Oregon Veteran property tax exemption for disabled Veterans
Program figures verified July 2026, details change; confirm your scenario with us.
If you are an Oregon Veteran with a 40% or higher disability rating, Oregon exempts a fixed amount of your home's assessed value from property tax. This page explains the 2026-27 amounts, who qualifies, and how to apply.
What is the Oregon Veteran property tax exemption?
The Oregon Veteran property tax exemption reduces the assessed value of a qualifying Veteran's primary home before tax is calculated. For 2026-27 it exempts $32,512 of assessed value for a service-connected disability and $27,092 for a non-service-connected disability of 40% or more. You must be an Oregon resident, own and occupy the home, and file Oregon DOR Form 310-676 by April 1.
Do disabled veterans pay property taxes in Oregon?
Yes. Disabled veterans in Oregon still pay property taxes, the state has no full exemption at any rating. A 40%-or-higher disability instead earns a fixed assessed-value exemption of $32,512 (service-connected) or $27,092 otherwise for 2026-27. That reduces the taxable value of your primary home, usually saving a few hundred dollars a year rather than erasing the bill.
How Oregon's disabled-Veteran exemption works
Oregon's benefit is an assessed-value exemption: it reduces the taxable assessed value of your primary residence by a fixed dollar amount before the tax rate is applied, rather than paying a credit on your bill. The exemption amount is indexed up about 3% each year.
2026-27 amounts and who qualifies
- $32,512 of assessed value exempted for a service-connected disability.
- $27,092 for a non-service-connected disability of 40% or more.
You must have a 40% or higher disability certification, be an Oregon resident, and own and occupy the home. The exemption is a fixed amount at each tier; a higher rating above 40% does not increase it.
Surviving spouse
An unremarried surviving spouse or partner of a qualifying Veteran (or of a service member killed in service) continues the exemption.
How to apply
File with your county assessor by April 1 for the exemption to apply to that tax year, with your VA disability documentation (Oregon DOR Form 310-676).
What is the Oregon disabled veteran property tax exemption form? (Oregon Form 150-310-676)
The Oregon disabled veteran property tax exemption form is Oregon DOR Form 150-310-676, the Claim for Disabled Veteran or Surviving Spouse Property Tax Exemption. File it with your county assessor between January 1 and April 1, with your VA disability certification attached. Download the current form from the Oregon Department of Revenue, or request a copy from your county assessor's office.
How this fits with your VA loan
When you buy a home in Oregon with a VA loan, your lender estimates property tax as part of your monthly payment (the T in PITI). The exemption lowers your assessed value and therefore the tax portion of your payment, which can improve your debt-to-income ratio. We structure your pre-approval so the exemption is reflected accurately and you do not lose buying power.
The rule behind this
VA does not set a county loan limit for a Veteran with full entitlement; Public Law 116-23 removed them effective January 1, 2020. What VA does require is set out in 38 CFR § 36.4340, which covers underwriting standards, processing procedure and lender responsibility. VA Lender’s Handbook (Pamphlet 26-7), Chapter 4 carries the regional residual-income tables, and residual income is a standalone test rather than a footnote to debt-to-income, above 41% DTI the residual requirement rises 20% over the table minimum. Oregon’s Department of Veterans Affairs administers the state-level benefits that sit on top of the federal loan, and those are set by state law rather than by VA.
Common questions
Did Oregon raise the veteran property tax exemption to $60,000 in 2026?
No. Senate Bill 387, which would have raised the exemption to $60,000 for a 40%+ disability and created a new $150,000 exemption for a 100% rating, died in the Senate Finance and Revenue Committee on June 27, 2025, and was not enacted. The current 2026-27 amounts remain $32,512 (service-connected) and $27,092 (non-service-connected).
Do 100 percent disabled Veterans pay property taxes in Oregon?
Yes, this surprises people relocating from full-exemption states. Oregon has no full exemption at any rating: the benefit is a fixed slice of assessed value ($32,512 service-connected for 2026-27), which typically saves a few hundred dollars a year. A bill to expand it (SB 387) died in committee in 2025, so these are the current amounts. The bigger dollar win for a 100% Veteran buying in Oregon is usually the federal VA funding-fee exemption, often five figures on one transaction.
At what percentage of disability do you stop paying property taxes in Oregon?
At no percentage. Oregon never fully exempts the bill. From a 40% rating up, you get the fixed assessed-value exemption ($32,512 service-connected / $27,092 otherwise for 2026-27), and the amount doesn't grow with a higher rating. It's an honest-but-modest benefit; we build it into your escrow math along with the much larger funding-fee exemption.
Do I have to apply every year for the Oregon Veteran exemption?
Usually not. Once granted with a VA disability certification, it continues while you own and occupy the home, you refile if ownership or use changes. Veterans claiming the non-service-connected track with a physician's certification do recertify annually.
How does the Oregon disabled Veteran property tax exemption work?
Oregon exempts a fixed amount of your home's assessed value from property tax: $32,512 for a service-connected disability or $27,092 for a non-service-connected disability of 40% or more (2026-27; the non-service-connected track, claimed with a physician's certification, carries an income limit of 185% of federal poverty guidelines). You file Oregon DOR Form 310-676 with your county between January 1 and April 1.
How much is the disabled Veteran property tax exemption in Oregon?
For 2026-27 Oregon exempts $32,512 of assessed value for a service-connected disability and $27,092 for a non-service-connected disability of 40% or more. The amount is indexed up about 3% a year.
Do you need a 40% disability rating for the Oregon Veteran exemption?
Yes. Oregon requires a 40% or higher disability certification, plus Oregon residency and an owner-occupied home. A higher rating does not increase the fixed exemption amount.
Can a surviving spouse claim the Oregon Veteran property tax exemption?
Yes. An unremarried surviving spouse or partner of a qualifying Veteran continues the exemption. Spouses of service members killed in service also qualify.
When is the deadline to file for the Oregon exemption?
File by April 1 with your county assessor (Oregon DOR Form 310-676) for the exemption to apply to that tax year.
Authoritative source: the Oregon Department of Revenue property-tax exemptions.