Updated January 2026
New Mexico Veteran Benefits 2026
New Mexico offers several benefits for veterans and military retirees. Here is a summary of the key tax and property benefits available in NM for 2026.
New Mexico Highlights
- $30,000 military retirement exemption
- Full property tax exemption for 100% disabled
- Free hunting and fishing licenses for disabled veterans
- New Mexico Veterans Memorial
Income Tax Treatment
New Mexico has a state income tax.
Military Retirement Pay: New Mexico exempts up to $30,000 of military retirement pay from state income tax.
Active Duty Pay: Active duty pay may be partially exempt.
VA Disability Compensation: VA disability compensation is tax-free at both the federal and state level in all 50 states. New Mexico does not tax VA disability payments.
Property Tax Exemption for Veterans
100% disabled veterans receive full property tax exemption on primary residence.
Maximum Benefit: Full exemption for 100% disabled
To apply for property tax exemptions in New Mexico, contact your county assessor's office or the New Mexico Department of Veterans Affairs. You will typically need your VA disability rating letter and proof of residence.
VA Healthcare in New Mexico
New Mexico 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.