The question arises as to whether a blind person or disabled veteran is entitled to the full amount of the particular exemption when legal title is shared with other owners. The answer to the question depends upon the specific manner in which the legal title is recorded. First, we need to consider the situation where the property is held as a "tenancy by the entireties." It is a legal relationship which exists only for a husband and wife, and they constitute a single entity instead of individual owners with an undivided interest. Although exemptions are to be strictly construed, they are not to be construed so strictly as to defeat the intention of the legislature. The General Assembly expressly intended to exempt 15,000 of the assessed value of a blind person's dwelling house and all taxes on the dwelling house of a 100% disabled veteran or surviving spouse. Accordingly, the full 15,000 exemption for blind persons and a complete exemption for disabled veterans and surviving spouses should be granted when the property is held as a tenancy by the entireties.
Second, the effect of the property being held in "joint tenancy" depends on whether the exemption sought is for a disabled veteran/surviving spouse or a blind person. The reason for the different treatment is the difference in the legislative intent. Section 7-208 of the Tax-Property Article grants a complete exemption from real property taxation where the property is owned and used as the dwelling house of a disabled veteran. Under the law of joint tenancy there is a single title to the property, each tenant owning all of the property and to interfere with the interest of one joint tenant in that property is thus to interfere with the interest of another joint tenant. Creditors of the other joint tenant who is not a disabled veteran cannot attach or affect the property. If one joint tenant is a disabled veteran then it would be an improper interference with the veteran's right to a complete exemption to attempt to prorate that exemption for the other joint tenant who is not a disabled veteran or may not be a relative of the veteran. Therefore, where a joint tenancy exists and one tenant is a disabled veteran using the property as his dwelling, it is appropriate to grant a complete exemption on the property regardless of the identity of the other joint tenants.
A different result occurs as to the amount of the disabled veteran's exemption where there is a tenancy in common. The tenancy in common is a concurrent estate freely alienable by the action of one of the tenants without the concurrence of the other tenant and is subject to the claim of either tenant's creditors. The disabled veteran's exemption for tenants in common applies only to the veteran's proportionate undivided interest in the property and not to the entire property as with tenancy by the entireties or joint tenancy. This result is acquired by the nature of the law of tenancy in common.
In cases of a joint tenancy or tenancy in common involving a blind person, the General Assembly intended an exemption of 15,000 of the assessed value of the dwelling house, but only to the extent of the blind person's interest in the property. [See Section 7-207(b) of the Tax-Property Article.] For example, if a blind joint tenant or tenant in common is one of two owners of a property whose assessed value is $26,000, this would mean that the blind person's one-half share of the property would have an assessment of $13,000. The 15,000 potential exemption should be applied to that $13,000 partial interest and the full $13,000 should be exempted, leaving the blind tenant with no tax burden and the sighted tenant with the full tax burden applicable to his share in the property. In sum, a blind joint tenant in common is entitled to have up to 15,000 of his or her proportional interest in the assessed value of his or her residence exempted from taxation.
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