By state · Vermont
Vermont’s property tax exemption for disabled veterans.
50%+ receiving compensation: $10,000 minimum, up to $40,000 by town vote. Here is who qualifies, what it covers, and how to claim it.
Checked against state sources · July 16, 2026
- At a 100% permanent & total rating
- A reduction of at least $10,000 of the home's appraised value for veterans receiving VA disability compensation at 50% or higher, a non-service-connected pension, or medical military retirement pay. Towns can vote to raise the amount to as much as $40,000, and many have.
- Below 100%
- One threshold: 50%+ qualifies for whatever amount your town adopted; there is no rating ladder above it.
- Income test
- None. The exemption does not depend on your income.
- Surviving spouses
- Surviving spouses of veterans who had (or would have qualified for) the exemption can continue it.
- How to apply
- Apply every year by May 1 through the Vermont Office of Veterans Affairs with your VA benefit summary letter; the office certifies the list to town assessors.
- Worth knowing
- Two quirks: the application is annual (miss May 1 and you lose the year), and the exemption reduces education and municipal taxes differently depending on the town amount. Ask the Office of Veterans Affairs, not just the town.
Before you count on this: exemption law changes by legislative session, and counties administer the details. Confirm current amounts and deadlines with your county assessor or the official source below. Figures on this page were checked July 16, 2026.
Official source: Vermont Office of Veterans Affairs — property tax exemption
A property-tax exemption lowers the monthly payment a lender counts in your file, which can raise what you qualify for. Run your numbers with the exemption’s effect via the buying-power calculator (use the property-tax override in advanced options), and see the funding fee guide for the other big disability-related saving.
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