📋 Table of Contents

  1. Why Texas Is One of the Best States for Veterans
  2. Property Tax Exemptions (Texas Tax Code § 11.131)
  3. The Hazlewood Act: 150 Free Tuition Hours
  4. Texas Veterans Land Board (VLB) Loan Programs
  5. Texas Veterans Commission (TVC) Services
  6. Additional Texas Veterans Perks
  7. How to Maximize Your Texas Benefits
  8. Frequently Asked Questions

Why Texas Is One of the Best States for Veterans

With over 1.7 million veterans calling Texas home — roughly 8.5% of the adult population — the Lone Star State has built one of the most comprehensive state-level benefit ecosystems in the country. Texas consistently ranks among the top five most veteran-friendly states, and for good reason: when you combine the property tax exemptions, education benefits, land board loan programs, and commission services, the total value of Texas state benefits can easily exceed $100,000 over a veteran's lifetime.

These benefits are entirely separate from and stackable with federal VA benefits. A 100% permanently and totally (P&T) disabled veteran living in Texas doesn't just get federal VA compensation — they also get their entire property tax bill eliminated, access to 150 free college credit hours for themselves or their children, below-market home loans, and free lifetime hunting and fishing licenses. This guide walks through every major Texas veteran benefit program for 2025.

💡 Key Texas Veteran Benefits at a Glance (2025)

  • Property tax: 100% exemption on primary residence for 100% P&T disabled veterans — no dollar cap
  • Education: 150 credit hours of free tuition at any Texas public college via Hazlewood Act
  • Home loans: Below-market rates through Texas Veterans Land Board
  • Free claims help: TVC agents at 90+ locations statewide
  • Lifetime hunting/fishing license: Free for 50%+ service-connected disabled veterans

Property Tax Exemptions (Texas Tax Code § 11.131)

Texas property tax exemptions for disabled veterans are governed by Texas Tax Code Section 11.131 and represent one of the most valuable state-level financial benefits available anywhere in the country. Unlike many states that cap exemptions at a fixed dollar amount, Texas provides a complete property tax exemption for qualifying veterans — with no ceiling.

100% P&T Disability: Full Property Tax Exemption

If you have a VA disability rating of 100% permanent and total (P&T) — meaning your rating is either 100% schedular with a P&T designation, or 100% via Individual Unemployability (TDIU) with a P&T designation — you qualify for a 100% property tax exemption on your primary residence.

There is no dollar cap. If your home is assessed at $450,000, you pay zero property taxes on it. In Texas, where average effective property tax rates run around 1.60% — one of the highest in the nation — this exemption is worth $7,200 per year on a $450,000 home and scales proportionally higher for more valuable properties. Over 20 years, that's over $144,000 in tax savings (before accounting for property value appreciation).

70–99% Disability: Significant Partial Exemptions

Veterans with VA ratings below 100% P&T also qualify for partial property tax exemptions under Texas Tax Code § 11.22:

70–100% SC Disability

$12,000 off assessed value

Partial exemption available to veterans with service-connected ratings of 70% or higher (but not meeting P&T threshold).

50–69% SC Disability

$10,000 off assessed value

Meaningful savings, especially in high-tax Texas counties where the effective rate reduces your bill by $160+ per year.

30–49% SC Disability

$7,500 off assessed value

Available to veterans with moderate service-connected disability ratings as certified by the VA.

10–29% SC Disability

$5,000 off assessed value

Even lower ratings qualify for meaningful property tax relief. Every eligible veteran should apply.

Surviving Spouses

The surviving spouse of a veteran who qualified for the 100% P&T exemption under § 11.131 may continue to receive the full exemption as long as they: (1) have not remarried, and (2) continue to occupy the property as their primary residence. This provision ensures that a veteran's family isn't forced out of their home after the veteran's death.

Additionally, the surviving spouse of a veteran who died on active duty also qualifies for the full exemption under § 11.132, regardless of whether the veteran had a disability rating at time of death.

