Updated August 2026
Montana Veteran Benefits 2026
Big Sky Country — where the land itself is part of the thank-you.
Montana’s benefits are built for people who live outside: half-price camping, discounted licenses, and registration relief. Verified against Montana code and agencies, claim by claim.
Montana Highlights
- Partial military retirement tax exemption
- Property tax reduction for disabled veterans
- No state sales tax; registration fees waived on two vehicles for 100% disabled veterans, ex-POWs & 50%+ Purple Heart recipients
- Free-renewal DV plate with disabled parking privileges
- Half-price hunting & fishing licenses for disabled residents; Purple Heart holders fish & hunt game birds with a conservation license only
- 50% off state-park camping for resident veterans
- MUS tuition waiver for honorably discharged veterans with exhausted GI Bill benefits
- Montana Veterans Affairs Division assistance
Income Tax Treatment
Montana has a state income tax.
Military Retirement Pay: Montana taxes military retirement pay but, since 2024, lets retirees who newly move to the state or begin receiving retired pay as residents exempt the lesser of 50% of that pay or their Montana wage income for five consecutive years.
Active Duty Pay: Active duty pay earned outside Montana may be exempt.
VA Disability Compensation: VA disability compensation is tax-free at both the federal and state level in all 50 states. Montana does not tax VA disability payments.
Property Tax Exemption for Disabled Veterans in Montana
Type: Graduated by disability rating
The Montana Disabled Veteran (MDV) Assistance Program reduces the residential property tax RATE (not assessed value) for veterans rated 100% service-connected disabled. The reduction is income-tiered: 100%, 80%, 70%, or 50% off the normal tax rate, with the bracket depending on filing status (single, married/head of household, or unmarried surviving spouse). It is an income-tiered relief on the home and up to one acre of appurtenant land.
| VA disability rating / category | What you get |
|---|---|
| 100% service-connected disabled (single filer) | Tax-rate reduction: 100% if income $0-$48,152; 80% if $48,153-$52,968; 70% if $52,969-$57,781; 50% if $57,782-$62,598Tax year 2026 income brackets (inflation-adjusted annually). Above the top bracket = no benefit. |
| 100% service-connected disabled (married / head of household) | Tax-rate reduction: 100% if income $0-$57,781; 80% if $57,782-$62,598; 70% if $62,599-$67,412; 50% if $67,413-$72,229Tax year 2026 income brackets (inflation-adjusted annually). |
| Unmarried surviving spouse of qualifying veteran | Tax-rate reduction: 100% if income $0-$40,127; 80% if $40,128-$44,942; 70% if $44,943-$49,758; 50% if $49,759-$54,573Tax year 2026 income brackets. Veteran must have died on active duty, died from a service-related disability, or been rated 100% disabled at death. |
- Income limit: Yes — income-tiered. For TY2026 the cutoff (above which no benefit) is $62,598 (single), $72,229 (married/HoH), $54,573 (surviving spouse). Brackets are adjusted annually for inflation.
- Age requirement: None for the disabled-veteran track (there is a separate age-based Property Tax Assistance Program / PTAP, not this program).
- Surviving spouse: Yes — unmarried surviving spouse qualifies with separate (lower) income brackets if the veteran died on active duty, died of a service-connected disability, or was rated 100% disabled at death.
- Counts being paid at 100% via unemployability (TDIU)? Varies / not explicitly addressed — confirm with the assessor or state VA
Source: Mont. Code Ann. (MCA) 15-6-302, 15-6-311, 15-6-312; ARM 42.19.401, 42.19.402 and a second official source. Verified June 2026 against primary sources.
To apply, contact your county assessor's office or the Montana 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.
Vehicle & Registration Benefits
No vehicle sales tax in Montana: Montana has no state sales tax, so there is no motor-vehicle sales tax for anyone — veteran or not — to be exempted from. Montana’s vehicle benefit for disabled veterans is instead a full registration-fee waiver.
Registration fees waived on two vehicles: Under MCA 61-3-460, an eligible veteran is exempt from all motor vehicle registration fees on up to two vehicles not used for commercial purposes, plus the veterans’ cemetery fee for two sets of special veteran plates. Who qualifies: former prisoners of war; veterans currently rated 100% disabled or paid at the 100% disabled rate by the VA for a service-connected disability; and Purple Heart recipients rated 50% or more disabled (this last group still pays the veterans’ cemetery fee). Unremarried surviving spouses also qualify — including spouses of service members killed on active duty and of veterans who died of a service-connected injury or disability. Apply at your County Treasurer’s office with your official VA rating letter (plus a DD-214 showing the Purple Heart, if applicable); the MVD warns that the veteran designation on a driver’s license is not accepted as proof — see the MVD military & veteran license plates page.
