Oregon Disabled Veteran Property Tax Exemption

The exemption takes a dollar amount off the assessed value that is taxed; it does not exempt the home, and a 100% rating earns no larger amount than a 40% rating. It is applied to the homestead first and then to taxable personal property. Your tax saving is the exempt assessed value times your total tax rate, so a home with a low assessed value may use less than the full amount.

The Department of Revenue publication is dated January 2026 and lists both amounts. It does not print a tax year, so check the figure for the year you claim with your county assessor. Oregon’s tax year begins July 1 and the claim date is April 1 before it. Our own arithmetic (not a Department of Revenue statement) shows the two amounts equal the statute’s $15,000 and $18,000 after twenty yearly increases of 103 percent, rounded to the dollar each year. This page does not estimate any later year’s amount.

• A disabled veteran or a veteran’s surviving spouse or partner may be entitled to exempt $27,092 or $32,512 of the homestead property’s assessed value from property taxes.

  “you may be entitled to exempt $27,092 or $32,512 of your homestead property’s assessed value from property taxes.”

• The exemption amount increases by 3 percent each year.

  “The exemption amount increases by 3 percent each year.”

• There is exempt from taxation not to exceed $15,000 of the assessed value of the homestead or personal property of the claimants in subsection (2); subsection (3) says not to exceed $18,000 for the service-connected group.

  “there shall be exempt from taxation not to exceed $15,000 of the assessed value of the homestead or personal property”

• The amount of the exemption allowed under subsection (2) or (3) shall equal 103 percent of the amount of the exemption for the prior tax year.

  “The amount of the exemption allowed under subsection (2) or (3) of this section shall equal 103 percent of the amount of the exemption for the prior tax year.”

• The exemption first applies to the homestead of the veteran or surviving spouse and then to the personal property of the veteran or surviving spouse.

  “The exemption first applies to the homestead of the veteran or surviving spouse and then to the personal property of the veteran or surviving spouse.”

The rating must be 40 percent or more, certified by the VA or a branch of the Armed Forces. A veteran certified each year by a licensed physician qualifies for the lower amount only inside an income limit, and total gross income includes military pensions, disability compensation and retirement pay. The Department of Revenue publication gives the limit as 185 percent of the annual Federal Poverty Level Guidelines for the year before the exemption year.

You must be an Oregon resident who owns and lives on the homestead. The publication counts buyers with recorded contracts of purchase and life estate holders as owners, and says temporary absences for vacation, travel or illness do not disqualify you. The statute defines veteran by cross-reference to ORS 408.225, and the publication lists the tests below.

• Second, you must own and live on your homestead property.

  “Second, you must own and live on your homestead property.”

• For the veteran certified each year by a physician, there is an income limit: in the year before the exemption year, total gross income can’t be more than 185 percent of the annual Federal Poverty Level Guidelines.

  “However, there is an income limit. In the year before the exemption year, your total gross income can’t be more than 185 percent of the annual Federal Poverty Level Guidelines.”

• To qualify for the exemption, you must be a U.S. citizen who has been a member of the U.S. Armed Forces and you were discharged or released under honorable conditions, plus one of the service tests in the table above.

  “To qualify for the exemption, you must be a U.S. citizen who has been a member of the U.S. Armed Forces and you were discharged or released under honorable conditions.”

• The statute counts service on active duty for a period of more than 178 consecutive days beginning after January 31, 1955, if the veteran was discharged or released from active duty under honorable conditions.

  “For a period of more than 178 consecutive days beginning after January 31, 1955, and was discharged or released from active duty under honorable conditions;”

An unremarried surviving spouse or registered domestic partner of a veteran can claim the exemption even if the veteran was not disabled and never filed a claim, and then gets the lower amount. The higher amount needs the veteran to have died of a service-connected injury or illness or to have received at least one year of the maximum exemption. The exemption ends with a new marriage or partnership.

