How Much Do Veterans Actually Save on Property Taxes by State?

Veterans can save anywhere from $250 to over $10,000 per year on property taxes, depending on which state they live in and their disability rating. Some states offer a flat-dollar exemption that shaves a few hundred dollars off a tax bill, while others eliminate property taxes entirely for veterans with a 100% service-connected disability. The savings vary wildly from state to state because each one sets its own rules, exemption amounts, and qualification criteria.

For example, a veteran in Texas with a 100% disability rating could save the entire cost of property taxes on their home, which averages around $3,400 annually. A veteran in New Jersey with a 30% disability rating might save only $250 per year. That gap is why knowing your state's specific rules matters so much.

What Does a Veteran Property Tax Exemption Actually Mean?

A property tax exemption reduces the assessed value of your home that gets taxed. It does not change your tax rate. If your home is assessed at $250,000 and your state gives veterans a $10,000 exemption, you are taxed as if your home is worth $240,000. The actual dollar savings depend on your local mill rate.

Some states go further and offer a full exemption, meaning qualifying veterans pay no property tax at all. Others offer a percentage-based reduction. A few states leave the details up to individual counties or municipalities, which makes the picture even more complicated.

The key factors that determine your savings are:

• Your state of residence
• Your VA disability rating (0%, 10%, 30%, 50%, 70%, or 100%)
• Whether you are a wartime or peacetime veteran
• Your home's assessed value
• Your local property tax rate

State-by-State Veteran Property Tax Savings

Below is a breakdown of what veterans can expect in each state that offers a property tax exemption for veterans. Amounts are based on the most current published exemptions and may change with new legislation.

Alabama

100% disabled veterans are fully exempt from property taxes. Veterans with lower disability ratings do not receive a statewide exemption, though some counties may offer local benefits.

Alaska

Alaska offers a $150,000 assessed value exemption for veterans with a 50% or higher disability rating. On a home assessed at $300,000 with a mill rate of 15 mills, that could mean around $2,250 in annual savings.

Arizona

Arizona does not offer a broad veteran exemption, but 100% disabled veterans can apply for a property tax exemption through the Disabled Veteran program, which freezes the property's assessed value. Savings vary by county.

Arkansas

Disabled veterans with a 100% rating receive a full exemption on the first $343,000 of assessed value on their primary residence. That can save veterans $2,000 to $4,000+ per year depending on their local tax rate.

California

California's Disabled Veterans' Exemption ranges from $4,000 to $150,000 in assessed value reduction, depending on income and disability level. The higher exemption applies to veterans rated 100% disabled. On a home assessed at $500,000 with California's 1% base rate, a qualifying veteran could save up to $1,500 per year.

Colorado

100% disabled veterans receive a property tax exemption on 50% of the first $200,000 of actual value, which translates to roughly $1,000 to $2,000 in savings depending on local mill levies.

Connecticut

Connecticut offers a $1,500 exemption for veterans, with municipalities allowed to increase it up to $3,000. Disabled veterans may qualify for additional exemptions. Savings typically range from $200 to $500 per year.

Delaware

Veterans who are 100% disabled and were honorably discharged receive a full exemption from property taxes on their primary residence.

Florida

Florida provides a $5,000 disability exemption for veterans with a 10% or higher rating. Veterans who are 100% disabled or are wheelchair-bound due to service receive a full property tax exemption. That can save thousands of dollars each year, especially in high-tax counties like Miami-Dade.

Georgia

Georgia offers a $50,000 exemption from assessed value for veterans who are 100% disabled. With Georgia's average effective property tax rate around 0.87%, that equals roughly $435 in annual savings. Some counties offer additional exemptions.

Hawaii

Hawaii provides a $40,000 exemption for veterans over age 65 or those with a service-connected disability. In a state where median home values are high, this exemption can still only save around $280 to $400 given Hawaii's low effective tax rate.

