Virginia Disabled Veteran Benefits

Military-Friendliness Index

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State Index category breakdown
CategoryLevelSource
Property tax relief StrongFull ($0) exemption, but gated to 100%/P&T.Source
State income tax on military pay Top TierMilitary retirement/disability pay is fully exempt from state income tax.Source
Education benefits ModerateNo direct tuition benefit for the veteran, but a real dependent/child education benefit exists.Source
Employment / hiring preference ModerateVirginia's preference is a mandated 'consideration' framework at the local-government level (Va. Code §15.2-1509), a discretionary allowance for private employers (§40.1-27.2), and a less-clearly-documented 'preferred qualification' practice at the state level. No dedicated active-placement or support program exists at any of these levels.Source
Vehicle & recreation ModerateDV plate + park-pass sub-scores averaged (1 / 3).Source
Veterans homes & health access StrongVirginia operates four distinct, sizeable facilities, with bed counts published for three of the four; eligibility and cost-of-care rules vary, so check directly with the Department of Veterans Services.Source

If you are a disabled veteran living in Virginia, or thinking about moving here, this page puts every state-level benefit tied to your VA (U.S. Department of Veterans Affairs) disability rating in one place: the full property tax exemption, state income tax breaks, vehicle tax and plate perks, parks and hunting/fishing, education for your family, state care centers, hiring preference, and burial. Every figure, deadline, and form name below comes from an official Virginia (.gov) or federal source, and I link that source so you can check it yourself. Where the state's own pages leave a number unsettled, I tell you to confirm it rather than guess.

Plain-language promise: I keep the how-to steps here so you can act. The only thing I route out is filing or increasing a VA claim, because that is free claims work best handled by an accredited Veterans Service Officer (VSO), never a paid company. In Virginia the state itself staffs free accredited VSOs through the Department of Veterans Services (DVS).

Military retirement pay — the Military Benefits Subtraction. Virginia lets qualifying veterans (and surviving spouses receiving Survivor Benefit Plan payments) subtract military retirement income from state taxable income. Per Virginia Tax's own guidance, the subtraction is capped at up to $40,000 of eligible military benefits for tax year 2025 and later returns, with no age requirement. Bills to remove the dollar cap entirely (HB2700 in the 2025 session, HB588 in the 2026 session) were introduced but did not pass — both died in the House Finance Committee — so the $40,000 cap remains the current rule as of this writing. Always confirm the current-year amount when you file.

Sources Virginia Tax military-benefits FAQ · Virginia Tax subtractions guidance

New for 2026 — the vehicle registration-fee waiver no longer requires DV plates. A 2026 law (House Bill 94, Acts of Assembly Chapter 39, signed by the Governor March 31, 2026) extends the existing annual registration-fee exemption for one vehicle owned by a qualifying disabled veteran (or unremarried surviving spouse) to a vehicle carrying the Department's standard passenger license plate, not just Disabled Veteran (DV) plates. This is now reflected in the current text of the statute. Details are in the Vehicles section below.

Sources Code of Virginia §46.2-739 (current text)

Property tax exemption

What it is: Virginia gives a full (100%) exemption from real property tax on the principal residence of the most seriously disabled veterans. Unlike New York, this is statewide and mandatory — it is written into the Virginia Constitution and state law, so every city and county must honor it. There is no income limit and no asset limit for this exemption. You apply locally, with your city or county Commissioner of the Revenue (or equivalent local tax office), not with the state.

The ways to qualify for the full exemption:

What the exemption covers:

Timing: there is no statewide filing deadline — you can even apply before you close on a home using a signed purchase agreement — and the Commissioner of the Revenue must process a complete application and mail an approval or denial within 20 business days.

Rated below 100%? Virginia's statewide full exemption is only for the 100%/P&T rating (or IU paid at the 100% rate). Below that, look at your locality's means-tested Tax Relief for the Elderly and Disabled program, which varies by city/county — for example, Fairfax County and the City of Alexandria each run their own version.

  1. Find your city or county Commissioner of the Revenue (search “[your city/county] VA Commissioner of the Revenue veteran real estate tax exemption”). They administer this, not the state.
  2. Get your VA award/benefit-summary letter showing a 100% permanent and total rating (or a rating paid at the 100% rate due to individual unemployability).
  3. Ask for the local application, submit your VA documentation, and — if you own through a trust or co-own the home — bring those documents too.
  4. Expect a written decision within 20 business days. Confirm the exemption posted by checking your next real estate tax bill.

Sources the exemption statute · the application-deadline statute · the 2011 Attorney General opinion · DVS tax-exemption guidance · Fairfax County relief · Alexandria relief

State income tax

What it is: Virginia does not tax your VA disability money, and it lets you subtract a capped amount of military retirement pay.

  1. Confirm your VA disability compensation never appears as income on your Virginia return (it should not be on your federal return either, and Virginia starts from your federal figures).
  2. If you receive military retirement pay or SBP, claim the Military Benefits Subtraction on the current-year return; check the current Virginia Tax instructions for the exact line and the current dollar limit.
  3. If a prior return taxed VA compensation or military retirement pay in error, fix it with a preparer familiar with military filings or by contacting Virginia Tax — this is a filing mechanic, not claims work.

Sources Virginia Tax military-benefits FAQ · Virginia Tax subtractions guidance

Vehicles, plates & tolls

What it is: Virginia offers three separate vehicle benefits for the most seriously disabled veterans — a one-time sales tax break at the Department of Motor Vehicles (DMV), an ongoing local personal property tax exemption, and Disabled Veteran plates with a registration-fee waiver. They are administered by different offices, so treat them as three separate applications.

