Kentucky Has One Rule Written for Veterans, and It Is About Paperwork
Program and regulatory figures verified October 10, 2026. Details change; confirm your scenario with us.
It is a small provision and it is the only one in Kentucky property-tax law aimed at veterans. It is also the one most likely to save you an exemption you already earned.
★★★ The rule, and then the exception
KRS 132.810(2)(d)1 sets the general requirement:
"Every person filing for the homestead exemption who is totally disabled and is less than sixty-five (65) years of age must apply for the homestead exemption on an annual basis, except as provided by subparagraph 2."
Subparagraph 2 is the exception, and the first thing it names is a veteran:
"a. A service-connected totally disabled veteran of the United States Armed Forces; or b. A totally and permanently disabled individual found disabled under: i. The applicable rules of the Social Security Administration; ii. The applicable rules of the Kentucky Retirement Systems; or iii. Any other provision of the Kentucky Revised Statutes; shall document the disability at the time of application for the homestead exemption and shall not be required to apply for the homestead exemption on an annual basis."
★★ Why a paperwork rule is worth a page
Because the common way to lose a tax exemption is not to be ruled ineligible. It is to forget to re-file.
★★ Picture a 41-year-old veteran with a total service-connected rating who qualifies in year one. Under the general rule they would re-apply in year two, year three, year four, and every year until 65, more than twenty filings, each one a chance to miss a December deadline during a move, a deployment, a hospital stay or a house sale. ★★★ The carve-out removes all of them. You document once.
★ That is also why so few people know about it: a rule whose benefit is that nothing happens does not generate reminders.
★★ What you still have to do
The exception is to the annual re-application. It is not an exception to everything else, and the statute is explicit that you "shall document the disability at the time of application". So:
- ★★ The first application still has to be made, to your county PVA, with the disability documented. Nothing is automatic. What applying involves
- ★★ You must still actually qualify, continuously. KRS 132.810(2)(c) requires that you received disability payments pursuant to the disability and maintain the classification for the entirety of the taxation period.
- ★ You must report a change. 132.810(4)(b) requires any change in disability classification to be reported to the PVA. The carve-out removes a filing, not a duty of candour.
- ★ If the classification ends, the exemption ends: and 132.810(4)(a) says it is not prorated.
★★ One thing we are flagging rather than resolving
Ky. Const. § 170 itself, as ratified in 1998, speaks of the owner having "filed with the appropriate local assessor by December 31 of the taxation period, on forms provided therefor, a signed statement indicating continuing disability… made under penalty of perjury."
★★ KRS 132.810(2)(d)2 then says the carve-out categories need not apply "on an annual basis", and the Department of Revenue's published guidance follows the statute. We are not going to tell you those two texts are obviously reconciled, because on their face they are not, and we are a mortgage lender rather than a constitutional authority.
★★ So: the statute and the administering agency agree that a service-connected totally disabled veteran does not re-apply annually. If you want certainty about what your own county expects of you each year, ask your PVA and ask in writing. That is a two-minute call that settles a twenty-year question. Why we flag conflicts instead of picking a side.
★ And at 65 it stops mattering
The annual requirement in 132.810(2)(d)1 applies to a totally disabled claimant under 65. Reach 65 and you are in the age limb anyway. ★ Remember only one exemption per residential unit, qualifying twice does not get you two. The one-per-unit rule.
★ Our lane
We are a lender. We do not file your application, certify your rating or decide your exemption, and we are not affiliated with the VA or any Kentucky agency. We raise this because it changes the escrowed property tax in the payment we underwrite, and because losing an exemption to a missed deadline is the kind of avoidable loss worth one page.
Mike Certo, NMLS #260555. (480) 296-6513 · mcerto@cfmtg.com.
Frequently asked questions
Does a disabled veteran have to re-apply for the Kentucky homestead exemption every year?
No. KRS 132.810(2)(d) requires every totally disabled claimant under sixty-five to apply annually, but excepts a service-connected totally disabled veteran of the United States Armed Forces, who shall document the disability at the time of application and shall not be required to apply on an annual basis.Who else is exempt from Kentucky's annual homestead re-application?
A person found totally and permanently disabled under the applicable rules of the Social Security Administration, under the rules of the Kentucky Retirement Systems, or under any other provision of the Kentucky Revised Statutes, on the same terms as a service-connected totally disabled veteran.If I do not re-apply annually, do I still have to do anything?
Yes. The first application must still be made to your county Property Valuation Administrator with the disability documented, you must continue to receive disability payments and maintain the classification for the entirety of each taxation period, and KRS 132.810(4)(b) requires you to report any change in disability classification to the PVA.Does section 170 of the Kentucky Constitution require an annual statement?
Its text refers to filing a signed statement indicating continuing disability with the local assessor by December 31 of the taxation period, made under penalty of perjury. KRS 132.810 then provides that the named categories, including service-connected totally disabled veterans, need not apply on an annual basis, and the Department of Revenue's guidance follows the statute. We publish both texts and recommend confirming with your county PVA in writing.Mike Certo · NMLS #260555 · Cornerstone First Mortgage NMLS #173855 · Equal Housing Lender. Educational content about VA home loan financing, not a loan commitment and not legal, tax or financial advice. Cornerstone First Mortgage is a private lender and is not affiliated with, endorsed by or acting on behalf of the U.S. Department of Veterans Affairs or any government agency. VA entitlement, funding-fee exemption and disability ratings are determined by the U.S. Department of Veterans Affairs. Kentucky's homestead exemption is established by section 170 of the Constitution of Kentucky and KRS 132.810 and is administered by county Property Valuation Administrators, not by Cornerstone; the amount is reset every two years by the Kentucky Department of Revenue and the tax effect depends on local rates. Housing market figures describe the twelve months to August 2026 and are not a forecast. Figures here carry the date we verified them against primary sources. All loans are subject to borrower, property and program qualification.