How to Apply for the Texas Property Tax Exemption

  1. Obtain your VA disability letter confirming your rating and P&T status (or the appropriate rating percentage).
  2. Complete Texas Form 50-135 (Disabled Veterans Property Tax Exemption Application), available at your county appraisal district's website.
  3. Submit the completed form and supporting VA documentation to your county appraisal district office — not the tax assessor-collector, but the appraisal district.
  4. The exemption applies for the entire tax year in which you qualify, even if you apply mid-year. The appraisal district will prorate if needed.
  5. Once approved, the exemption renews automatically each year unless your status changes.

Pro tip: If your VA rating increases to 100% P&T, file an amended application immediately. You do not need to wait until the new tax year. Source: Texas Comptroller of Public Accounts

The Hazlewood Act: 150 Free Tuition Hours

Named after State Senator T.A. Hazlewood and originally enacted in 1923, the Hazlewood Act provides one of the most generous state education benefits in the country. Eligible Texas veterans receive up to 150 credit hours of free tuition at any Texas public institution of higher education — including universities, community colleges, and technical schools.

Who Qualifies for the Hazlewood Act?

To qualify for Hazlewood Act benefits, a veteran must meet all of the following:

Note: There is no disability rating requirement for the Hazlewood Act. All honorably discharged Texas veterans who meet the residency requirement qualify, regardless of VA disability status.

What the Hazlewood Act Covers — and What It Doesn't

The Hazlewood Act covers tuition and required fees only. It does not cover:

The 150-hour cap is per veteran — not per semester. It's a lifetime bank. If you use 60 hours in one school and transfer to another, you have 90 remaining. Monitor your usage carefully through the Texas Higher Education Coordinating Board (THECB) system, which tracks usage statewide.

Hazlewood Legacy: Transferring Benefits to Dependent Children

One of the Hazlewood Act's most powerful provisions is the Legacy option. Veterans who have exhausted their own hours, or who choose to do so, can transfer remaining hours to a dependent child. The child must:

The veteran must be living and must formally designate the child for the Legacy benefit through the THECB. Each child gets up to 150 hours (subject to the veteran's remaining balance). Multiple children can share hours if the veteran has not exhausted the full 150.

Stacking Hazlewood with the GI Bill

Here's where the Hazlewood Act becomes extraordinarily valuable: it stacks with the federal Post-9/11 GI Bill. The optimal strategy for eligible veterans is:

This combination means a Texas veteran attending a state university can effectively attend school at no out-of-pocket cost while receiving a substantial monthly housing stipend. Source: Texas Higher Education Coordinating Board (THECB), 2025

How to Apply for the Hazlewood Act

  1. Apply to and be admitted to your chosen Texas public college or university.
  2. Gather your DD-214 and VA disability letter (if applicable) — the DD-214 is the key document proving Texas residency at enlistment and honorable discharge.
  3. Complete the Hazlewood Act Exemption Application, available from the school's financial aid or veterans services office.
  4. Submit to the school's veterans services or financial aid office each semester — some schools require reapplication per term, others maintain the exemption automatically.
  5. The school certifies your eligibility and applies the exemption directly to your tuition bill before the payment deadline.

Is Your VA Rating Holding Back Your Texas Benefits?

A higher VA disability rating unlocks bigger property tax exemptions and more financial security. See what your rating should be — in minutes.

Start Your Free Claim Review →

Texas Veterans Land Board (VLB) Loan Programs

The Texas Veterans Land Board (VLB), established in 1946, is one of the oldest and most active state veterans agencies in the country. The VLB offers three major loan programs exclusively for Texas veterans, providing access to below-market financing for land, homes, and home improvements.

VLB Land Loan Program

The VLB Land Loan allows Texas veterans to purchase raw land anywhere in Texas at below-market interest rates. Key terms for 2025:

This program is particularly valuable in Texas, where rural land acquisition is a common goal for many veterans. The reduced rate and favorable terms can save tens of thousands over the life of the loan.

