SB 296: Property taxation: exemption: disabled veteran homeowners.

Official summary

Legislative Counsel’s Digest (official, as of the latest version). Written by nonpartisan legislative staff; reproduced verbatim.

The California Constitution provides that all property is taxable and requires that it be assessed at the same percentage of fair market value, unless otherwise provided by the California Constitution or federal law. The California Constitution and existing property tax law provide various exemptions from taxation, including, among others, a disabled veterans’ exemption and a veterans’ organization exemption.

This bill would exempt from taxation, as provided, 50% of that part of the full value of the property that does not exceed $1,000,000 that is owned by, and that constitutes the principal place of residence of, a veteran, the veteran’s spouse, or the veteran and the veteran’s spouse jointly, if, among other things, the veteran is 100% disabled. The bill would provide an unmarried surviving spouse a property exemption in the same amount that they would have been entitled to if the veteran were alive and if certain conditions are met. In the case of a disabled veteran or unmarried surviving spouse whose household income does not exceed a specified amount for the relevant assessment year, as prescribed, the bill would exempt 100% of that part of the full value of the property that does not exceed $1,000,000 from taxation. The bill would require certain documentation to be provided to the county assessor to receive the exemption and would prohibit any other real property tax exemption from being granted to the claimant if receiving the exemption provided by the provisions of this bill. The bill would make these exemptions applicable for property tax lien dates occurring on or after January 1, 2027, but occurring before January 1, 2032. By imposing additional duties on local tax officials, the bill would impose a state-mandated local program.

Existing law requires any bill authorizing a new tax expenditure to contain, among other things, specific goals, purposes, and objectives that the tax expenditure will achieve, detailed performance indicators, and data collection requirements.

This bill also would include additional information required for any bill authorizing a new tax expenditure.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.

Sponsors

Sponsors by party (alphabetical): Democratic 15 · Republican 5

“Support” is shown only as formal sponsorship recorded by the legislature. Roll-call votes are available on the official bill page.

Recent official actions

1. September 28, 2026Chaptered by Secretary of State. Chapter 727, Statutes of 2026.
2. September 28, 2026Chaptered by Secretary of State. Chapter 727, Statutes of 2026.
3. September 28, 2026Approved by the Governor.
4. September 28, 2026Approved by the Governor.
5. August 27, 2026Enrolled and presented to the Governor at 4:30 p.m.
6. August 27, 2026Enrolled and presented to the Governor at 4:30 p.m.
7. August 24, 2026Assembly amendments concurred in. (Ayes 40. Noes 0. Page 5681.) Ordered to engrossing and enrolling.
8. August 24, 2026Assembly amendments concurred in. (Ayes 40. Noes 0.) Ordered to engrossing and enrolling.
9. August 19, 2026In Senate. Concurrence in Assembly amendments pending.
10. August 19, 2026In Senate. Concurrence in Assembly amendments pending.
11. August 19, 2026Read third time. Passed. (Ayes 78. Noes 0. Page 6270.) Ordered to the Senate.
12. August 19, 2026Read third time. Passed. (Ayes 78. Noes 0. Page 6270.) Ordered to the Senate.