SB 407 — An Act amending Title 51 (Military Affairs) of the Pennsylvania Consolidated Statutes, in disabled veterans' real estate tax exemption, further providing for definitions and for duty of commission.

PRINTER'S NO.   362

                     THE GENERAL ASSEMBLY OF PENNSYLVANIA



                        SENATE BILL
                        No. 407
                                                  Session of
                                                    2025

     INTRODUCED BY TARTAGLIONE, STREET, BOSCOLA, COLLETT,
        SANTARSIERO, SCHWANK, COSTA, KANE AND MILLER, MARCH 10, 2025

     REFERRED TO VETERANS AFFAIRS AND EMERGENCY PREPAREDNESS,
        MARCH 10, 2025


                                       AN ACT
 1   Amending Title 51 (Military Affairs) of the Pennsylvania
 2      Consolidated Statutes, in disabled veterans' real estate tax
 3      exemption, further providing for definitions and for duty of
 4      commission.
 5      The General Assembly of the Commonwealth of Pennsylvania
 6   hereby enacts as follows:
 7      Section 1.    Section 8901 of Title 51 of the Pennsylvania
 8   Consolidated Statutes is amended by adding definitions to read:
 9   § 8901.    Definitions.
10      The following words and phrases when used in this chapter
11   shall have the meanings given to them in this section unless the
12   context clearly indicates otherwise:
13      "Annual income."       All income received by an applicant and the
14   applicant's spouse while residing in the residence during the
15   calendar year prior to the year for which the exemption is
16   claimed.
17      * * *
18      "Income."    As follows:
 1        (1)   All income from whatever source derived, including
 2    any of the following:
 3              (i)    Salaries, wages, bonuses, commissions, income
 4        from self-employment, alimony, support money, cash public
 5        assistance and relief.
 6              (ii)    The gross amount of any pensions or annuities,
 7        including 50% of railroad retirement benefits.
 8              (iii)    Fifty percent of all benefits received under
 9        42 U.S.C. Ch. 7 (relating to Social Security), except
10        Medicare benefits.
11              (iv)    All benefits received under State unemployment
12        insurance laws and veterans' disability payments.
13              (v)    All interest received from the Federal
14        Government or a state government or an instrumentality or
15        political subdivision of the Federal Government or a
16        state government.
17              (vi)    Realized capital gains and rentals.
18              (vii)    Workers' compensation.
19              (viii)    The gross amount of loss of time insurance
20        benefits, life insurance benefits and proceeds, except
21        for the first $5,000 of the total of death benefit
22        payments.
23              (ix)    Gifts of cash or property, other than transfers
24        by gift between members of a household, in excess of a
25        total value of $300.
26        (2)   The term does not include surplus food or other
27    relief in kind supplied by a governmental agency, property
28    tax or rent rebate or inflation dividend.
29    * * *
30    Section 2.      Section 8904(1) and (2) of Title 51 are amended

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 1   to read:
 2   § 8904.    Duty of commission.
 3      The commission shall:
 4             (1)   Fix uniform and equitable standards for determining
 5      the need for exemption from the payment of real estate taxes
 6      granted by this act. In fixing such uniform and equitable
 7      standards, [the commission shall apply a rebuttable
 8      presumption that] an applicant with annual income of $75,000
 9      or less [has a need for] shall be deemed to be in need of the
10      exemption. Beginning on January 1, 2009, and every two years
11      thereafter, the commission shall [adjust] increase the annual
12      income level qualifying for the [rebuttable presumption of
13      need] exemption for need by an amount equal to the [change]
14      average of any increase in the Consumer Price Index in the
15      preceding two years. The commission shall [publish] transmit
16      the adjusted annual income level qualifying for the
17      [rebuttable presumption of] exemption for need to the
18      Legislative Reference Bureau for publication as a notice in
19      the next available issue of the Pennsylvania Bulletin.
20             (2)   [After] For applicants with an annual income that
21      exceeds $75,000, after submission of proof of need by the
22      applicant for the exemption from payment of real estate
23      taxes, determine the need of the applicant.
24             * * *
25      Section 3.     This act shall take effect in 60 days.




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