VA Disability Pay Tax Exemption
VA disability pensions and military disability retirement pay are exempt from Mississippi income tax.
State BenefitMississippiTax Benefits
Verified May 12, 2026 against dor.ms.gov
At a glance
- Benefit type
- Tax Benefits — Mississippi
- Who it's for
- Veterans
- VA rating needed
- No rating requirement
- Estimated value
- Full exemption of VA disability and military disability retirement pay
- Where it applies
- Mississippi
- Last verified
- May 12, 2026
What is VA Disability Pay Tax Exemption?
VA Disability Pay Tax Exemption is a Mississippi tax benefits benefit for veterans. VA disability pensions and military disability retirement pay are exempt from Mississippi income tax. The listed value is Full exemption of VA disability and military disability retirement pay.
Who qualifies
- Veterans
- Available to any veteran
- Mississippi residency
Who is eligible
Eligibility
Mississippi taxes a resident's total gross income from all sources, and taxes nonresidents/part-year residents on income from Mississippi sources. A return is required when gross income exceeds the allowable deductions and exemptions for your filing status. The Veterans' Administration payments exclusion applies based on the type of income received.
What VA Disability Pay Tax Exemption covers
Coverage
Mississippi does not tax benefits received from Veterans' Administration payments. Any portion of such income that may be taxed under federal law is not subject to Mississippi's income tax. The official source states no dollar cap, percentage limit, deadline, or duration on this exclusion. Separately, retirement income, pensions, and annuities are generally not subject to Mississippi income tax if the recipient has met the retirement plan requirements; early distributions are not considered retirement income and may be subject to tax.
Important to know
The Mississippi Department of Revenue FAQ confirms the exclusion for "Veterans' Administration payments" but does not specifically address military disability retirement pay by that name.
Verified information & sources
- Last verified
- May 12, 2026
- Official source
- dor.ms.gov
- Apply at
- msva.ms.gov
Compiled and fact-checked against the official source linked above. Benefit rules and dollar amounts change over time — always confirm current details at the official source before applying. A county Veterans Service Officer (VSO) is a free, accredited advocate who can review your eligibility and help you file at no cost.
How VetUnlock verifies benefitsFrequently asked questions about VA Disability Pay Tax Exemption
Who qualifies for VA Disability Pay Tax Exemption?
VA Disability Pay Tax Exemption is for Veterans; available to any veteran; mississippi residency. See the eligibility details on this page and confirm with the official source before applying.
How much is VA Disability Pay Tax Exemption worth?
The listed value is Full exemption of VA disability and military disability retirement pay. Amounts can change — confirm the current figure at the official source linked on this page.
How do I apply for VA Disability Pay Tax Exemption?
Apply through the official source linked on this page. A county Veterans Service Officer (VSO) can review your eligibility and help you file at no cost.
Where can I verify VA Disability Pay Tax Exemption?
Benefit rules and dollar amounts change, so always confirm current details at the official source linked on this page. A free, accredited county or state Veterans Service Officer (VSO) can also verify your eligibility and help you apply.
Other Mississippi Tax Benefits
- Military Retirement Pay Tax ExemptionFull retirement pay exemptionMilitary retired pay is fully exempt from Mississippi state income tax.
- Reserve Component Pay Tax ExemptionUp to ~$600/year in tax savingsFirst $15,000 of reserve component pay exempt from Mississippi state income tax.
- Homestead Property Tax Exemption (100% Disabled)100% property tax exemptionFull exemption from all property taxes on homestead for 100% service-connected disabled veterans.