Updated August 2026

Oregon Veteran Benefits 2026

No sales tax, big timber, and a state homeloan just for veterans — that’s the Beaver State.

Oregon runs its own veteran home-loan program and opens its parks to any service-connected rating. Verified against Oregon statutes and agencies, claim by claim.

Oregon Highlights

Partial property tax exemption for 40%+ disabled veterans
No sales tax; $15 one-time permanent registration with Disabled Veteran plates
Free 10-year state parks pass (day-use + camping) at any service-connected disability rating
Free hunting, angling & shellfish license for 25%+ disabled resident veterans
ORVET state home loan — separate from the federal VA loan
Oregon Veterans Homes & Veterans Emergency Financial Assistance

Wizard Island reflected in the deep blue water of Crater Lake, Oregon — Crater Lake National Park with Wizard Island. Vulturesong, Wikimedia Commons

Income Tax Treatment

Oregon has a state income tax.

Military Retirement Pay: Oregon taxes military retirement pay except the portion attributable to service performed before October 1, 1991.

Active Duty Pay: Active duty pay earned outside Oregon may be exempt for non-residents.

VA Disability Compensation: VA disability compensation is tax-free at both the federal and state level in all 50 states. Oregon does not tax VA disability payments.

Property Tax Exemption for Disabled Veterans in Oregon

Type: Assessed-value exclusion

Oregon exempts a fixed dollar amount of a disabled veteran's (or surviving spouse's) homestead ASSESSED VALUE from property tax. It is a partial valuation exclusion, NOT a full exemption. The amount is indexed upward 3% (x103%) each year. Two tiers exist based on whether the 40%+ disability is service-connected. For the 2025-26 tax year the amounts are $26,303 (basic 40%+ disability) and $31,565 (service-connected disability).

VA disability rating / category	What you get
Disability of 40% or more (not service-connected) OR a non-service-connected disabled veteran / surviving spouse	$26,303 of assessed value exempted (2025-26 tax year). Rises ~3% annually (e.g., ~$27,092 for 2026-27).Veteran officially certified at 40%+ disability, or surviving spouse of a qualifying veteran. File claim with county assessor; filing window generally Jan 1 - Apr 1 for the tax year beginning July 1.
Service-connected disability of 40% or more	$31,565 of assessed value exempted (2025-26 tax year). Rises ~3% annually (e.g., ~$32,512 for 2026-27).Service-connected disability certified by the VA or armed forces at 40%+. File claim with county assessor.

Income limit: None (Oregon repealed the prior income test years ago; current disabled-veteran exemption has no income limit).
Age requirement: None.
Surviving spouse: Surviving spouse or registered domestic partner of a qualifying veteran may continue/claim the exemption by notifying the assessor; eligibility continues while unremarried and the homestead is maintained.
Counts being paid at 100% via unemployability (TDIU)? Varies / not explicitly addressed — confirm with the assessor or state VA

Recent change: Annual 3% indexation continues. SB 387 (2025 session) proposed major increases (up to $150,000 for 100% disability) effective for tax years on/after July 1, 2026, but as of late June 2026 it was NOT enacted in the searched sources; do not rely on it.

Source: ORS 307.250; ORS 307.270 (property to which exemption applies) and a second official source. Verified June 2026 against primary sources.

To apply, contact your county assessor's office or the Oregon 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.

Check your exemption by rating & state →

Vehicle & Registration Benefits

No vehicle sales tax — for anyone: Oregon has no general sales or use tax, so no veteran (or anyone else) pays sales tax when buying a vehicle — confirmed by the Oregon Department of Revenue. The one narrow exception is the vehicle privilege/use tax: one-half of 1 percent (0.5%) of the retail price of a new vehicle (7,500 miles or less, never before titled or registered in Oregon) bought from a dealer. Oregon dealers pay the privilege tax on in-state sales and may pass it through to the buyer; buyers owe the equivalent use tax on new vehicles purchased from out-of-state dealers — details on the DOR vehicle privilege and use taxes page. There is no veteran-specific exemption because there is no sales tax to exempt.

Disabled Veteran plates — $15 one-time, never-renew registration: Under ORS 805.100, a veteran with a service-connected disability who was discharged or released under honorable conditions after at least 90 consecutive days of service (or discharged earlier because of a service-connected injury or illness) can register a vehicle with Disabled Veteran plates. The statute sets no minimum rating percentage — you present a letter from the U.S. Department of Veterans Affairs (or your branch of service) certifying that you are a disabled veteran. Registration under this section is permanent: a one-time $15 registration fee under ORS 803.420(9)(b), then no renewals and no renewal fees, ever. Compare that with standard Oregon passenger registration of $126–$216 per two-year period depending on MPG rating (DMV vehicle fees). Commercial vehicles cannot be registered this way, and a household may register as many vehicles as it has qualifying disabled veterans. Apply with DMV Form 735-6736.

