Title 7-208 of the Tax-Property Article
provides an exemption for veterans who have
a disability which has been declared by
the Veterans Administration to be 100% disabled.
An interpretation of the law in a formal
Attorney General's Opinion further provides
that the exemption may also be granted where
there is a rating of less than 100% disability
provided the Veterans Administration finds
that the veteran is 100% unemployable. [See
61 Op. Att'y Gen. 836 (1976)]. The legislative
objective is to afford tax relief to those
veterans whose service connected disabilities
are so disabling so as to prevent them from
engaging in gainful employment.
The General Assembly intended to grant
a complete exemption from taxes for veterans
who must live with a total disability.
The exemption is not allowed as a death
benefit for veterans who died and did
not receive disability rating and benefits
prior to death.
A Veterans Administration rating of total
disability made on the Department's standardized
form or in a supplemental letter complies
with the statutory condition for tax exemption.
Local Supervisors of Assessments are instructed
to immediately approve such a veteran
as qualified for exemption if he meets
the other criteria of Section 7-208. These
criteria include an honorable discharge,
service connected disability not incurred
through misconduct, likelihood of disability
to continue, and residency in the State
of Maryland.
In cases where a surviving spouse is
applying for the exemption but did not
qualify before the veteran's death, the
spouse must make application within three
years of the veteran's death or lose all
rights to refunds for prior years. [See
Section 7-208(g)(2)].
When a veteran seeks to transfer an exemption
from one dwelling to a subsequently acquired
residence, the Supervisor has the option
of accepting the prior certification from
the Veterans Administration. The Supervisor
also has the alternative of processing
the necessary paperwork for granting the
exemption but requiring the veterans to
obtain a new certification when it appears
from the original application that the
disability may not have continued at the
same rate. Section 7-103 of the Tax-Property
Article states that the Department and
the Supervisor shall periodically review
the list of exempt property to make certain
of the continued entitlement to the exemption.
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