North Dakota Veteran Benefits 2026: Property Tax Exemptions and Military Retired Pay Tax

The state benefits North Dakota gives veterans and their surviving spouses: property tax exemptions, how the state taxes military retired pay, and other benefits, each with who qualifies, the amount, how to apply and the official source.

North Dakota gives veterans with a VA service-connected disability rating of 50% or more (or paid at the 100% rate through individual unemployability) a homestead property tax credit equal to their rating percentage, applied to the first $9,000 of taxable value. A surviving spouse receiving VA DIC gets the full 100% credit. Paraplegic veterans and veterans awarded VA specially adapted housing are exempt on the first $120,000 of true and full value of their home's buildings and improvements. Military retired pay, including survivor benefits, is fully excluded from North Dakota income tax to the extent it is in federal taxable income. (sources)

Official sources Checked against official sources on November 4, 2026. This page lists only benefits confirmed on an official state or federal page; counties and cities may offer more.

Property tax exemptions
Military retired pay tax
Other veteran benefits
Common questions

Property tax exemptions for veterans in North Dakota

North Dakota property tax benefits for veterans and surviving spouses (checked November 4, 2026)
Benefit	Who qualifies	Amount	How to apply	Source
Disabled veterans property tax credit (NDCC 57-02-08.8)	Veteran discharged under honorable conditions (or retired from the U.S. armed forces) with a VA service-connected disability rating of 50% or more, or an extra-schedular rating including individual unemployability paid at the 100% rate. Applies to the homestead the veteran owns and lives in. The surviving spouse of a deceased disabled veteran also qualifies at the veteran's rating percentage. No income limit and no age requirement.	Credit equal to the VA disability percentage times the first $9,000 of the homestead's taxable valuation. Maximum: 100% of $9,000 taxable value. Two disabled veterans married and living together are capped at a combined 100% of $9,000. If a veteran co-owns the home with someone other than a spouse, parent or child, the credit is limited to the veteran's ownership share. The credit does not reduce special assessments.	When claiming for the first time, file with the county auditor an affidavit stating the qualifying facts, a description of the property, and a VA certificate of the disability rating. In later years, give the assessor supporting information when asked.	N.D. Century Code ch. 57-02, § 57-02-08.8 Property tax credit for disabled veterans
Disabled veterans credit for a surviving spouse receiving VA DIC (NDCC 57-02-08.8(1))	Surviving spouse of a qualifying veteran who receives VA Dependency and Indemnity Compensation and owns and lives in the homestead. VA correspondence showing DIC receipt is sufficient proof.	100% credit on the first $9,000 of the homestead's taxable valuation	File an affidavit and proof of DIC receipt (VA correspondence) with the county auditor	N.D. Century Code ch. 57-02, § 57-02-08.8 Property tax credit for disabled veterans
Homestead exemption for paraplegic veterans and veterans with specially adapted housing (NDCC 57-02-08(20)(a))	Paraplegic disabled veteran of the U.S. armed forces, or any veteran awarded specially adapted housing by the VA, or the unremarried surviving spouse of such a veteran. Applies to the homestead the person owns and lives in. No income limit.	Exemption on the first $120,000 of true and full valuation of the homestead's fixtures, buildings and improvements	When claiming for the first time, file with the county auditor an affidavit stating the qualifying facts and a description of the property. In later years, give the assessor supporting information when asked.	N.D. Century Code ch. 57-02, § 57-02-08(20) Property exempt from taxation

Is military retired pay taxed in North Dakota?

North Dakota state income tax on military retired pay (checked November 4, 2026)
Treatment	Amount or limit	Source
Fully excluded. North Dakota taxable income is reduced by retired military personnel benefits, including benefits paid to the surviving spouse of a deceased retiree of the U.S. armed forces, a reserve component or the National Guard.	No dollar cap. The full amount is excluded, to the extent it was included in federal taxable income (NDCC 57-38-30.3(1)(r)).	ndlegis.gov

For the dollars this treatment adds to (or saves on) a retiree’s state tax in 2026, see the military retirement tax by state study; for the pension itself, the military retirement pay calculator.

Paid tool Retired pay, VA compensation, property tax and your other income all land in one budget. Personal PRO runs it year by year on 10,000 market paths, with federal and North Dakota tax, and shows the odds the money lasts, with a PDF you keep. A planning tool, not advice. Run my own retirement numbers — Personal PRO ($49) → See what is included, and every price →

Other North Dakota veteran benefits

Vehicles and license plates

North Dakota: vehicles and license plates for veterans
Benefit	Who qualifies	Amount	Source
Exemption from motor vehicle registration fees, with a free distinctive or standard plate (NDCC 39-04-18(2)(j))	Disabled veteran under Public Law 79-663 (38 U.S.C. 3901), or a veteran with a 100% VA service-connected rating or with individual unemployability paid at the 100% rate. A surviving spouse receiving VA DIC qualifies for one vehicle.	No registration fees for up to 2 vehicles of 26,000 lbs registered gross weight or less (1 vehicle for a surviving spouse). Either a distinctive plate or a standard plate is issued at no cost. The disabled veteran may instead buy any other distinctive or vanity plate.	ndlegis.gov
North Dakota veterans' number plates (NDCC 39-04-10.10)	Individuals eligible for burial in the North Dakota Veterans Cemetery	$15 initial fee plus a $10 annual surcharge, on top of regular registration fees. Purple Heart recipients pay no initial fee and no annual surcharge.	ndlegis.gov

