If you serve in the military or have served, a Texas veteran property tax exemption can lower what you owe on your home, and in some cases erase the bill entirely. Texas is a popular place to land after a PCS, which is short for Permanent Change of Station, the official military move from one duty station to another, and it offers some of the strongest property tax breaks in the country for veterans. This guide covers the main rules in plain language. Tax law changes, so treat these figures as a starting point and confirm the current amounts before you file.
The Texas Disabled Veteran Property Tax Exemption
Texas gives disabled veterans a property tax break that grows with their VA disability rating. The VA is the U.S. Department of Veterans Affairs, the federal agency that rates service-connected disabilities. Under Texas Tax Code Section 11.22, a partial exemption removes a set dollar amount from the taxable value of one property the veteran owns. According to the Texas Comptroller's disabled veteran exemption FAQ, the amounts as of the 2025 tax year are up to $5,000 off for a 10% to 29% rating, up to $7,500 for 30% to 49%, up to $10,000 for 50% to 69%, and up to $12,000 for 70% to 100%.
A veteran age 65 or older with at least a 10% rating, who is totally blind in one or both eyes, or who has lost the use of a limb may also qualify for the $12,000 exemption. Unlike most exemptions, this one can apply to any one property you own, not just your home.
Veterans rated at the top get the biggest benefit. Under Texas Tax Code Section 11.131, a veteran awarded 100% disability compensation from the VA because of a 100% disability rating or a determination of individual unemployability can receive a full exemption on the total appraised value of their residence homestead. A homestead is simply the home you own and live in as your main residence. As the Comptroller's 100 percent disabled veteran FAQ explains, this exemption can wipe out the property tax on that home.
These benefits can also reach families. A surviving spouse who has not remarried may keep the total homestead exemption on the same home, and surviving spouses or children may qualify for the partial exemption too, subject to specific conditions you can confirm with the official sources below.
How It Works With the Homestead Exemption
Texas also offers a general residence homestead exemption that any qualifying homeowner can claim, veteran or not, which lowers the taxable value of your main home for school district taxes. Texas voters approved an increase in November 2025, raising it from $100,000 to $140,000 for tax years that begin on or after January 1, 2025, as the official ballot summary for Texas Proposition 13 shows. The Comptroller's pages were still being updated when this was written, so verify the current amount with your county before you file.
The good news for veterans is that these breaks can stack. A disabled veteran can claim both the general homestead exemption and the disabled veteran exemption that fits their rating, so every exemption chips away at the bill. Texas has no state property tax; local taxing units set the rates, so your savings depend on where you live.
Military Pay and Texas State Income Tax
Texas is one of a small group of states with no personal income tax, as the Texas Comptroller's office confirms. For service members and veterans, that is a real advantage beyond property taxes.
Because there is no state income tax, Texas does not tax your active-duty military pay, your military retirement pay, or your VA disability compensation at the state level. More of your check stays in your pocket compared with many other states. You will still owe federal taxes, but you can leave the state income tax line off your Texas budget.
A Note for Military Spouses: MSRRA
If you are a military spouse, the Military Spouse Residency Relief Act, known as MSRRA, may matter to you. MSRRA is a federal law that lets a military spouse keep a home state for tax and voting purposes even after moving on military orders. You do not automatically become a Texas resident just because your service member got orders here.
Since Texas has no state income tax, claiming Texas as your residence can be simple and favorable while you are stationed here. Residency rules can get detailed, so confirm how MSRRA applies to your family before you make a change. For the property tax exemptions in this guide, what usually matters most is whether the home is your principal residence.
How to Apply and Where to Verify
You apply for these breaks through your local county appraisal district, the office that processes exemptions in your county. For the disabled veteran partial exemption, the Comptroller directs veterans to Form 50-135, Application for Disabled Veteran's or Survivor's Exemptions. For the general homestead exemption and the 100% disabled veteran homestead exemption, you use Form 50-114, Residence Homestead Exemption Application. You will need your VA award letter showing your disability rating; a driver's license is not accepted as proof of it.
