Updated August 2026
Nebraska Veteran Benefits 2026
The Cornhusker State — home of Offutt and SAC’s legacy — delivers for its veterans.
Nebraska just expanded its vehicle-tax exemption and already gives 50%-rated veterans lifetime parks and licenses. Every claim below is verified against Nebraska statutes and agencies.
Nebraska Highlights
- Full military retirement pay tax exemption
- Homestead property tax exemptions
- Motor vehicle tax & fee exemption on one vehicle at any service-connected rating (new Jan. 1, 2026)
- No-fee Disabled Veteran plates at a 10%+ rating
- Free lifetime park entry and hunt/fish permits for 50%+ disabled veterans
- Waiver of Tuition for dependents of 100% P&T or deceased veterans
- Nebraska Veterans Aid Fund
Income Tax Treatment
Nebraska has a state income tax.
Military Retirement Pay: Nebraska has fully exempted military retirement pay from state income tax since tax year 2022.
Active Duty Pay: Active duty pay is exempt from Nebraska income tax.
VA Disability Compensation: VA disability compensation is tax-free at both the federal and state level in all 50 states. Nebraska does not tax VA disability payments.
Property Tax Exemption for Disabled Veterans in Nebraska
Type: Full exemption at 100%
Nebraska's homestead exemption Category 4V gives a 100% exemption of the homestead's taxable value (home plus up to one acre) to veterans with a 100% service-connected PERMANENT disability OR a 100% Individual Unemployability (IU) rating. For Category 4V there are NO income limits and NO home-value limits. (Lower categories 1-3, 6 for seniors/disabled by other causes use income- and value-limited sliding scales — those are distinct.)
| VA disability rating / category | What you get |
|---|---|
| 100% service-connected PERMANENT disability (Category 4V) | 100% exemption of homestead taxable valueNo income or home-value limit. VA certification required when first applying and in years ending in 0 or 5. Effective date of rating must be on or before Jan 1 of application year. |
| 100% Individual Unemployability (IU) rating, even with <100% schedular (Category 4V) | 100% exemption of homestead taxable valueTreated the same as 100% permanent disability; IU must be certified on or before Jan 1 of the application year. No income/value limit. |
| Home substantially contributed to by the VA (Category 5) | 100% exemptionVA-assisted/adapted home; no income or value limit; covers surviving spouses. |
| 100% service-connected TEMPORARY disability (Category 7) | 100% exemptionTemporary (non-permanent) 100% rating; no income/value limit; covers surviving spouses. |
- Income limit: None for veteran categories 4V, 4S, 5, 7.
- Age requirement: None for the disabled-veteran categories.
- Surviving spouse: Yes. If a 4V veteran dies during the 5-year exemption period, the surviving spouse keeps the exemption for the remainder of that period, then must apply annually under Category 4S. Surviving spouses are also covered under categories 5 and 7. No income/value limit for 4S.
- Counts being paid at 100% via unemployability (TDIU)? Yes — being paid at the 100% rate via Individual Unemployability (TDIU) qualifies
Source: Neb. Rev. Stat. 77-3506 (and 77-3501 et seq.) and a second official source. Verified June 2026 against primary sources.
To apply, contact your county assessor's office or the Nebraska 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
Motor vehicle tax & fee exemption — any service-connected disability (effective Jan. 1, 2026): Under LB650 (2025), codified at Neb. Rev. Stat. 60-3,185, a disabled or blind veteran is exempt from the annual motor vehicle tax and motor vehicle fee on one vehicle owned and used for personal transportation. “Disabled veteran” uses the federal definition in 5 U.S.C. 2108: active-duty service, separation under honorable conditions, and either an established service-connected disability — any rating qualifies, including 0% — or receipt of VA compensation, disability retirement benefits, or pension. The exemption does not cover plate fees, sales tax, or wheel tax. To claim it, first enroll in the NDVA Military & Veterans’ Registry (with a VA benefit summary), then request the exemption from your county treasurer within 30 days of purchase or, on a renewal, before the end of your expiration month; it then applies automatically each year and can be moved to a different vehicle when you sell or during the expiration month. Details: NDVA motor vehicle tax & fee exemption page.
Disabled Veteran license plates — 10%+ rating: Veterans discharged with an honorable or general (under honorable conditions) characterization who are 10% or more service-connected disabled and enrolled in the Nebraska Veteran’s Registry can get Disabled Veteran plates in the standard alphanumeric format at no plate fee (normal registration fees and taxes still apply); a personalized-message version costs $40 at issuance and $40 per yearly renewal, with 75% going to the Veteran Cemetery Cash Fund. Plates fit cars, motorcycles, trailers, semitrailers, and cabin trailers, and there is no limit on how many vehicles you plate. Note: Disabled Veteran plates do not authorize handicapped parking — that requires the separate Disabled Veteran Handicap plate (registry enrollment plus medical certification) or a handicapped permit.