Hunting, fishing and other licenses

North Dakota: hunting, fishing and other licenses for veterans
Benefit	Who qualifies	Amount	Source
Reduced-fee resident fishing license (NDCC 20.1-03-12(6))	Resident disabled veteran with a VA service-connected rating of at least 50%, or individual unemployability that brings the total disability rating to at least 50%	$10, compared with $25 for the standard resident fishing license	ndlegis.gov
Combined general game, habitat stamp, small game and fur-bearer license (NDCC 20.1-03-12(46))	Resident disabled veteran with a VA service-connected rating of at least 50%	$10 for the combined license	ndlegis.gov

Education

North Dakota: education for veterans
Benefit	Who qualifies	Amount	Source
Free tuition and fees for dependents at North Dakota state colleges and universities (NDCC 15-10-18.2, 15-10-18.3)	Child, stepchild, spouse, widow or widower of a veteran who was killed in action, died of service-connected causes, has a 100% VA service-connected rating or individual unemployability paid at the 100% rate, was a prisoner of war, or was declared missing in action. North Dakota residency rules apply. Widows or widowers receiving VA DIC also qualify.	Free tuition and fees (excluding aviation flight charges) at state institutions of higher education until a bachelor's degree or certificate is earned, for as long as the dependent remains eligible	ndlegis.gov

Employment

North Dakota: employment for veterans
Benefit	Who qualifies	Amount	Source
Veterans' preference in public employment (NDCC ch. 37-19.1)	Veterans who are U.S. citizens, current or honorably discharged National Guard and reserve members, and certain spouses of deceased or disabled veterans. Applies to state agencies and political subdivisions.	On a 100-point competitive scale, 5 points are added for a veteran and 10 points for a disabled veteran. In non-competitive hiring, a qualified veteran must be hired over other applicants, and disabled veterans have a superior preference.	ndlegis.gov

State veterans homes

North Dakota: state veterans homes for veterans
Benefit	Who qualifies	Amount	Source
North Dakota Veterans Home in Lisbon (NDCC ch. 37-15)	Bona fide North Dakota residents (waivable for those who served in a North Dakota regiment or were accredited to the state) who are veterans as defined in NDCC 37-01-40, or service members discharged under other than dishonorable conditions who became permanently disabled in the line of duty and are enrolled in VA health care. Spouses and surviving spouses may be admitted on the same footing. Admission requires a formal application approved by the home's board of admissions.	Basic care and long-term (skilled) care. Residents pay fees under NDCC 37-15-14.1.	ndlegis.gov

Common questions

Does North Dakota have a property tax exemption for disabled veterans?

North Dakota lists 3 veteran property tax benefits. The main one: Disabled veterans property tax credit (NDCC 57-02-08.8). Who qualifies: Veteran discharged under honorable conditions (or retired from the U.S. armed forces) with a VA service-connected disability rating of 50% or more, or an extra-schedular rating including individual unemployability paid at the 100% rate. Applies to the homestead the veteran owns and lives in. The surviving spouse of a deceased disabled veteran also qualifies at the veteran's rating percentage. No income limit and no age requirement.. Amount: Credit equal to the VA disability percentage times the first $9,000 of the homestead's taxable valuation. Maximum: 100% of $9,000 taxable value. Two disabled veterans married and living together are capped at a combined 100% of $9,000. If a veteran co-owns the home with someone other than a spouse, parent or child, the credit is limited to the veteran's ownership share. The credit does not reduce special assessments. (N.D. Century Code ch. 57-02, § 57-02-08.8 Property tax credit for disabled veterans).

How do I apply for the North Dakota veteran property tax exemption?

When claiming for the first time, file with the county auditor an affidavit stating the qualifying facts, a description of the property, and a VA certificate of the disability rating. In later years, give the assessor supporting information when asked. (N.D. Century Code ch. 57-02, § 57-02-08.8 Property tax credit for disabled veterans).

Does North Dakota tax military retirement pay?

Fully excluded. North Dakota taxable income is reduced by retired military personnel benefits, including benefits paid to the surviving spouse of a deceased retiree of the U.S. armed forces, a reserve component or the National Guard. Amount or limit: No dollar cap. The full amount is excluded, to the extent it was included in federal taxable income (NDCC 57-38-30.3(1)(r)). (ndlegis.gov).

What other benefits do veterans get in North Dakota?

Exemption from motor vehicle registration fees, with a free distinctive or standard plate (NDCC 39-04-18(2)(j)) (ndlegis.gov); North Dakota veterans' number plates (NDCC 39-04-10.10) (ndlegis.gov); Free tuition and fees for dependents at North Dakota state colleges and universities (NDCC 15-10-18.2, 15-10-18.3) (ndlegis.gov); Reduced-fee resident fishing license (NDCC 20.1-03-12(6)) (ndlegis.gov); Combined general game, habitat stamp, small game and fur-bearer license (NDCC 20.1-03-12(46)) (ndlegis.gov); North Dakota Veterans Home in Lisbon (NDCC ch. 37-15) (ndlegis.gov); Veterans' preference in public employment (NDCC ch. 37-19.1) (ndlegis.gov). Who qualifies and the amounts are in the tables above.

Sources

Every row above is copied from the official page linked beside it. Benefits change with new laws and local decisions, so confirm the amount and the deadline with the office that runs the program before you apply. QuantCalc is calculation software, not legal, tax or benefits advice. Last updated November 4, 2026.

North Dakota senior property tax relief → North Dakota state income tax for retirees → Veteran benefits in every state → Military retirement tax by state 2026 → Military retirement pay calculator → 2026 VA disability rates → Military retiree and VA COLA 2027 → VA loan limits 2026 →