A surviving spouse can ask the assessor to continue the veteran’s exemption without a new claim at any time during the tax year if the veteran died in the prior tax year, or if the home was bought after March 1 but before July 1 and the veteran died within 30 days of the purchase. A surviving spouse of a Civil War or Spanish War veteran gets an additional amount under ORS 307.283.

• A surviving spouse or partner who hasn’t remarried may file a claim even though the spouse or partner wasn’t disabled or never filed a claim for the exemption if disabled.

  “You may file a claim for the exemption even though your spouse/partner wasn’t disabled or never filed a claim for the exemption if disabled.”

• The higher amount goes to a veteran’s surviving spouse or partner who hasn’t entered into a new marriage or partnership and the veteran died due to service-connected injury or illness, or the veteran received at least one year of the maximum exemption.

  “Be a veteran’s surviving spouse/partner who hasn’t entered into a new marriage or partnership and the veteran died due to service-connected injury or illness, or the veteran received at least one year of the maximum exemption.”

• A surviving spouse may elect, at any time during the tax year, to continue the exemption without filing a new claim if the veteran died during the previous tax year, or if the home was acquired after March 1 but before July 1 and the veteran died within 30 days of the acquisition.

  “a surviving spouse may elect, at any time during the tax year, to continue the exemption under ORS 307.250 without filing a new claim if:”

• The surviving spouse of an honorably discharged Civil War or Spanish War veteran who hasn’t remarried is entitled to an additional exemption of $2,000 provided the spouse currently receives a pension and actually lives on the homestead property.

  “you’re entitled to an additional exemption of $2,000 provided you currently receive a pension and actually live on your homestead property.”

File Form 150-303-086 with the county assessor where the property is located, not with the state. Attach the DD-214 or other military document that shows honorable discharge and period of service, and the disability certificate. A VA or branch certificate must be dated within three years before the claim; a physician’s certificate must be updated every year. The exemption does not move to a new home, so buying a home means a new claim for that home.

The late certification rule (ORS 307.262) is for a veteran whose VA or branch certificate arrives after the rating exam. If the notice says the veteran has disabilities of 40 percent or more as of an earlier date, the veteran may obtain the exemption for each tax year following that date, but must file with the county assessor within six months of the date the federal agency notifies the veteran. The three-year limit below caps how far back that can reach: no exemption for a tax year more than three tax years before the year of the claim.

A veteran who files the required certificate after reaching age 65, or whose certificate shows a rating that is permanent under federal law, does not have to keep attaching it. The assessor, not this page, decides the claim.

• A veteran seeking the exemption under the late certification rule must file a claim with the county assessor within six months of the date the federal government agency notifies the veteran of the certified disability.

  “A veteran seeking to obtain an exemption under ORS 307.250 pursuant to this section must file a claim for exemption with the county assessor within six months of the date the federal government agency notifies the veteran of the certified disability.”

• This property tax exemption isn’t “automatic” and doesn’t transfer from one property to another property.

  “This property tax exemption isn’t “automatic” and doesn’t transfer from one property to another property.”

• Standard filing: file your claim, with attached documentation, on or before April 1 preceding the tax year for which you’re claiming the exemption.

  “Standard filing: File your claim, with attached documentation, on or before April 1 preceding the tax year for which you’re claiming the exemption.”

• If you acquire property after March 1 and before July 1, file your claim, with attached documentation, within 30 days after the date of acquisition.

  “If you acquire property after March 1 and before July 1, file your claim, with attached documentation, within 30 days after the date of acquisition.”

• You don’t have to file a claim every year unless a licensed physician certified the disabilities of 40 percent or more.

  “You don’t have to file a claim every year unless a licensed physician certified the disabilities of 40 percent or more.”

• However, you must file a new claim by April 1 if there are changes in ownership or use of your homestead property.

  “However, you must file a new claim by April 1 if there are changes in ownership or use of your homestead property.”

