Vermont Veteran Benefits
Complete guide to state benefits for Vermont veterans in 2026
Vermont Military Retirement Tax
Vermont taxes military retirement pay but offers property tax exemptions. VA disability is tax-free under federal law.
Vermont Veteran Benefits Summary: Vermont taxes military retirement but offers property tax exemptions for veterans ($10,000 for wartime, $40,000 for disabled), the Vermont Veterans' Home, and education benefits. Vermont has approximately 43,000 veterans.
State Income Tax
Military retirement: Fully taxed
VA disability: Tax-free (federal law)
Property Tax
- Wartime veteran: $10,000 exemption
- 50%+ disabled: $40,000 exemption
Education
- Tuition assistance: For National Guard
- In-state tuition: For all veterans
Employment
- Veterans' Preference: Points in hiring