Iowa SF2124 expands eligibility for the disabled veteran homestead tax credit to include veterans with certain disability ratings.

Iowa SF2124 amends the homestead tax credit eligibility to include veterans with a permanent service-connected disability rating of less than 100 percent but equal to or greater than 10 percent. The credit amount is based on the veteran's disability rating percentage. The bill also extends the credit to the estate of a deceased owner who is receiving federal dependency and indemnity compensation. The changes take effect upon enactment and apply retroactively to claims filed on or after January 1, 2026.

Iowa SF2124 expands eligibility for the disabled veteran homestead tax credit to include veterans with certain disability ratings.

Iowa SF2124 amends the homestead tax credit eligibility to include veterans with a permanent service-connected disability rating of less than 100 percent but equal to or greater than 10 percent. The credit amount is based on the veteran's disability rating percentage. The bill also extends the credit to the estate of a deceased owner who is receiving federal dependency and indemnity compensation. The changes take effect upon enactment and apply retroactively to claims filed on or after January 1, 2026.