• Late filing: a qualified veteran certified disabled by a licensed physician may file no later than May 1 if the veteran received an exemption in the previous year and the county assessor notified the veteran that no new claim was filed for the current year. The publication adds a $10 fee for filing late.

  “Late filing: If you’re a qualified veteran who is certified disabled by a licensed physician, file your claim, with attached documentation, no later than May 1 if you received an exemption in the previous year and you’re notified by the county assessor that you didn’t file a new claim for the current year.”

• You may not claim an exemption for a tax year that’s more than three tax years prior to the tax year during which you file your claim, and the date of certified disability must precede the start of each tax year claimed.

  “You may not claim an exemption for a tax year that’s more than three tax years prior to the tax year during which you file your claim, and the date of certified disability must precede the start of each tax year claimed.”

The Oregon Department of Veterans’ Affairs describes a separate deferral program, in which the state pays the county and takes a lien on the home. It is not an exemption, and the taxes must be repaid. Its page also says active duty service members, including National Guard and Reserve members, may also qualify for a residential property tax exemption. That is a different statute from the veteran exemption: ORS 307.286 exempts up to $60,000 of the assessed value of the homestead of a resident who is serving in the Oregon National Guard, military reserve forces or the organized militia of another state, and is performing service under Title 10 or under the Emergency Management Assistance Compact for more than 178 consecutive days, if at least one of the days falls within the tax year. The amount rises 103 percent a year for tax years beginning on or after July 1, 2006, and this page does not compute the current-year figure. ORS 307.289 says the claim goes to the county assessor on or before August 1 following the end of the tax year. The Department of Revenue publication and ORS 307.250 name only veterans and surviving spouses, so ask your county assessor which exemption fits.

• There shall be exempt from taxation up to $60,000 of the assessed value of the homestead of a resident serving in the Oregon National Guard, reserve forces or organized militia of another state, on Title 10 or EMAC service for more than 178 consecutive days.

  “there shall be exempt from taxation up to $60,000 of the assessed value of the homestead of any resident of this state who is:”

• Each person qualifying for the ORS 307.286 exemption files a claim in writing with the county assessor on or before August 1 following the end of the tax year for which the exemption is claimed.

  “a claim in writing on or before August 1 following the end of the tax year for which the exemption is claimed.”

• Disabled veterans may qualify to “borrow” from the State of Oregon to pay property taxes to the county (the deferral program).

  “Disabled veterans may qualify to "borrow" from the State of Oregon to pay property taxes to the county.”

• All taxes plus interest and fees must be repaid.

  “All taxes plus interest and fees must be repaid.”

• Active duty service members, including National Guard and Reserve members, may also qualify for a residential property tax exemption, according to the state veterans department.

  “Active duty service members, including National Guard and Reserve members, may also qualify for a residential property tax exemption.”

Three 2025 bills would have changed the exemption: SB 387 and HB 3287 would have raised it, and SB 1094 would have replaced it with a credit and phased out the current exemption. SB 1094 shows “In House Committee” and no chapter number in the Legislative Information System capture of June 14, 2026, so it did not become law as of that capture. The Legislative Information System captures show SB 387 “In Senate Committee” (capture of June 8, 2026) and HB 3287 “In House Committee” (capture of February 9, 2026), and no enacted bill that changed ORS 307.250 was found. In the 2025 Edition of ORS chapter 307, captured by the Internet Archive on February 15, 2026, ORS 307.250 has no such change, so check the 2026 session laws and the new Department of Revenue publication each January for the next amounts.

• The measure summary says SB 1094 (2025) phases out both of the current partial exemption programs for such homesteads, with a property tax credit in their place.

  “Phases out both of the current partial exemption programs for such homesteads.”

• The measure summary says SB 387 grants higher property tax exemptions for the property of veterans with disabilities.

  “Grants higher property tax exemptions for the property of veterans with disabilities.”