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Mandatory $150,000 Exemption at 50%

The first $150,000 of assessed value is exempt at a 50% service-connected rating — mandatory in every municipality, in a state with no income tax and no statewide property tax.

Verified August 19, 2026

What this benefit is

The first $150,000 of assessed value is exempt at a 50% service-connected rating — mandatory in every municipality, in a state with no income tax and no statewide property tax.

What it's worth: The first $150,000 of assessed value, exempt

  • Municipalities may exempt more than $150,000 at their option; the mandatory floor is statewide.

Who is entitled to it

  • Your rating meets the gate.
  • You own and occupy the home.
  • Your home is in this state.

Not sure whether that describes you?

Answer a few questions about this benefit specifically — we only ask what this one actually depends on, and we stop as soon as we know.

How to claim it

  1. 1File with the municipal assessor with a current VA letter — the rating must be effective before January 1 of the tax year.
  2. 2Ask whether your municipality exempts beyond the mandatory $150,000; several do.
  3. 3A surviving spouse aged 60 or over may continue the exemption.
Form
Municipal exemption application
File with
Your municipal tax assessor
Documents you will need
va benefit summary letter
No renewal
Once granted it does not need renewing.
Worth knowingAlaska levies no state income tax and no statewide property tax — property tax is municipal, which is why this exemption is written as a mandate on municipalities.
Worth knowingThe rating letter must be effective before January 1 of the tax year — a mid-year rating waits for the next roll.

Sources

Why only one source type: The Office of Veterans Affairs page states the exemption and its administration; the statute hosts were not read directly.

This finder provides an informational match, not a government eligibility determination. The responsible agency decides your application.