Other military & veteran plates: Oregon DMV also issues veteran recognition plates with branch-of-service and campaign or service-medal insignia (certify eligibility with DMV Form 735-7307), plus Gold Star Family and Purple Heart plates — ODVA summarizes the lineup on its license plates page. Former prisoners of war get the same $15 one-time, no-renewal registration under ORS 805.110 (one vehicle per household; no commercial vehicles; 10,000 lbs. loaded weight limit). Regular plate and special-background fees still apply to the recognition plates — see the DMV license plates page.

Recreation: Parks, Hunting & Fishing

Free state park camping & day-use — any disability rating: Oregon-resident veterans with any level of service-connected disability qualify for the Oregon State Parks Special Access Pass: free parking at parks that charge a day-use fee, plus free camping in RV sites, tent campsites, and standard horse camp sites. The camping benefit covers four consecutive nights at a single park, or four nights total per calendar month across parks; extra nights are billed at the standard rate. It does not cover yurts, cabins, the $10 reservation fee, additional-vehicle charges, or dump-station fees, and the pass holder must occupy the campsite. The pass is valid for 10 years and renewable starting six months before expiration. Apply online with a VA letter documenting your service-connected disability plus your Oregon driver’s license or ID.

Active duty on leave: Service members who camp at Oregon State Parks while on official leave can have their camping fees refunded — pay up front, then submit the receipt and a commanding officer’s letter on official letterhead confirming the leave dates within 30 days (details on the same State Parks page).

Free hunting, angling & shellfish license — 25%+ disabled resident veterans: ODFW issues a free combination angling, shellfish and hunting license to resident disabled veterans with a disability rating of at least 25 percent certified by the VA or any branch of the Armed Forces who have physically resided in Oregon for at least 6 consecutive months before applying — see ODFW’s uniformed services & disabled veterans page. Apply by mail or in person with the ODFW application form and your most recent VA rating letter; per the form, once enabled the license is renewable every year online or at any licensing agent. Resident disabled veterans can also buy an elk tag at a reduced price, and veterans rated at least 65% may additionally apply for the Oregon Disabilities Hunting and Fishing Permit.

Education & Other Oregon Benefits

Oregon Veteran Home Loan (ORVET): Oregon runs its own state home-loan program for veterans, separate and distinct from the federal VA Home Loan Guaranty — ODVA has lent roughly $10 billion to more than 340,000 veterans since 1945 (ODVA Home Loans). It offers fixed-rate financing up to the Fannie Mae conforming limit for the purchase (no refinancing) of an owner-occupied single-family residence in Oregon, and an eligible veteran can use the benefit up to four times over a lifetime. Eligibility generally requires an honorable discharge plus more than 178 consecutive days of active duty (more than 90 days if service began on or before January 31, 1955) — or shorter service with a service-connected disability or VA disability rating, at least one day of service in a combat zone, receipt of a combat, campaign or expeditionary ribbon or medal, or receipt of a VA nonservice-connected pension.

VA Healthcare in Oregon

Oregon 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.

Official Oregon Veterans Resources

Frequently Asked Questions

Does Oregon tax military retirement pay?

Oregon taxes military retirement pay except the portion attributable to service performed before October 1, 1991.

Does Oregon offer property tax exemptions for disabled veterans?

Does Oregon have a state income tax?

Oregon has a state income tax. Oregon taxes military retirement pay except the portion attributable to service performed before October 1, 1991.

Do veterans pay sales tax on vehicles in Oregon?

No one pays general sales tax in Oregon — the state has no general sales or use tax, so there is no motor-vehicle sales tax for veterans or anyone else. The one exception is the vehicle privilege/use tax: 0.5 percent of the retail price of a new vehicle (7,500 miles or less, never before titled or registered in Oregon) bought from a dealer.

Do disabled veterans get free vehicle registration in Oregon?

Nearly free, and permanent. Under ORS 805.100, a veteran with a service-connected disability (no minimum percentage) who was discharged under honorable conditions after at least 90 consecutive days of service — or discharged earlier because of a service-connected injury or illness — can register a non-commercial vehicle with Disabled Veteran plates for a one-time $15 registration fee under ORS 803.420(9)(b). The registration never needs renewal and has no renewal fees. A VA or branch-of-service letter certifying disabled veteran status is required.

Do disabled veterans get free camping and hunting or fishing licenses in Oregon?

Oregon-resident veterans with any level of service-connected disability qualify for the free 10-year Oregon State Parks Special Access Pass: free day-use parking plus free camping in RV, tent, and standard horse camp sites for four consecutive nights at a single park or four nights total per calendar month. Separately, ODFW issues a free combination angling, shellfish and hunting license to resident veterans with a disability rating of at least 25 percent who have physically resided in Oregon for at least 6 consecutive months.