Updated January 2026
Iowa Veteran Benefits 2026
Iowa offers several benefits for veterans and military retirees. Here is a summary of the key tax and property benefits available in IA for 2026.
Iowa Highlights
- Full military retirement pay tax exemption
- Full property tax exemption for 100% disabled
- Iowa Veterans Trust Fund for emergency assistance
- Free hunting and fishing licenses for disabled veterans
Income Tax Treatment
Iowa has a state income tax.
Military Retirement Pay: Iowa fully exempts military retirement pay from state income tax.
Active Duty Pay: Active duty pay is fully exempt from Iowa income tax.
VA Disability Compensation: VA disability compensation is tax-free at both the federal and state level in all 50 states. Iowa does not tax VA disability payments.
Property Tax Exemption for Veterans
100% disabled veterans receive full property tax exemption. Partial exemption for lower ratings.
Maximum Benefit: Full exemption for 100% disabled
To apply for property tax exemptions in Iowa, contact your county assessor's office or the Iowa Department of Veterans Affairs. You will typically need your VA disability rating letter and proof of residence.
VA Healthcare in Iowa
Iowa 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.