Vermont's approximately 46,000 veterans enjoy a $10,000 assessed value property tax exemption, free burial at the Vermont Veterans Memorial Cemetery, meaningful employment preference in state government, and the Vermont Veterans Home in Bennington providing nursing care at well below-market rates.
Vermont has approximately 46,000 veterans — one of the smallest veteran populations by total count, but among the highest per-capita rates in the country. The Green Mountain State offers a $10,000 assessed value property tax exemption, meaningful burial benefits, employment preference, and a network of free VA claims support across the state.
Vermont's veterans programs are administered primarily through the Vermont Office of Veterans Affairs (VOVA) and the Vermont Veterans Home in Bennington. Local support is also available through the Vermont VSO (Veterans Service Organization) community, which is particularly active for a small state.
Vermont provides a $10,000 exemption on the assessed value of a qualifying veteran's primary residence under 32 V.S.A. § 3802(11). This is a straightforward, statewide exemption that reduces the taxable value of your home.
The surviving spouse of a qualifying veteran who has not remarried may continue to receive the $10,000 exemption as long as they remain a Vermont resident and occupy the property as their primary residence.
Vermont's average effective property tax rate is approximately $1.50–$2.00 per $1,000 of value (municipal rates vary significantly). The $10,000 assessed value reduction translates to approximately $150–$200 in annual tax savings for most Vermont veterans. While not enormous, it accumulates significantly over time, and some Vermont municipalities with higher rates will generate greater savings.
Vermont operates the Vermont Veterans Memorial Cemetery in Randolph Center, providing free burial services for eligible Vermont veterans and certain qualifying dependents. The cemetery provides:
Pre-registration is encouraged. Contact the Vermont Veterans Memorial Cemetery at (802) 828-3379. Veterans are also eligible for federal VA national cemetery burial — the nearest is the Vermont Veterans Memorial Cemetery in Randolph Center itself, which is state-operated but follows federal eligibility criteria.
Vermont provides veterans preference in state civil service employment under Vermont statutes:
The Vermont Veterans Home in Bennington is the state's primary long-term care facility for veterans. Established in 1884, it is one of the oldest veteran care institutions in New England. The Home provides:
Rates are well below private nursing home costs. The facility is partially subsidized by state appropriations and federal VA per diem payments. Contact the Vermont Veterans Home at (802) 447-6500 for admissions and eligibility information.
Vermont veterans with service-connected disabilities qualify for reduced-fee hunting and fishing licenses. 100% disabled veterans may qualify for free licenses. Contact Vermont Fish & Wildlife Department for current program specifics.
Vermont allows a deduction for military retirement pay on state income taxes for qualifying retirees. Contact the Vermont Department of Taxes for current deduction amounts and eligibility requirements.
Vermont offers specialty veteran and disabled veteran license plates. Disabled veteran plates come with reduced registration fees for qualifying veterans. Contact Vermont DMV for plate options.
The White River Junction VA Medical Center serves Vermont veterans, with community-based outpatient clinics in Burlington, Rutland, Newport, St. Johnsbury, and Windsor — providing coverage across VT's rural geography.
No — it's $10,000 off your property's assessed value, not your tax bill. The tax savings depend on your town's education and municipal tax rate. At Vermont's typical combined rate of about $1.50–$2.00 per $1,000 assessed value, the $10,000 exemption saves approximately $150–$200 per year. For higher-rate towns, the savings will be larger.
Vermont's standard exemption is $10,000 regardless of disability level for qualifying veterans. Some Vermont towns may have additional local programs — check with your town assessor. If you're 100% P&T, you should also contact VOVA about any enhanced programs that may have been enacted since this publication, as Vermont occasionally updates its veterans benefit statutes.
VA disability compensation is exempt from all state income taxes, including Vermont's, by federal law (38 U.S.C. § 5301). You will never owe state income tax on your VA compensation regardless of what state you live in.
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Start Your Free Claim Review →Use the claim.vet disability calculator or our state benefits comparison tool to see how Vermont stacks up. Visit the full Vermont state benefits page for more. When you're ready, start your claim review free.