VLB Home Loan Program

The VLB Home Loan Program provides below-market mortgage financing for Texas veterans purchasing a primary residence. This program stacks with federal VA loan benefits:

VLB Home Improvement Loan Program

Need to repair or improve your home? The VLB Home Improvement Loan offers:

Texas State Veterans Homes

The VLB operates 8 Texas State Veterans Homes across the state — in Amarillo, Big Spring, Bonham, El Paso, Floresville, McAllen, Temple, and Tyler. These are skilled nursing facilities that provide quality long-term care to eligible veterans at rates significantly below private nursing home costs. The per-diem rate is set by the state and is partially subsidized by federal VA funds, making these facilities far more affordable than comparable private-pay options.

Eligibility requires: veteran status, Texas residency, and medical necessity for nursing-level care. Spouses and Gold Star parents may also be eligible at some facilities.

Texas State Veterans Cemeteries

The VLB operates 8 Texas State Veterans Cemeteries throughout the state, providing free burial for eligible veterans and certain family members. Unlike national VA cemeteries, the state cemeteries are conveniently located in regions across Texas, minimizing distance for families. Eligibility follows federal VA cemetery criteria.

Texas Veterans Commission (TVC) Services

The Texas Veterans Commission (TVC) is the state agency dedicated to serving Texas veterans through advocacy, claims assistance, employment services, and direct support programs. TVC services are free for all Texas veterans and their families.

Free VA Claims Assistance

TVC maintains claims agents at 90+ locations statewide — one of the densest networks of free claims assistance in any state. TVC claims representatives are VA-accredited and can help veterans:

TVC claims agents are free — they never charge a fee. Find your nearest TVC office at tvc.texas.gov.

Mental Health Program

The TVC Mental Health Program provides free counseling services to Texas veterans who may not qualify for or choose not to access VA mental health care. Services include:

Sessions are provided by licensed mental health professionals at TVC offices and community partner locations across Texas.

Veterans Employment Services

TVC partners with the Texas Workforce Commission to provide veteran-priority employment services, including:

Fund for Veterans' Assistance (FVA)

The FVA is a TVC-administered grant program that funds nonprofit organizations providing direct services to Texas veterans and their families. While veterans apply through the nonprofits rather than directly to TVC, this program funds emergency financial assistance, legal aid, transportation, and other critical support services available at the community level statewide.

Additional Texas Veterans Perks

Beyond the major programs, Texas offers a range of smaller but still meaningful benefits for veterans:

🎣 Free Lifetime Hunting & Fishing License

Texas veterans with a 50% or greater service-connected disability rating receive a free lifetime combination hunting and fishing license from Texas Parks and Wildlife. This license (retail value: $1,800+) covers freshwater and saltwater fishing and all legal hunting statewide.

🚗 Free Vehicle Registration

Veterans with a 100% P&T service-connected disability rating receive free motor vehicle registration for one vehicle. The vehicle must be used primarily for personal transportation. Apply through your county tax assessor-collector.

🎓 Children's Tuition Waiver

Children of 100% P&T disabled veterans may qualify for tuition waivers at certain Texas public universities — separate from the Hazlewood Legacy benefit. Check directly with individual institutions, as eligibility and scope varies by school.

🏷️ Veteran License Plates

Texas offers numerous specialty veteran and disabled veteran license plates, some with reduced registration fees. Disabled veteran plates for 100% P&T veterans are available at no charge and provide additional parking privileges.

How to Maximize Your Texas Benefits

The key to maximizing Texas veteran benefits is understanding the interaction between federal VA benefits and state programs — and pursuing both simultaneously. Here's a strategic approach:

  1. Get your correct VA rating first. Texas property tax exemptions scale with your disability rating, and the 100% P&T threshold unlocks dramatically better benefits. If your current rating is less than 100%, use the claim.vet disability calculator to assess your conditions and file for increases before applying for state benefits.
  2. Apply for the property tax exemption immediately. Once you have your VA rating letter, file with your county appraisal district as soon as possible. The exemption applies to the current tax year even if you file mid-year.
  3. Plan your education strategy around Hazlewood. If you have GI Bill entitlement remaining, use it alongside Hazlewood for maximum financial coverage. File the Hazlewood application with your school's veterans services office before each enrollment period.
  4. Contact TVC for free claims help. If you haven't filed all the VA claims you're entitled to, visit a TVC claims agent. With 90+ locations, there's likely one near you — and their help is completely free.
  5. Explore VLB loans if you're purchasing land or a home. VLB rates change quarterly. Compare them with current conventional and VA loan rates before financing any real estate purchase in Texas.

