Updated January 2026
Oregon Veteran Benefits 2026
Oregon offers several benefits for veterans and military retirees. Here is a summary of the key tax and property benefits available in OR for 2026.
Oregon Highlights
- Property tax exemption for disabled veterans
- Free state park day-use pass for disabled veterans
- Oregon Veterans Home
- Oregon Veterans Emergency Financial Assistance
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- Income limit: None (Oregon repealed the prior income test years ago; current disabled-veteran exemption has no income limit).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
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.
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.