Updated January 2026
Arkansas Veteran Benefits 2026
Arkansas offers several benefits for veterans and military retirees. Here is a summary of the key tax and property benefits available in AR for 2026.
Arkansas Highlights
- Full military retirement pay tax exemption
- Full property tax exemption for 100% disabled veterans
- Free hunting and fishing licenses for disabled veterans
- State veterans cemetery
Income Tax Treatment
Arkansas has a state income tax.
Military Retirement Pay: Arkansas has fully exempted military retirement pay from state income tax since 2018.
Active Duty Pay: Active duty pay is fully exempt from Arkansas state income tax.
VA Disability Compensation: VA disability compensation is tax-free at both the federal and state level in all 50 states. Arkansas does not tax VA disability payments.
Property Tax Exemption for Disabled Veterans in Arkansas
Type: Full exemption at 100%
Arkansas fully exempts a qualifying disabled veteran's homestead and personal property from all state property taxes if the veteran has a VA-awarded special monthly compensation for loss/loss-of-use of a limb, total blindness, or a service-connected 100% total and permanent disability.
| VA disability rating / category | What you get |
|---|---|
| Service-connected 100% total and permanent disability (or VA special monthly compensation for loss/loss-of-use of a limb, or total blindness in one or both eyes) | Full exemption from all state property taxes on the homestead (principal residence plus up to 40 contiguous acres if not commercial) and on non-commercial tangible personal property.Must occupy the home; must be an Arkansas resident; must furnish a VA letter verifying the qualifying SMC or 100% total-and-permanent status. Rental property, special improvement assessments, city liens, sanitation, and land-only do not qualify. |
| Below 100% / not total-and-permanent (and no qualifying SMC) | Not eligible for the disabled-veteran exemption.Arkansas offers a separate general homestead property tax CREDIT (up to ~$500) and an assessment freeze to all homeowners, unrelated to disability rating. |
- Income limit: None.
- Age requirement: None.
- Surviving spouse: An unmarried surviving spouse retains the full exemption so long as they remain unmarried; the exemption is reinstated if a subsequent marriage ends. Minor dependent children also qualify during their minority.
- Counts being paid at 100% via unemployability (TDIU)? No — TDIU/unemployability does not qualify; a 100% schedular rating is required
Source: Arkansas Code 26-3-306 and a second official source. Verified June 2026 against primary sources.
To apply, contact your county assessor's office or the Arkansas Department of Veterans Affairs. You will typically need your VA disability rating letter (and often your DD‑214) and proof that the home is your primary residence.
Real estate vs. personal property: this benefit applies to real-estate (home/homestead) property tax. Personal-property taxes — such as the annual tax some states levy on vehicles — are separate and generally still apply, even at a 100% rating, unless your state specifically exempts them.
VA Healthcare in Arkansas
Arkansas has approximately 2 VA medical centers along with community-based outpatient clinics (CBOCs) throughout the state. Veterans enrolled in VA healthcare can receive care at any VA facility nationwide.
To find the nearest VA facility, visit VA.gov Facility Locator.