Mississippi Veteran Tax Exemptions 2026

Mississippi takes a straightforward approach for its most severely disabled veterans: your VA disability compensation is exempt from state income tax, and if you have a full service-connected disability rating, the state can wipe out your property tax bill entirely. That combination of income relief and property tax relief makes Mississippi one of the more generous states for disabled vets who have reached that top level. This page explains the requirements for each benefit and how to apply.

Does Mississippi tax VA disability income?

No. Mississippi does not tax VA disability compensation. The state treats it the same way the federal government does, which means it is left off your taxable income entirely. Whether you are rated 10 percent or 100 percent, your VA disability pay is not taxed by Mississippi.

Mississippi property tax exemption for disabled veterans

Full exemption at 100% service-connected. 100% service-connected vets are fully exempt.

A full service-connected disability rating earns you a complete property tax exemption on your home, which means the bill drops to zero, not just reduced.

What rating do you need in Mississippi?

The size of your break depends on your combined VA rating. In Mississippi, the full break is reserved for veterans at the top rating, usually 100 percent or 100 percent Permanent and Total. Lower ratings may still qualify for a smaller break, so it is worth checking with your county even if you are not yet at 100 percent. Not sure what your combined rating works out to? Run it through our VA disability calculator first, and if you are aiming for the top tier, check whether you qualify for Permanent and Total status.

How to claim your Mississippi exemption

1. Confirm your current combined rating and whether it is Permanent and Total. Your VA award letter shows both.
2. Gather your DD-214 and your VA disability award letter. Most Mississippi offices ask for both.
3. Contact your county tax assessor for the property tax exemption, and the your state tax agency or Department of Veterans Affairs for the income side.
4. File before your county deadline. Many counties require you to apply once, then renew only if your rating changes.

Always confirm the current figures and deadlines with your county assessor and the Mississippi Department of Veterans Affairs before you rely on them. Rules and dollar amounts change year to year.