Relating to the exemption from ad valorem taxation of part of the appraised value of the residence homestead of a partially disabled veteran or the surviving spouse of such a veteran based on the disability rating of the veteran.

HB 202 creates a property tax exemption for partially disabled veterans and their surviving spouses in Texas. It allows veterans with a disability rating of 10% to 99% to exempt a percentage of their home’s appraised value equal to their disability rating (e.g., a 40% rating exempts 40% of the tax). Surviving spouses who haven’t remarried and continued living in the veteran’s homestead are eligible for the same exemption amount if the veteran qualified before death. The bill amends the Tax Code to implement this change, requiring documentation for eligibility and transferring the exemption amount if a surviving spouse moves to a new primary residence.