 conflicts = $800
22c - Veterans awarded Purple Hearts = $800
22d - Spouses and Surviving Spouses (who have never remarried) of Clause 22a, 22b, 22c Veterans = $800
22e - Gold Star Parents = $800
22f - Surviving Spouses (who have never remarried) of WW I service members = $800
22A - Veterans (or surviving spouses of veterans) who lost, or had permanent loss of use of, one hand, foot, or eye in the line of duty; or who were awarded the Congressional Medal of Honor, Distinguished Service Cross, Navy Cross, or Air Force Cross; or who were prisoners of war = $1,500
22B - Veterans (or surviving spouses of veterans) who lost, or had permanent loss of use of, two hands, feet, or eyes in the line of duty = $2,500
22C - Veterans (or surviving spouses of veterans) with 100% disability in the line of duty and whose domicile is specially adapted housing acquired with assistance from VA = $3,000
22D - Surviving Spouses (who have never remarried) of active duty military personnel (including National Guardsmen on active duty) or veterans who (1) died as a proximate result of injuries sustained or diseases contracted during active duty, or (2) went missing in action and are presumed to have died (See Note) = Full
22E - Veterans (or surviving spouses of veterans) with 100% disability in the line of duty (See Note) = $2,000
22F - Veterans (or surviving spouses of veterans) with service-connected paraplegia (paralysis of the legs and lower body). Veterans (or surviving spouses of veterans) with 100% disability for service-connected blindness. = Full
22G - A property tax exemption for any real estate that is the domicile of a person but is owned by a trustee, conservator, or other fiduciary for the person’s benefit if the real estate would be eligible for exemption under clause 22, 22A, 22B, 22C, 22D, 22E, or 22F if the person were the owner of the real estate. = $800 - Full
22H - Surviving parents or guardians of soldiers and sailors, members of the National Guard and Veterans who (i) during active duty service, suffered an injury or illness documented by the United States Department of Veterans Affairs (VA) or a branch of the armed forces that was a proximate cause of their death; or (ii) are missing in action with are presumed to have died. (See Note) - Full
PLEASE NOTE:
Veterans must have (1) been domiciled in Massachusetts for at least 6 consecutive months before entering military service, or (2) lived in Massachusetts for at least 1 consecutive year before the tax year begins.
Eligibility Criteria must be met as of July 1st for the applicable Fiscal Year.
22D: Documentation of the service-connected death as established by the United States Department of Veterans Affairs (VA) or armed forces branch is required.
22E: Annual documentation of the disability by the United States Department of Veterans Affairs (VA) or armed forces branch is required.
22H: Surviving parents or guardians shall have been domiciled in the commonwealth for the 5 consecutive years immediately before the date of filing for an exemption, or the soldier or sailor, member of the National Guard or veteran was domiciled in the commonwealth for not less than 6 months before entering the service.