Updated January 2026
Connecticut Veteran Benefits 2026
Connecticut offers several benefits for veterans and military retirees. Here is a summary of the key tax and property benefits available in CT for 2026.
Connecticut Highlights
- Full military retirement pay tax exemption
- Property tax exemptions for disabled veterans
- Free admission to state parks and forests
- Veteran tax credits
Income Tax Treatment
Connecticut has a state income tax.
Military Retirement Pay: Connecticut fully exempts military retirement pay with no age or income conditions (its AGI thresholds apply only to other pension income).
Active Duty Pay: Active duty pay is fully exempt from Connecticut income tax.
VA Disability Compensation: VA disability compensation is tax-free at both the federal and state level in all 50 states. Connecticut does not tax VA disability payments.
Property Tax Exemption for Disabled Veterans in Connecticut
Type: Full exemption at 100%
Connecticut now fully exempts the primary residence of a veteran with a 100% Permanent & Total service-connected disability rating (effective Oct 1, 2024); a separate, older income/age-graduated exemption gives smaller dollar amounts to veterans rated 10% or higher.
| VA disability rating / category | What you get |
|---|---|
| 100% P&T (Permanent & Total) | FULL property-tax exemption on the veteran's owned, owner-occupied primary dwelling (or, if no dwelling owned, one motor vehicle kept in CT). Mandatory statewide exemption.CT resident; 100% P&T as determined by U.S. DVA; must annually apply to the town assessor by Jan 1 (assessment years on/after Oct 1, 2025). Cannot be combined with the §12-81(20) graduated exemption below. |
| 100% (any rating, income at/below limit) — older graduated exemption under CGS §12-81(20)/§12-81g | At least $10,500 of assessed-value exemption if income is $18,000 or less ($21,000 or less if married); at least $5,250 if income exceeds that threshold. Towns increase these amounts after revaluations, so actual amounts are often higher.Income-tested; dollar exemption (not full). Available to veterans rated at least 10%. Cannot be taken simultaneously with the full 100% P&T exemption. |
| 10%-99% (older graduated exemption) | A fixed dollar exemption that varies by rating, age, and income under the state's pre-existing veteran disability exemption schedule; additional amount available for certain severe injuries (e.g., loss of use of an arm or leg) under CGS §12-81(21).Income/age/rating-tested; amounts set in statute and adjusted by each town's revaluation factor. |
- Income limit: Full 100% P&T exemption: None. Older §12-81g graduated exemption: income-tested (e.g., $18,000 single / $21,000 married thresholds determine $10,500 vs $5,250 tiers).
- Age requirement: None for the 100% P&T exemption. The older graduated exemption's dollar amount can vary with age.
- Surviving spouse: For the 100% P&T exemption: if the veteran dies, the qualifying property of the unmarried surviving spouse (or the veteran's minor child) is exempt to the same extent the veteran was or would have been entitled. Municipalities may also opt (assessment years on/after Oct 1, 2025) to extend it to unmarried surviving spouses of veterans who died before the Oct 1, 2024 effective date.
- Counts being paid at 100% via unemployability (TDIU)? No — TDIU/unemployability does not qualify; a 100% schedular rating is required
Source: CGS §12-81(83) (100% P&T exemption); CGS §12-81(20), §12-81(21) & §12-81g (older graduated 10%+ veteran disability exemption); amended by PA 25-2 and PA 25-168 and a second official source. Verified June 2026 against primary sources.
To apply, contact your county assessor's office or the Connecticut 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 Connecticut
Connecticut has approximately 1 VA medical center 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.