Medal of Honor Recipient Full Income Tax Exemption (Virginia) — Frequently Asked Questions

Question 1

Who qualifies for Medal of Honor Recipient Full Income Tax Exemption in Virginia?

Accepted Answer

Complete exemption of all military retirement income from Virginia state income tax for Medal of Honor recipients. It is available to any honorably discharged veteran regardless of disability rating. You must be a Virginia resident to qualify.

Question 2

How much is Medal of Honor Recipient Full Income Tax Exemption worth in 2026?

Accepted Answer

Medal of Honor Recipient Full Income Tax Exemption is valued at Full exemption of military retirement income. Amounts reflect 2026 Virginia state rates and may be adjusted by the state legislature; verify current values with the relevant Virginia state agency or the official application URL on this page before applying.

Question 3

How do I apply for Medal of Honor Recipient Full Income Tax Exemption?

Accepted Answer

Apply through the official Virginia agency at tax.virginia.gov (linked from this page). Required documentation typically includes: (1) DD-214 or equivalent discharge document, (2) proof of Virginia residency. For free help with the application, contact your county Veterans Service Officer (VSO).

Question 4

How does Medal of Honor Recipient Full Income Tax Exemption affect my Virginia state taxes?

Accepted Answer

Medal of Honor Recipient Full Income Tax Exemption reduces your Virginia state tax obligation. The savings depend on your local mill rate, assessed home value, and any other exemptions that apply. Federal taxes are unaffected — this is a state-level benefit only. Consult a Virginia tax professional for personalized impact analysis.

Question 5

Does Medal of Honor Recipient Full Income Tax Exemption stack with federal VA benefits?

Accepted Answer

Yes. Medal of Honor Recipient Full Income Tax Exemption is a Virginia state benefit administered separately from federal VA benefits. Virginia veterans can receive federal VA disability compensation, VA healthcare, GI Bill education benefits, AND any Virginia state programs they qualify for simultaneously. Some specific overlaps (e.g., state tuition assistance) may require exhausting federal benefits first; check the eligibility section above.

Question 6

Does Medal of Honor Recipient Full Income Tax Exemption cover spouses or surviving family members?

Accepted Answer

Medal of Honor Recipient Full Income Tax Exemption as listed is the veteran-directed program. Virginia administers several parallel programs for spouses, surviving spouses, and dependent children — including dependent tuition waivers, survivor benefits, and (in many states) cemetery interment rights. Eligibility for those is determined separately by family relationship and the veteran's service record. See the related-benefits section below.

Question 7

Is there a deadline or annual renewal for Medal of Honor Recipient Full Income Tax Exemption?

Accepted Answer

Most Virginia tax-related veteran benefits require annual filing. Some programs once approved continue automatically until eligibility changes (e.g., moving out of Virginia, change in disability rating, or death of the veteran). Verify renewal requirements with the issuing Virginia agency.

Question 8

Is Medal of Honor Recipient Full Income Tax Exemption a federal or state benefit?

Accepted Answer

Medal of Honor Recipient Full Income Tax Exemption is a Virginia state-level benefit, administered by Virginia's state Department of Veterans Affairs (or partner state agency depending on benefit type). It is funded by Virginia state taxpayers and is in addition to — not instead of — any federal VA benefits a veteran qualifies for. Eligibility requires Virginia residency.

Medal of Honor Recipient Full Income Tax Exemption

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Other Virginia Tax Benefits

Military Retirement Pay Income Tax Subtraction

Survivor Benefit Plan (SBP) Income Tax Subtraction

VA Disability Compensation State Tax Exemption

Surviving Spouse Property Tax Exemption (Died in Line of Duty)

See every benefit you qualify for in Virginia