🔗 Texas Veterans Resources

  • Texas Veterans Commission: tvc.texas.gov | (512) 463-5538
  • Texas Veterans Land Board: glo.texas.gov/vlb | 1-800-252-8387
  • Texas Comptroller — Property Tax Exemptions: comptroller.texas.gov/taxes/property-tax/exemptions/
  • Hazlewood Act (THECB): thecb.state.tx.us
  • Texas Parks & Wildlife — Disabled Veteran License: tpwd.texas.gov

Frequently Asked Questions

Does the 100% property tax exemption apply to my entire property?

The exemption applies to your primary residence only. It does not cover investment properties, vacation homes, or land that isn't your principal place of residence. If you own additional properties, they are taxed normally — but the primary residence exemption has no dollar cap, making it extremely valuable regardless of your home's value.

Can I use the Hazlewood Act if I have a dishonorable discharge?

No. The Hazlewood Act requires an honorable or general (under honorable conditions) discharge. Veterans with other than honorable or dishonorable discharges do not qualify. However, if you have received a discharge upgrade through the Discharge Review Board or BCMR, you may then become eligible.

I'm a 100% P&T veteran but I don't live in Texas. Can I still use VLB loans?

VLB programs require that you be a Texas veteran — meaning you either enlisted as a Texas resident, have established Texas as your domicile, or are currently stationed in Texas. Non-resident veterans cannot use VLB programs.

How do I transfer my Hazlewood hours to my child?

File a Hazlewood Legacy designation with the Texas Higher Education Coordinating Board (THECB) at least 30 days before your child's intended enrollment. Your child then applies at the school using your THECB-issued Legacy authorization. The veteran must remain living at the time of each semester's usage.

Is the TVC different from the VA?

Yes. The Texas Veterans Commission (TVC) is a state agency, entirely separate from the federal Department of Veterans Affairs. TVC claims agents can help you navigate federal VA processes, but they do not make VA decisions. TVC programs (like the mental health program and employment services) are state-funded and do not affect your federal VA benefits.

Ready to make sure your VA disability rating reflects your true level of impairment? Use the claim.vet rating calculator or check out our state benefits tool to compare Texas benefits with other states. When you're ready to file, start your claim review — it's free.

Disclaimer: This article is for informational purposes only and does not constitute legal advice, financial advice, or VA claims advice. Benefit amounts, eligibility rules, and program details are subject to change. Always verify current information with the Texas Veterans Commission (tvc.texas.gov), Texas Veterans Land Board (glo.texas.gov/vlb), and the U.S. Department of Veterans Affairs (va.gov) before making decisions. Not legal advice.

Sources & Citations

  1. Texas Tax Code § 11.131 — Residence Homestead of 100% Disabled Veterans. statutes.capitol.texas.gov
  2. Texas Tax Code § 11.22 — Disabled Veterans. Texas Comptroller of Public Accounts. comptroller.texas.gov
  3. Texas Education Code § 54.341 — The Hazlewood Act. Texas Higher Education Coordinating Board. thecb.state.tx.us
  4. Texas Veterans Land Board — Loan Programs 2025. glo.texas.gov/vlb
  5. Texas Veterans Commission — Claims Representation. tvc.texas.gov
  6. Texas Parks and Wildlife Department — Disabled Veteran Hunting & Fishing License. tpwd.texas.gov
  7. Texas Comptroller — Average Effective Property Tax Rates by County, 2024. comptroller.texas.gov
  8. U.S. Census Bureau — Veterans Population by State, American Community Survey 2023.