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Bill

Bill

SB 126

increase the amount of value exempt from property taxes under a tax relief program for disabled veterans and surviving spouses.

2026 Regular Session Introduced by Joy Hohn and 1 co-sponsor

SB 126 expands property tax exemptions for disabled veterans and surviving spouses in South Dakota, reducing their annual tax liability at the cost of state and local revenue.

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Bill Summary · SB 126

Legislative bill overview

SB 126 increases the amount of property value that disabled veterans and their surviving spouses can exclude from property tax assessments in South Dakota. The bill modifies an existing tax relief program to provide greater financial benefit to these groups. The specific exemption amount increase is not detailed in the bill title alone.

Why is this important

Property taxes represent a significant ongoing expense for homeowners, particularly impacting fixed-income veterans and surviving spouses. Increasing the exemption amount directly reduces annual tax obligations for these populations, improving household finances and recognizing service-related sacrifice. This affects both state and local tax revenue and the financial security of eligible households.

Potential points of contention

  • Revenue impact: Increasing exemptions reduces property tax revenue for counties and school districts, potentially requiring budget adjustments or tax increases elsewhere
  • Program eligibility criteria: Questions may arise about how "disabled" is defined, what disability rating threshold applies, and whether all veterans or only service-connected disabled veterans qualify
  • Surviving spouse provisions: Debate over whether surviving spouses should receive the same benefits as disabled veterans themselves, and for how long after a veteran's death

Compiled from official sources — confirm details with the bill’s official record.

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