Alexandria Tax Relief for Permanent and Total Disability

The city offers real estate tax relief and deferral for a resident who is 65 or older, or permanently and totally disabled, and who meets the income and asset tests. Disability can be certified by Social Security, VA, the Railroad Retirement Board, or two Virginia physicians. It is not a VA rating of 100% service-connected. A disabled veteran who does not qualify for the service-connected exemption can use this program. A veteran who already has that exemption does not need this one for the same home. The 2026 application uses 2025 household gross income. Income of $55,000 or less is full relief. Income from $55,001 to $72,000 is a 50% exemption. Income from $72,001 to $100,000 is a 25% exemption. An applicant with partial relief can defer the rest. Income from $100,001 to $120,000 can defer the full real estate tax, which is repaid with interest when the home is conveyed or the owner dies. Relieved tax is not repaid. Up to $10,000 of income of a relative who is not the spouse and who lives in the home can be excluded. Up to $10,000 of income of a totally and permanently disabled applicant, and of any other disabled owner who lives in the home, is excluded. The program page caps household net assets at $430,000, excluding the home and up to one acre. The applicant has to own and occupy the home. Relief can be prorated when the disability begins during the year. Applications are due April 15. A late application can be accepted until April 15 of the next year for a first-time applicant or for hardship such as hospitalization.