Property Tax: Eligible veterans, spouses, and parents. To qualify, all veterans (and spouses* where applicable) must:
- be at least 10% disabled by the U.S. Department of Veterans Affairs
- be legal residents of Massachusetts
- be occupying the property as his/her domicile on July 1 in the year of application
- have lived in Massachusetts for at least six months prior to entering the service (spouses exempted) or
- have lived in Massachusetts for five consecutive years immediately prior to filing for a property tax exemption.
Motor Vehicle Tax:
Disabled veterans of World War I, World War II, Korea, or Vietnam who by reason of service in the U.S. armed forces have suffered the loss of, or permanent loss of the use of, one or both feet or one or both hands or the loss of sight in one eye or who have permanent impairment of vision of both eyes (see statute for details) and are certified by the U.S. Department of Veterans Affairs are eligible for motor vehicle excise exemption (applicable only to one motor vehicle owned and registered for personal, non-commercial use).
Sales Tax Exemption for Disabled Veterans:
Disabled veterans who by reason of service in the U.S. armed forces have suffered the loss of, or permanent loss of the use of, both legs or both arms or one leg and one arm are eligible for a motor vehicle sales tax exemption (applicable only to one motor vehicle owned and registered for personal, non-commercial use).
An annuity in the amount of $2000, which is payable biannually on August 1st and February 1st in two installments of $1000 each is available for certain veterans and their spouses, as well as Gold Star Parents. This benefit is provided by the Commonwealth of Massachusetts, through the Department of Veterans’ Services.
The Commonwealth of Massachusetts provides a bonus to veterans who were domiciled in Massachusetts immediately prior to entry in the armed forces. In case of the death of a veteran, the spouse and children, mother or father, brother or sister or other dependents of the deceased veteran (in that order) are eligible for a bonus.
- World War II Bonus
- Korean War Bonus
- Vietnam War Bonus
- Persian Gulf War Bonus
- Welcome Home Bonus
Transfers to a Disabled Person:
The sale or transfer of a motor vehicle to and for the use of any person who has suffered the loss or permanent loss of use of both legs, or both arms, or one leg and one arm is exempt from the sales and use tax. A vehicle owned jointly by a husband and wife may be treated as owned by either. For purposes of this exemption, loss of use means a loss of function of at least eighty percent (80%). This exemption applies to a single registered motor vehicle purchased for personal use (non-commercial use).
In order to claim this exemption, a properly completed and signed Form MVU-33, Affidavit in Support of a Claim for Exemption from Sales or Use Tax for a Motor Vehicle Transferred to a Disabled Person must be presented to the Registry of Motor Vehicles together with Form RMV-1, Application for Title and Registration . If the claim of exemption is based upon a loss of use, the affidavit must be signed by person’s physician. The affidavit must be on a form prescribed by the Commissioner.
If a motor vehicle or trailer is traded-in or exchanged on the purchase or transfer of another motor vehicle or trailer, the tax is computed as follows:
Sales by Massachusetts Dealers/Lessors:
If the sale is by a Massachusetts dealer or lessor in the regular course of business and the purchaser either previously paid a tax on the vehicle traded-in or is exempt from tax on the vehicle traded-in, the sales tax is computed on the sales price less the amount of the trade-in.