Idaho

Veterans with a VA-rated disability receive an exemption on a portion of their property's assessed value. The base exemption starts at $1,310 for a 10% disability and scales up to the maximum benefit for those rated 100%. Savings are modest at $100 to $300 annually.

Illinois

Illinois offers several exemptions for veterans. The standard veterans exemption reduces assessed value by $5,000. Disabled veterans may qualify for additional reductions. A returning veteran can receive a one-time $5,000 reduction in assessed value. Depending on local tax rates, veterans typically save $200 to $700 per year.

You can also explore how partial veteran exemptions are calculated to understand how Illinois and similar states determine your benefit.

Indiana

Indiana offers a $24,960 deduction for veterans with a service-connected disability, or a full deduction for 100% disabled veterans on assessed values up to $200,000. Savings typically range from $500 to $2,000.

Iowa

Iowa provides a $4,000 assessed value exemption for veterans and their surviving spouses. Veterans with disabilities receive higher exemptions. Savings are generally $100 to $250 per year.

Kansas

Kansas does not offer a broad veteran property tax exemption at the state level, but some localities provide reductions. Disabled veterans may qualify through federal programs.

Kentucky

Veterans with a 100% service-connected disability receive a full exemption on up to $40,500 of assessed property value. That can save $300 to $600 per year depending on the local tax rate.

Louisiana

Louisiana fully exempts the first $75,000 of assessed home value for veterans with a 100% disability rating. With an average effective rate near 0.55%, that is roughly $413 in annual savings.

Maine

Maine offers a $6,000 exemption for veterans, which doubles to $12,000 for those who are 65 or older or who have a disability. Depending on local rates, savings range from $100 to $250.

Maryland

Maryland provides a full property tax exemption for veterans who are 100% permanently and totally disabled. Veterans with lower ratings may qualify for smaller exemptions through their county. The full exemption can save $2,000 to $5,000+ depending on the jurisdiction.

Massachusetts

Massachusetts allows cities and towns to offer property tax exemptions ranging from $400 to $2,500 for veterans. Disabled veterans may receive higher exemptions. Because this is set locally, you should check with your assessor's office for exact numbers.

Michigan

Veterans with a 100% service-connected disability are fully exempt from property taxes in Michigan. The state also offers smaller exemptions for other qualifying veterans. Full exemption can mean savings of $2,000 to $5,000+ annually.

Minnesota

Minnesota offers a market value exclusion for veterans with a disability. The exclusion ranges from $30,000 to $300,000 based on disability rating. At an average effective rate of 1.05%, veterans can save $315 to $3,150 per year.

Mississippi

Veterans who are 100% disabled receive a full exemption from ad valorem taxes on their primary residence in Mississippi.

Missouri

Missouri offers a property tax credit to qualifying veterans and their surviving spouses. The credit ranges from $750 to $1,100. While not a traditional exemption, it still offsets annual property tax costs.

Montana

Montana provides a reduction of up to $100,000 in assessed value for veterans with a 100% disability rating. Savings vary by county but can reach $800 to $1,500 per year.

Nebraska

Nebraska exempts the homestead of 100% permanently disabled veterans from property taxes entirely.

Nevada

Nevada offers a partial exemption that varies based on disability rating. Veterans rated 60% or higher can see meaningful reductions. Savings typically range from $300 to $1,200.

New Hampshire

New Hampshire provides a $2,000 tax credit for veterans who lost a limb or are totally disabled. Other veterans may receive $500 to $700 in exemptions depending on service details. Given New Hampshire's high property tax rates, even small exemptions can feel meaningful.

New Jersey

New Jersey offers a $250 annual deduction for wartime veterans. Disabled veterans can receive $250 to $3,000 depending on their disability rating. Given that New Jersey has some of the highest property taxes in the country, many veterans feel these exemptions are insufficient. Savings range from $250 to $3,000 per year.

New Mexico

New Mexico provides a $4,000 reduction in taxable value for veterans with a service-connected disability. Veterans rated 100% disabled are exempt from property taxes. Full exemption savings can reach $1,000 to $3,000+ annually.