  1. If you are 100% P&T and buying a vehicle, take your VA benefit-summary letter and Form SUT 3 to DMV at titling for the sales tax exemption; if you already paid, file Form SUT 2 for a refund.
  2. Contact your Commissioner of the Revenue to apply the local personal property tax exemption on that vehicle (effective 2021 forward).
  3. At DMV, apply for DV plates (free if P&T, blind, or loss/loss-of-use of a limb; otherwise the $10 plate fee) if you want them, and separately claim the registration-fee waiver at the counter before you pay — since 2026 it applies to a standard passenger plate too, so DV plates are no longer required to get it.
  4. If you need reserved-space parking, ask specifically for the disabled-parking plate and bring the required medical certification.

Sources DMV sales-tax exemption · the vehicle-tax statute · DMV disabled-veteran plates · the plates statute · DMV parking-placard page

Recreation: parks, hunting & fishing

What it is: a free state-parks passport for 100%-rated veterans, and steeply reduced lifetime hunting and fishing licenses that scale with your rating, through the Department of Conservation and Recreation (DCR) and the Department of Wildlife Resources (DWR).

  1. For the state-parks passport, complete Form DCR 199-036, attach VA proof of your 100% rating, and email both to [email protected].
  2. For the lifetime hunting/fishing license, get your VA rating letter, download the DWR application, confirm the current fee for your rating tier, and submit it to DWR.
  3. For the national-parks pass, bring VA proof of a service-connected disability to any pass-issuing federal site or order it online through the National Park Service.

Sources the parks-pass statute · Virginia State Parks passes · the license statute · DWR lifetime licenses · National Park Service passes

Education for you & your family

What it is: Virginia's flagship education benefit tied to your rating is for your spouse and children — the Virginia Military Survivors and Dependents Education Program (VMSDEP), which waives tuition and fees at Virginia public colleges. Your own tuition help is mainly federal (GI Bill / Chapter 31), so I point you to a VSO for that.

  1. Confirm your rating meets the VMSDEP threshold (90% or higher permanent, or totally and permanently disabled) and that your dependent meets the residency/relationship rules on the DVS VMSDEP page.
  2. Have your dependent apply through the VMSDEP portal so DVS can certify eligibility.
  3. Once certified, coordinate with the college's military/veteran services office so the waiver is applied against actual tuition and fees.

Sources DVS VMSDEP page · Code of Virginia §23.1-608

State Veterans' Homes & long-term care

What it is: Virginia operates state Veterans Care Centers offering skilled nursing, memory/dementia care, and short-term rehabilitation for Virginia veterans, coordinated through DVS Healthcare.

  1. Pick the nearest care center from the DVS homes directory.
  2. Call that center's admissions office, ask for the application and physician's-statement packet, and confirm your specific cost given your VA rating.
  3. Have your discharge document (DD Form 214) and VA rating letter ready to submit.

Sources DVS state veterans homes

State hiring & civil service

What it is: Virginia gives hiring preference to veterans — and extra weight to service-connected-disabled veterans — in local and state government, and offers a free service-disabled-veteran business designation that unlocks state contracting preferences.

  1. When you apply for a local or state government job, claim veteran status and note your service-connected disability, with your DD Form 214 and VA rating letter ready.
  2. For Commonwealth jobs, use the state veterans hiring resources and confirm the current preference details there.
  3. If you own or want to start a business, get the free service-disabled-veteran designation through SBSD to access state contracting preferences.

Sources the local-hiring statute · the private-employer statute · Code of Virginia §2.2-2903 (Commonwealth hiring preference) · DHRM Policy 2.10 guide (PDF) · state jobs portal · SBSD veteran certification · DVS business designation

Other: burial & veteran business

What it is: Virginia runs its own veterans cemeteries at no cost to eligible veterans and families, and some localities add smaller business-license breaks.

  1. For burial, contact DVS Veteran Cemeteries to confirm eligibility and reserve; keep the DD Form 214 with your records so family can act quickly.
  2. For a local business-license break, ask your Commissioner of the Revenue whether your city or county offers one for disabled veterans.

Sources DVS veteran cemeteries

Who to call

The Virginia Department of Veterans Services (DVS) is your single front door for the programs above and staffs free accredited Veterans Service Representatives statewide to help with a VA claim, a rating, or applying for these benefits.

  1. Anything tied to your actual VA rating — filing a new claim, appealing, or arguing for a higher percentage — goes to a free accredited VSO. Find one through DVS or at VA.gov. Never pay a private company for basic claims help.
  2. State-program questions (property tax, vehicle tax, plates, parks, education, care centers, hiring) go to the specific office linked in that section, or start at dvs.virginia.gov.

Frequently asked questions

Do disabled veterans get a property-tax break in Virginia?

At a 100% permanent and total service-connected rating, or if you are paid at the 100% rate due to Individual Unemployability (a 2011 Virginia Attorney General opinion treats this as qualifying, though the words "individual unemployability" are not in the statute itself - confirm with your Commissioner of the Revenue), your principal residence including up to one acre is exempt from all real property tax. There is no income or asset limit. Estimate your exact break with our property-tax calculator.

How do I claim the Virginia disabled-veteran property-tax exemption?

Apply through your county tax assessor's office, and check your state department of veterans affairs for the exact form and filing deadline. Start with the official rule: Virginia property-tax exemption.

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