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Veteran taxes by state

Texas veteran taxes

How Texas treats military retired pay and Survivor Benefit Plan annuities in its income tax, and its property tax and vehicle registration relief for disabled veterans — from the state’s own pages.

  • Read on the state’s own pages October 28, 2026
  • 7 official sources
On this page5 sections
  1. Military retired pay
  2. SBP annuities
  3. Property tax (disabled veterans)
  4. Vehicle registration (disabled veterans)
  5. Sources
Military retired pay
No income tax
SBP annuities
No income tax
Property tax
Exemption or credit
Vehicle registration
Fee waiver or discount

Military retired pay in Texas

No income taxSources 1, 2

Texas has no state income tax, so military retired pay is not taxed by the state. The Comptroller of Public Accounts states that Texas has no state income tax.

Military retired pay in the 50 states and DC: Texas (no income tax) outlined; 28 exempt, 13 partly exempt, 9 no income tax, 1 taxed. The full map

Survivor Benefit Plan annuities

No income taxSources 1, 2

With no state income tax, Texas does not tax Survivor Benefit Plan annuities.

Property tax relief for disabled veterans

Exemption or creditSources 3, 4

Texas gives a total property tax exemption on the residence homestead of a disabled veteran awarded 100 percent disability compensation for a service-connected disability with a rating of 100 percent disabled or of individual unemployability (Tex. Tax Code § 11.131). Veterans with lower ratings get a partial exemption on any one property under Tex. Tax Code § 11.22, set by the disability rating.

  • Tex. Tax Code § 11.22 amounts (Comptroller Form 50-135): rating 10-29 percent, up to $5,000 of assessed value; 30-49 percent, up to $7,500; 50-69 percent, up to $10,000; 70-100 percent, up to $12,000. A veteran age 65 or older with a rating of at least 10 percent, totally blind in one or both eyes, or who has lost the use of one or more limbs may get $12,000.
  • A residence homestead donated to a disabled veteran by a charitable organization gets a partial exemption based on the disability rating (Tex. Tax Code § 11.132).
  • Form 50-135 (for § 11.22) is filed with the appraisal district in each county where the property is located; the homestead exemptions under §§ 11.131 and 11.132 use Form 50-114.

Surviving spouse

  • The § 11.131 total exemption extends to a surviving spouse who was married to a qualifying veteran, has not remarried, and whose residence homestead was and remains the property.
  • Under § 11.22 the unmarried surviving spouse gets the veteran’s exemption amount at death on a property the spouse owns and designates.
  • Surviving spouses of service members killed in the line of duty (§ 11.133) and of veterans who died of a qualifying condition or disease (§ 11.136) get a total homestead exemption while not remarried.
  • If no spouse survives, each surviving child under 18 and unmarried may claim a share of the § 11.22 exemption (Form 50-135).

Vehicle registration for disabled veterans

Fee waiver or discountSources 5, 6, 7

A veteran with a service-connected disability rating of 50 percent or more, or 40 percent or more due to amputation of a lower extremity, may register one vehicle with Disabled Veteran (DV) specialty plates for a $3 annual specialty plate fee and $0 annual registration and local fees. Additional vehicles may display DV plates but pay registration and local fees.

  • The Texas Department of Motor Vehicles offers 102 DV plate designs, including versions with the International Symbol of Access; personalization costs $40 a year. Application is Form VTR-615 at the county tax assessor-collector’s office.
  • An unmarried surviving spouse of a disabled veteran may register one vehicle with Surviving Spouse Disabled Veteran plates for a $3 specialty plate fee for the first set; registration fees apply to each additional vehicle (Form VTR-425).

Sources

Each source was read on October 28, 2026 on the state’s own site, the normal way. The numbers in the sections above point here.

  1. Texas is open for small businessTexas Comptroller of Public Accounts (Fiscal Notes) · Fiscal Notes, December 2025 · read
  2. Property Tax Cuts as Large as TexasTexas Comptroller of Public Accounts (Fiscal Notes) · Fiscal Notes, December 2023 (updated October 26, 2023) (from the page’s own data) · read
  3. Property Tax ExemptionsTexas Comptroller of Public Accounts · Updated December 11, 2025 (from the page’s own data) · read
  4. Disabled Veteran’s or Survivor’s Exemption Application (Form 50-135)Texas Comptroller of Public Accounts · Form 50-135, revision 2-23 · read
  5. Application for Disabled Veteran License Plates and/or Parking Placards (Form VTR-615)Texas Department of Motor Vehicles, Vehicle Titles and Registration Division · Form VTR-615 Rev. 12/25 · read
  6. Texas Supports Disabled Veterans (Disabled Veterans License Plates Brochure, VTR-428)Texas Department of Motor Vehicles · VTR-428 Rev. 12/2025 · read
  7. Application for Surviving Spouse of a Veteran License Plates (Form VTR-425)Texas Department of Motor Vehicles, Vehicle Titles and Registration Division · Form VTR-425 Rev. 8/2019 · read