1 Penalties on late taxes are reduced to 6%. 2  Provides that veterans with disabilities may qualify for property tax exemption (home or other property) ranging from $5,000 to $12,000 depending on the severity of the disability. Provides this property value exemption is effective on January 1 of the tax year regardless of the date the person qualifies and will not increase unless the homeowner makes improvements. 2  Provides a reduction of school tax ceilings on residence homesteads for people who are elderly or have disabilities.