Disabled Veteran (DV) plate: per the Montana MVD, veterans may be issued the “DV” plate — which also carries disabled parking privileges — if they were awarded the Purple Heart and are rated 50% or more disabled from a service-connected injury, or are rated 100% disabled (or paid at the 100% rate). The plate has a $12 production cost, no renewal fee, and no veterans’-cemetery fee for vehicle plates (the motorcycle version carries a $10 cemetery fee). Unlike other military plates, DV plates cannot be transferred to a surviving spouse.
Other military & veteran plates: Montana issues Active Duty, Reserve, and Veteran plates for each branch, plus Gold Star Family plates, under MCA 61-3-458. Bring proper ID and a DD-214 (or documents showing an other-than-dishonorable discharge) to the County Treasurer’s office and pay normal registration and special-plate fees — unless you qualify for the 61-3-460 waiver above, which the statute lets eligible veterans apply to any special veteran plate they otherwise qualify for.
Recreation: Parks, Hunting & Fishing
State parks — how access works: Montana residents who keep the optional $9 state parks fee on their vehicle registration get day-use access to Montana state parks at no further charge; residents who opt out pay the nonresident day-use rate ($8 per vehicle). The veteran-specific benefit is camping: Montana resident veterans get 50% off camping fees at state parks — the discount does not apply to electrical hookup fees — with proof by DD-214, VA ID card, or the veteran designation on a Montana driver’s license. Residents with a disability receive the same 50% camping discount. Source: FWP state parks fees & general information.
Half-price licenses for disabled residents: Under MCA 87-2-803, Montana residents certified as having a permanent and substantial disability may buy a Class A fishing license, upland game bird license, deer A tag, and elk tag at one-half cost. FWP’s license page lists disabled-resident pricing of an $8 conservation license, $2 AIS Prevention Pass, and $10.50 fishing license (versus $21 for a regular resident season fishing license). Note this program is certification-based, not VA-rating-based — a VA percentage alone is not the test; the disability must be certified as permanent and substantial under FWP’s rules.
Purple Heart recipients: Under MCA 87-2-816, Montana residents awarded the Purple Heart may fish and hunt game birds (except wild turkey) with only a conservation license and AIS prevention pass — no separate fishing or bird license required. Nonresident Purple Heart recipients get the same privilege during expeditions arranged by a nonprofit organization that uses hunting and fishing in disabled-veteran rehabilitation.
Combat-disabled veterans: Under MCA 87-2-817, a veteran or disabled service member whose combat-connected injury meets the mobility criteria of 87-2-803(9) (nonambulatory or substantially impaired mobility) may buy deer A and deer B tags and a special antelope license at one-half the license fee; these licenses do not count against the antelope licenses reserved for people with permanent disabilities.
Guard & reserve members back from deployment: Montana residents (National Guard, federal reserve, or other active duty) who served at least 2 months outside the state in a contingency operation are entitled to a free resident conservation license and Class A fishing license — or a Class AAA combination sports license on payment of the base hunting fee and AIS pass — starting the year of (or year after) their return and for 4 years after their election, with the entitlement resetting on each qualifying deployment (MCA 87-2-817(2)). A drawing license or permit forfeited because of such a deployment is guaranteed back without an additional fee (subsection (3)).
Education & Other Montana Benefits
MUS Honorably Discharged Veteran Tuition Waiver: the Montana University System waives in-state tuition (tuition only — no mandatory fees, and not flat-fee or self-supporting courses) for honorably discharged veterans who: are Montana residents for tuition purposes; received an honorable discharge (“Honorable Under General Conditions” is not accepted) for active-duty service other than training; and elected federal VA education benefits under Title 38 or Title 10 that have since expired or been exhausted. It is a last-dollar award applied after all federal, state, and private grants and scholarships, so individual amounts vary; the MUS fact sheet covers undergraduate and graduate students at MUS campuses. Apply through AwardMontana no later than the third week of the first semester — no retroactive awards. Sources: Board of Regents Policy 940.13 and the MUS veteran tuition waiver fact sheet; overview at MUS tuition waivers.
VA Healthcare in Montana
Montana 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.