Montana Veteran Benefits

Complete guide to state benefits for Montana veterans in 2026

Montana Military Retirement Tax

Montana taxes military retirement pay but offers property tax relief. VA disability compensation is tax-free under federal law.

Montana Veteran Benefits Summary: Montana taxes military retirement but offers property tax exemptions for disabled veterans ($100,000+ for 100% disabled), Montana Veterans' Homes, and hunting/fishing benefits. Montana has approximately 90,000 veterans.

State Income Tax

Military retirement: Fully taxed

VA disability: Tax-free (federal law)

Property Tax

  • 100% disabled: $100,000+ exemption
  • Disabled veteran: Partial exemptions

Recreation

  • Disabled veterans: Reduced hunting/fishing
  • State parks: Discounts

Employment

  • Veterans' Preference: Points in hiring

2026 BAH Rates for Montana

InstallationE-5 w/Dep
Malmstrom AFB$1,356