Other military & veteran plates: The DMV’s military plate family also includes Purple Heart plates (award recipients; alphanumeric free, message $40/yr), Gold Star Family plates (surviving spouse — whether remarried or not — ancestors including stepparents, descendants including stepchildren, foster parents, and siblings of a member who died in good standing on active duty; numeric free, message $40/yr), and Military Honor plates for anyone who served or is serving in any branch, Guard, or reserve (or holds a qualifying campaign medal) — numeric $5/yr with 100% of the fee to the Veteran Cemetery Cash Fund, message $40/yr. Ex-Prisoner of War and Pearl Harbor Survivor plates are also issued. Each requires enrollment in the NDVA registry first.
Recreation: Parks, Hunting & Fishing
Free lifetime state park entry permit — 50%+ disabled: Nebraska residents rated 50% or more service-connected disabled — or 100% disabled from non-service causes and receiving a VA pension — qualify for one perpetual Disabled Veteran’s Lifetime Annual Park Entry Permit at no fee, good at more than 70 state park areas. It never needs renewal while you remain eligible and a Nebraska resident. Apply by mail through the Department of Veterans Affairs for certification (Game & Parks service centers can print the application); note that lost or stolen park permits are not replaced. Source: Nebraska Game & Parks veterans & military permits.
Free lifetime hunt/fish permit — same 50%+ eligibility: The same veterans qualify for a free Disabled Veteran’s Lifetime Annual Small Game Hunt/Fish/Fur Harvest Permit that includes all state stamps. Under Neb. Rev. Stat. 37-420, an eligible resident veteran discharged with an honorable or general (under honorable conditions) characterization is issued a combination fishing, fur-harvesting, and hunting permit plus the habitat stamp, aquatic habitat stamp, and Nebraska migratory waterfowl stamp without any fee; the permit is perpetual and becomes void only if eligibility ends.
Veterans 64+ and returning deployers — $5 permits: Resident veterans age 64 and older can buy a Veteran’s Annual Small Game Hunt/Fish/Fur Harvest Permit (all state stamps included) for $5, renewable annually for $5 — show a DD-214 or the veteran indicator on your Nebraska driver’s license the first time. A Nebraska resident deployed out of state with the U.S. military within the last 12 months can get the same $5 annual permit on a one-time basis after returning, with deployment paperwork.
Special hunts & active duty: Honorably discharged resident veterans can receive a free one-day hunt permit, Habitat Stamp, and Nebraska Migratory Waterfowl Stamp to hunt on Veterans Day (Nov. 11) each year. Since 2024, veterans and active-duty military also get two bonus waterfowl hunting days run alongside the youth waterfowl days — and no park entry permit is required at state park properties during that special season. Active-duty personnel stationed at a Nebraska base (including Guard members on active status) can buy a $5 annual park entry permit, limited to two permits per year.
Education & Other Nebraska Benefits
Waiver of Tuition for dependents (Neb. Rev. Stat. 80-411): Nebraska waives all tuition, plus all fees remaining after federal grants and state scholarships are applied, at every University of Nebraska campus (UNK, UNL, UNO, UNMC, and the Nebraska College of Technical Agriculture), the three state colleges (Chadron, Peru, Wayne), and all six community colleges for eligible spouses and children of veterans who: died of a service-connected disability; died after discharge from an injury or illness sustained in service; are missing in action or a prisoner of war; or are rated 100% permanently and totally disabled as a result of military service. Children qualify until age 26 (31 with an active-duty extension), and the student must be a Nebraska resident. The waiver covers one community college degree, diploma, or certificate plus one bachelor’s degree — it is not available for master’s, doctoral, or professional degrees. Apply through the NDVA Waiver of Tuition program before the term starts; statute: Neb. Rev. Stat. 80-411.
Nebraska Veterans Aid Fund (NVA): Established in 1921, this temporary emergency aid fund helps veterans (honorable or general under-honorable-conditions discharge), their spouses, and dependents when an emergency disrupts their normal method of living and other resources are not immediately available. Aid is limited to food, fuel, shelter, transportation, daycare, wearing apparel, funeral, and medical/surgical items. Apply through your county veterans service officer, a recognized veterans service organization’s post service officer, or — since September 3, 2025 — an NDVA State Service Officer.
VA Healthcare in Nebraska
Nebraska 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.