New York

New York's Veterans' Exemption varies by municipality but typically provides a $12,000 reduction in assessed value for wartime veterans and up to $50,000 for disabled veterans. In areas with high tax rates like Westchester or Long Island, savings can reach $500 to $4,000+ per year.

If your exemption claim has been turned down, it helps to know how to appeal a denied veteran tax exemption claim before giving up on the benefit.

North Carolina

North Carolina excludes the first $45,000 of assessed value for totally disabled veterans. Savings average around $350 to $700 per year.

North Dakota

Veterans with a 50% or higher disability rating receive a tax credit on their primary residence. The credit can be up to $1,000 per year.

Ohio

Ohio offers a $50,000 property tax exemption for 100% disabled veterans. With an average effective rate around 1.53%, that equals roughly $765 in annual savings.

Oklahoma

Oklahoma fully exempts the homestead of veterans rated 100% disabled from property taxes. Savings vary but can easily reach $1,000 to $3,000 per year.

Oregon

Oregon does not offer a broad property tax exemption for veterans. However, veterans with a service-connected disability may qualify for a deferral program rather than an exemption.

Pennsylvania

Pennsylvania provides a $400 reduction in assessed value for qualifying veterans. Disabled veterans may receive additional benefits. Given the state's varied local tax rates, savings are typically $100 to $300 per year.

Rhode Island

Rhode Island offers property tax exemptions that range from $125 to $1,500 for veterans, with the highest exemptions going to disabled veterans. Savings are generally $100 to $500.

South Carolina

South Carolina exempts 100% totally disabled veterans from property taxes on their primary residence. The state also offers lower exemptions for other qualifying veterans. Full exemption savings can exceed $1,500 per year.

South Dakota

South Dakota provides a property tax reduction for disabled veterans based on disability level. Veterans rated 100% disabled receive the maximum benefit. You can read more about South Dakota's veteran property tax reduction eligibility for specific qualification details.

Tennessee

Tennessee offers a property tax relief program for 100% disabled veterans. The program reimburses a portion of property taxes paid. Savings can reach $1,000 to $2,500 depending on the county.

Texas

Texas has one of the most generous veteran property tax exemption programs in the country. Exemptions start at $5,000 for veterans with a 10% disability and scale up to a 100% total exemption for those rated 100% disabled. For a home valued at $300,000, a 100% disabled veteran could save around $6,000 to $8,000 per year, since Texas has no state income tax and relies heavily on property taxes.

Utah

Utah offers a property tax exemption for veterans with a 10% or higher disability. The exemption equals a percentage of the home's value, capped at about $275,000. Savings are typically $200 to $800 per year.

Vermont

Vermont provides up to $10,000 in property tax exemptions for veterans with disabilities. Given Vermont's relatively high tax rates, that can translate to $200 to $400 in savings.

Virginia

Virginia offers a complete property tax exemption for veterans who are 100% permanently and totally disabled. The exemption covers the primary residence and up to one acre of land. This can save $2,000 to $5,000+ depending on where you live.

Some veterans may also qualify for tax exemptions related to specially adapted housing, which adds another layer of potential savings.

Washington

Washington provides a property tax exemption for veterans with a combined income below a set threshold and a service-connected disability. The exemption can be significant for low-income disabled veterans.

West Virginia

West Virginia offers a $20,000 assessed value exemption for veterans with a 100% disability rating. Savings are typically $200 to $400 per year.

Wisconsin

Wisconsin provides a $5,000 property tax exemption for veterans who served during a qualifying wartime period. The benefit rises based on disability rating. Savings range from $100 to $500.

Wyoming

Wyoming does not have a broad veteran property tax exemption, but the state's low overall tax rates already keep property tax burdens relatively low. Some counties may offer local exemptions.

Which States Give Veterans the Biggest Property Tax Breaks?

