Iowa Veteran Benefits
Complete guide to state benefits for Iowa veterans in 2026
Iowa Tax Advantage
Iowa fully exempts military retirement pay from state income tax! VA disability compensation is also tax-free.
Iowa Veteran Benefits Summary: Iowa offers full military retirement exemption, property tax exemptions for disabled veterans ($1,852 credit for 100% disabled), War Orphan Educational Aid, and the Iowa Veterans Home. Iowa has approximately 195,000 veterans.
State Income Tax
Military retirement: Fully exempt
VA disability: Tax-free (federal law)
Property Tax
- Homestead credit: $1,852 for 100% disabled
- Military Service: Tax exemption
Education Benefits
- War Orphan Aid: Tuition assistance
- In-state tuition: For all veterans
Employment Benefits
- Veterans' Preference: Points in hiring