There are a lot of hidden gems that fall through the cracks in regards to VA benefits. Some are so forgotten or just plain don’t want to be advertised about that even local officials or tax specialist forget they are part of state sponsored programs. The one I want to focus on is the personal property tax credits available to disabled Veterans in Missouri and Kansas.
What is property pax and how does it affect me? If you are a homeowner, at the end of the year you pay whats called property tax, ranging from $1,000 dollars to $8000 dollars, depending on the size of your home. Most won’t see it because a small portion is taken out of your mortgage every month and held in escrow by the bank to be paid at the end of the year. Lets say you owned a $200,000 home in Jackson County, the taxes would roughly be $2,774 annually. If you were to qualify for these state tax credits, they could potentially end up saving you up to $1,100 every year in Missouri.
Missouri and Kansas have vastly different qualifications. Below is more information on each states’ program, how to qualify, and what benefits you qualify for. Be sure to click on the links in each state to see all the other Veteran benefits they have to offer.
Program: Personal Property Tax Credit
- The Missouri Property Tax Credit claim gives credit to certain senior citizens and certain 100% disabled Veterans for a portion of the real estate taxes or rent paid for the year.
- If you are 100 percent disabled as a result of military service, you are not required to include your veteran payments and benefits when filling out the tax credit application. You must attach a letter from the Veterans Administration that states you are 100% disabled as a result of military service.
- The credit is for a maximum of $750 for renters and $1,100 for homeowners who own and occupied their home.
- The actual credit is based on the amount of real estate taxes or rent paid and total household income (taxable and nontaxable). If you rent from a facility that does not pay property taxes, you are not eligible for a Property Tax Credit.
Program: Homestead Act
- Starting in 2009, disabled veterans can claim a homestead refund. Veterans must be Kansas residents, honorably discharged, and certified to have 50 percent or more permanent disability sustained through military actions.
- Surviving spouses of deceased disabled veterans are also eligible to claim a Homestead refund and remain eligible until such time as they remarry.
- An original Veterans disability determination letter or Letter from a Regional VA that includes the disability date verifying the disability occurred prior to Jan. 1, 2009 and percentage of permanent disability must be filed with the Homestead Refund Claim (K-40H).
- Surviving spouse of active duty service members who died in the line of duty are also eligible to claim a Homestead refund and remain eligible until such time as they remarry.
Many times over, Veterans are either unaware of the benefits available to them or choose not to accept them. These programs were put in place to say “Thank You” for everything you have done for our Country. We need to increase awareness about the options Veterans have and reinforce the notion that these are not hand outs, but a deserving form of gratitude towards your sacrifice while protecting our freedom! You will never be forgotten!