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State Benefit·Tennessee·🏛️Tax Benefits

No State Income Tax

Tennessee has no state income tax; military retirement pay, VA disability compensation, and TSP distributions are not taxed.

Verified May 12, 2026againsttn.gov

At a glance

Benefit type
Tax Benefits — Tennessee
Who it's for
Veterans, Active Duty, National Guard, Reservists, Spouses, Survivors, Dependents
VA rating needed
No rating requirement
Where it applies
Tennessee
Last verified
May 12, 2026

What is No State Income Tax?

No State Income Tax is a Tennessee tax benefits benefit for veterans, active duty, national guard, reservists, spouses, survivors, dependents. Tennessee has no state income tax; military retirement pay, VA disability compensation, and TSP distributions are not taxed.

Who qualifies

VeteransActive DutyNational GuardReservistsSpousesSurvivorsDependents
  • Available to any veteran
  • Tennessee residency

How to apply

Apply through the official Tennessee agency.

Open application

What No State Income Tax covers

Overview

Tennessee has no state income tax. Military retirement pay, VA disability compensation, and TSP distributions are not taxed at the state level. This applies to all Tennessee residents.

Verified information & sources

Last verified: May 12, 2026

Official source: tn.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 benefits →

Frequently asked questions about No State Income Tax

Who qualifies for No State Income Tax?▾
No State Income Tax is for Veterans, Active Duty, National Guard, Reservists, Spouses, Survivors, Dependents; available to any veteran; tennessee residency. See the eligibility details on this page and confirm with the official source before applying.
How do I apply for No State Income Tax?▾
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 No State Income Tax?▾
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 Tennessee Tax Benefits

Property Tax Relief for Disabled Veterans

Property tax relief calculated on the first $175,000 of market value of the primary residence for qualifying disabled veterans.

$1,000-$3,000+/year

County Motor Vehicle Privilege Tax Exemption

Exemption from county motor vehicle privilege tax (wheel tax) for 100% P&T disabled veterans and former POWs (TCA 5-8-102).

$25-$100/year

Specially Adapted Vehicle Tax Exemption

Sales tax exemption on motor vehicles sold/given/donated to disabled veterans receiving a VA automobile grant, plus exemption on automotive adaptive equipment (TCA 67-6-353).

Thousands in tax savings

See every benefit you qualify for in Tennessee

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