Updated January 2026
Wisconsin Veteran Benefits 2026
Wisconsin offers several benefits for veterans and military retirees. Here is a summary of the key tax and property benefits available in WI for 2026.
Wisconsin Highlights
- Full military retirement pay tax exemption
- Wisconsin GI Bill benefits
- Free hunting and fishing licenses for disabled veterans
- Wisconsin Veterans Homes
Income Tax Treatment
Wisconsin has a state income tax.
Military Retirement Pay: Wisconsin fully exempts military retirement pay from state income tax.
Active Duty Pay: Active duty pay is fully exempt from Wisconsin income tax.
VA Disability Compensation: VA disability compensation is tax-free at both the federal and state level in all 50 states. Wisconsin does not tax VA disability payments.
Property Tax Exemption for Disabled Veterans in Wisconsin
Type: Income-tax credit (refund)
Wisconsin's benefit is NOT a property-tax exemption — it is the refundable Veterans and Surviving Spouses Property Tax Credit, a state income-tax credit equal to 100% of the property taxes paid on the principal dwelling (plus up to 1 acre). You pay your property tax, then claim it back on your Wisconsin income tax return; any excess is refunded. Requires a 100% schedular rating or 100% IU/TDIU equivalent.
| VA disability rating / category | What you get |
|---|---|
| 100% service-connected (schedular) | Refundable income-tax credit = 100% of property taxes paid on principal dwelling + up to 1 acre.Active duty under honorable conditions; WI resident at entry into service OR for any 5 consecutive years after entry; currently a WI resident; WDVA-certified. |
| 100% equivalent via Individual Unemployability (IU/TDIU) | Same credit (100% of property taxes paid).Same residency/certification; IU administratively adjusted by VA to 100% equivalent. |
| Under 100% / not IU | No credit.All-or-nothing at the 100%/IU threshold; no partial tier. |
- Income limit: None (distinct from the separate income-limited Homestead Credit).
- Age requirement: None (age requirement removed effective tax year 2009).
- Surviving spouse: Available to an unremarried surviving spouse via several pathways (active-duty death, veteran rated 100%/IU at death, Guard/reserve line-of-duty death, or continuing DIC recipient). Remarriage ends eligibility.
- Counts being paid at 100% via unemployability (TDIU)? Yes — being paid at the 100% rate via Individual Unemployability (TDIU) qualifies
Source: Wis. Stat. § 71.07(6e); claimed on Schedule VS and a second official source. Verified June 2026 against primary sources.
To apply, contact your county assessor's office or the Wisconsin 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 Wisconsin
Wisconsin 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.