Massachusetts Veteran Benefits
Complete guide to state benefits for Massachusetts veterans in 2026
Massachusetts Tax Advantage
Massachusetts fully exempts military retirement pay from state income tax! VA disability compensation is also tax-free under federal law.
Massachusetts Veteran Benefits Summary: Massachusetts offers full military retirement exemption, property tax exemptions for veterans (Clause 22 exemptions), the Veterans' Bonus and Annuity Programs, and education benefits. Massachusetts has approximately 310,000 veterans.
State Income Tax
Military retirement: Fully exempt
VA disability: Tax-free (federal law)
Property Tax
- Clause 22: Various exemptions
- 100% disabled: Full exemption
- Gold Star parents: Exemptions
Annuity Programs
- 100% disabled: $2,000/year annuity
- Purple Heart: $2,000/year
- Gold Star: $2,000/year
Employment
- Veterans' Preference: Absolute preference
2026 BAH Rates for Massachusetts
| Installation | E-5 w/Dep |
|---|---|
| Boston / Hanscom | $3,177 |
| Cape Cod / Otis | $2,649 |