Senate committee advances emergency fix to ensure 100% disabled veterans get full property‑tax exemption

Arizona Senate Military Affairs and Border Security Committee · February 2, 2026

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Summary

The Arizona Senate Military Affairs and Border Security Committee gave SB 12‑68 a do‑pass recommendation after sponsors and county assessors said the emergency cleanup clarifies that a veteran rated 100% service‑connected is eligible for a full property‑tax exemption on a jointly owned primary residence; committee vote 7‑0.

Senators on the Arizona Senate Military Affairs and Border Security Committee voted to advance Senate Bill 12‑68, an emergency cleanup measure clarifying that a veteran rated 100% service‑connected by the U.S. Department of Veterans Affairs is entitled to a full property‑tax exemption on a primary residence, even when the home is jointly owned with a spouse.

Sponsor supporters and county assessors told the committee the change corrects ambiguous language in last year’s budget bill and ensures assessors can implement exemptions for the coming tax year. ‘‘This bill provides clarity and cleanup as to that language,’’ Maricopa County Assessor Eddie Cook said, adding the amendment allows spouses of 100% disabled veterans to receive the full exemption and sets the application timeline to start Jan. 1.

Sen. Gowen, who led the presentation, said the measure is intended to be a technical fix rather than a change in policy. ‘‘It’s really the same law, just fixing some areas that we thought needed to be clearer,’’ he said. County assessors told the committee they have already received applications they cannot fully process because of the ambiguous wording.

Committee members voiced bipartisan support for moving the bill quickly so veterans may receive determinations before the March deadline for property‑tax exemptions. One senator acknowledged concerns about use of an emergency clause but said the change was necessary to allow timely implementation.

The committee gave SB 12‑68 a do‑pass recommendation by voice/tally, recorded as 7 ayes, 0 nos.

The measure will next go to the full Senate for further consideration; sponsors said they expect the governor’s signature could be sought quickly so the exemption applies for the 2026 tax year.