Property Tax Exemption (Permanently & Totally Disabled)
Full exemption from property taxes on home and up to 160 adjacent acres for permanently and totally disabled veterans.
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Apply directly through the official Alabama agency.
About this benefit
Eligibility
Alabama resident who is permanently and totally disabled (any cause, not limited to service-connected) OR age 65+. Must own and occupy the home as primary residence on the first day of the tax year.
Income cap
The P&T disabled track has NO income cap. The 65+ track has a $12,000 net taxable income cap on the full state ad valorem exemption.
Note
This is a general Alabama homestead exemption, not veteran-specific. Veterans rated 100% Permanent and Total (P&T) by the VA qualify through their disability.
Covers
Full exemption from ad valorem (property) taxes on the veteran's home and up to 160 adjacent acres.
Estimated savings
On a $200,000 home, could save $1,000-$2,000+/yr depending on county millage rate.
How to apply
File with your county tax assessor's office with VA documentation.
Verified against official source
Last checked 2026-05-05 against www.revenue.alabama.gov. Always confirm current rates and rules with the Alabama state agency before applying.
Other Alabama Tax Benefits
Military Retirement Pay State Income Tax Exemption
Full exemption of military retirement pay from Alabama state income tax.
Varies by retirement pay (up to 5% savings)
Property Tax Exemption (VA Specially Adapted Housing)
Complete exemption from all property taxes on a home acquired through a VA Specially Adapted Housing grant.
Full property tax exemption
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