Military Retirement Pay State Income Tax Exemption
100% of military retired pay is excluded from Louisiana state income tax.
Who qualifies
- Available to any veteran
- Louisiana residency
How to apply
~$900/year on $30,000 retirement pay
Apply through the official Louisiana agency.
Open applicationDetails
Eligibility
Any military retiree receiving retired pay. Louisiana resident filing state taxes. No disability rating required.
Covers
100% of military retired pay is exempt. Combat pay and hazardous duty pay (exempt from federal tax) are also exempt from state tax.
Estimated savings
At Louisiana's flat 3% income tax rate (effective 2025), a retiree receiving $30,000/year saves approximately $900/year.
How to apply
Claimed on Louisiana state income tax return.
Always confirm current rates and rules with the Louisiana state agency before applying.
Other Louisiana Tax Benefits
Property Tax Exemption (50-69% Disabled)
Additional $2,500 of assessed value exempt beyond homestead exemption for veterans with 50-69% disability.
$2,500 additional assessed value exempt
Property Tax Exemption (70-99% Disabled)
Additional $4,500 of assessed value exempt beyond homestead exemption for veterans with 70-99% disability.
$4,500 additional assessed value exempt
Full Property Tax Exemption (100% Disabled)
Complete exemption from all ad valorem property taxation for 100% disabled veterans.
100% property tax exemption (excludes some municipal assessments)
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