If you are trying to decide where to buy a home, the states with the most generous veteran property tax exemptions include:

1. Texas Full exemption for 100% disabled veterans with no income tax offset
2. Florida Full exemption for 100% disabled veterans
3. Virginia Full exemption for 100% permanently and totally disabled veterans
4. Michigan Full exemption for 100% disabled veterans
5. Maryland Full exemption for 100% permanently and totally disabled veterans
6. Arkansas Full exemption on first $343,000 of assessed value for 100% disabled
7. Oklahoma Full homestead exemption for 100% disabled veterans
8. Minnesota Up to $300,000 exclusion for 100% disabled veterans

In states with full exemptions and high property tax rates, the savings are the most dramatic. A 100% disabled veteran owning a $350,000 home in a Texas city like Houston could save roughly $7,000 per year. That adds up to $140,000 over 20 years.

Do Veterans with a 0% Disability Rating Get Any Property Tax Savings?

Some states offer property tax benefits to veterans with a 0% disability rating, but the savings are usually small. New York, for example, provides an alternative veterans' exemption that applies even to veterans without a disability rating. Wisconsin and Illinois also offer modest exemptions based on service alone, not disability.

In most states, though, the real property tax savings kick in at a 10% or higher disability rating, and the benefits scale up significantly once you reach 50%, 70%, and especially 100%.

What About Veterans Who Own More Than One Property?

Almost every state limits the veteran property tax exemption to the veteran's primary residence (homestead). If you own a vacation home or rental property, you generally cannot apply the exemption to it. Some states also have residency requirements you must have lived in the state for a minimum number of years to qualify.

Common Mistakes Veterans Make with Property Tax Exemptions

Not applying at all. The exemption is not automatic in most states. You need to file an application with your county assessor or tax collector. Thousands of eligible veterans miss out every year simply because they never applied.

Applying in the wrong jurisdiction. If you move to a new county, you may need to re-file your exemption. Some states require annual renewal, while others make it permanent once approved.

Assuming your VA disability letter is enough. Most states want to see your VA rating letter, but they also require proof of residency, discharge status, and property ownership. Bring everything when you apply.

Missing appeal deadlines. If your claim is denied, there is usually a 30-to-90-day window to appeal. If you miss it, you may have to wait until the next tax year to reapply. Knowing how to appeal a denied exemption claim can save you from losing a full year of benefits.

Confusing federal and state benefits. Your VA disability compensation is federal. Property tax exemptions are entirely state-level. A change in your VA rating does not automatically update your property tax exemption you need to notify your local assessor yourself.

How Do You Apply for a Veteran Property Tax Exemption?

The process varies by state, but here is the general flow:

1. Check your state's specific exemption rules on the state Department of Revenue or county assessor website
2. Gather your documents: DD-214, VA disability rating letter, proof of homeownership, and state ID
3. Fill out the application form (many are available online)
4. Submit to your county assessor or tax collector before the filing deadline
5. Follow up to confirm approval and check your next tax bill

Some states also offer additional tax exemptions beyond property tax, like sales tax breaks, which can reduce your overall tax burden further.

What If Your State Is Not Listed Here?

A handful of states including Kansas and Oregon do not have statewide veteran property tax exemptions. Even in those states, local governments may offer their own programs. Call your county assessor and ask directly. You might be surprised by what is available at the local level.

Quick Checklist: Maximizing Your Veteran Property Tax Savings

• Verify your VA disability rating is up to date and request a new rating letter if needed
• Look up your specific state's exemption rules do not rely on general summaries or word of mouth
• File your application before the deadline (many states set it between January and April)
• Update your exemption if your disability rating changes a higher rating often means more savings
• Refile if you move to a new county or state
• Check for additional local exemptions that stack on top of the state benefit
• Keep copies of everything you submit, including confirmation receipts
• Appeal any denial promptly and gather supporting documents before the deadline
• Consult a Veterans Service Officer (VSO) for free help with your claim

Next step: Pull out your VA disability rating letter, check your state from the list above, and visit your county assessor's website today. If you have not filed yet, you may be leaving hundreds or thousands of dollars on the table this tax year.