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Indiana VA Disability Benefits & Resources for Veterans

By Kory Kehl Last updated: Editorial policy

The Indiana Department of Veterans’ Affairs (IDVA) works out of the Indiana Veterans Center, a restored 1920s building at 777 N. Meridian Street in Indianapolis. The biggest recent change is to property tax. Under House Enrolled Act 1210, starting with the 2026 assessment, veterans with a total disability can deduct the entire assessed value of their home, while partially disabled veterans move to smaller flat credits. Indiana also stopped taxing military retirement pay in 2022.

State benefit details verified against official state sources on September 27, 2026.

Key benefits at a glance

BenefitWho qualifiesAmount / limitOfficial source
Totally disabled veteran deductionVeterans with a total disability, 90+ days of service, honorable discharge, 1 year in Indiana100% of the home’s assessed valueDLGF
Disabled veteran creditWartime veterans rated 10%+$350 property tax creditIDVA
Age 62+ disabled veteran creditVeterans 62+ rated 10%+, 90+ days of service$250 property tax credit (stacks with the $350 credit)IDVA
Military retirement income taxMilitary retirees and survivor benefit recipientsEntire amount deductedIN Dept. of Revenue
DAV hunting and fishing licenseIndiana residents with a service-connected disability$2.75 per year or $27.50 for 10 yearsIN DNR
Children’s tuition and fee exemptionChildren of wartime veterans with a service-connected disabilityUp to 124 credit hours at public collegesCHE
Disabled Hoosier Veteran plateVeterans with qualifying mobility, vision or limb loss, or 50%+ with 60% mobility-relatedPlate with disability parking privilegesIDVA
Disabled Hoosier Veteran park passAnyone eligible for the Disabled Hoosier Veteran plate$25 annual state park passIDVA

Property tax exemption

House Enrolled Act 1210 changed Indiana’s disabled veteran property tax benefits, retroactive to the January 1, 2026 assessment date (taxes due in 2027). According to the Department of Local Government Finance:

  • 100% deduction (IC 6-1.1-12-14): veterans with a total disability who served at least 90 days, were honorably discharged, use the home as their primary residence and have lived in Indiana for at least a year before the assessment date can deduct the full assessed value. There is no longer a $240,000 assessed-value cap. A surviving spouse keeps the deduction if the veteran qualified at death, unless the spouse remarries. People who get this deduction cannot also get the veteran credits.
  • $350 credit (IC 6-1.1-51.3-6): replaces the former $24,960 deduction. It is for honorably discharged veterans who served during a war and have a service-connected rating of 10% or more.
  • $250 credit (IC 6-1.1-51.3-5): replaces the former $14,000 deduction for veterans who are 62 or older with a 10% or higher rating and at least 90 days of service. The two credits can be combined.
  • Donated homes: veterans rated 50% or higher who were given a home by a tax-exempt charity can deduct a share of its assessed value equal to their rating.

Deadline and form: file State Form 12662 with your county auditor by January 15 of the year the taxes are first due. Attach your DD-214 and VA award letter. You can also file through your County Veteran Service Officer or send it to IDVA. For 2026-pay-2027 only, auditors automatically switched people who had the old $14,000 deduction to the $250 credit. To get the new 100% deduction, you must file a new application. After approval the benefit carries over from year to year, but you must tell the auditor within 60 days if you stop qualifying.

The statute and IDVA say “total disability” without spelling out how a total rating based on individual unemployability is treated. If your rating is below 100% but paid at the 100% rate, confirm with your county auditor or CVSO before you file.

State income tax

Since tax year 2022, Indiana has let you deduct all military retirement income and military survivor’s benefits, whatever your age, on Schedule 2 (Schedule C for Form IT-40PNR). Report military pay separately from retirement pay. VA disability compensation is not in federal adjusted gross income, so it never reaches the Indiana return.

Vehicle registration and license plates

  • Disabled Hoosier Veteran plate (IC 9-18.5-5): for veterans with service-connected loss or permanent loss of use of one or both feet or hands, or loss of vision in both eyes. It is also open to veterans whose VA rating covers a condition that makes walking painful or difficult, and to veterans rated 50% or higher when at least 60% of the rating is for a mobility disability. The plate carries disability parking privileges. Apply with a VA or service-branch certificate of eligibility.
  • Hoosier Veteran plate: for honorably discharged veterans. It costs $15, plus $45 to personalize.

IDVA does not list a registration fee exemption for disabled veterans, so this page doesn’t claim one.

Hunting and fishing licenses

Indiana residents with a service-connected disability, or with DoD disability retirement, can buy a DAV license for $2.75 a year or $27.50 for 10 years. It covers fishing and small-game hunting. Gamebird, waterfowl and trout and salmon stamps cost extra. For your first license, send State Form 50833 with proof of your disability to the DNR Customer Service Center. After you’re approved, you can buy renewals online at GoOutdoorsIN.com.

Anyone eligible for the Disabled Hoosier Veteran plate can also buy a $25 annual pass for unlimited entry to state parks, recreation areas, reservoirs and forests.

Education benefits

The Tuition and Fee Exemption for Children of Disabled Veterans (IC 21-14-4) is run by the Indiana Commission for Higher Education, and IDVA determines eligibility:

  • Covers tuition and regularly assessed fees for up to 124 credit hours at Indiana public colleges and universities, at the undergraduate resident rate, used within eight academic years.
  • The parent must have served during a war (or on equally hazardous duty recognized by a campaign or service medal), have a service-connected disability or death, and have entered service from Indiana or lived in Indiana for five years before the student applies.
  • If the parent enlisted before July 1, 2011, the exemption covers 100%. If the parent enlisted on or after that date, it covers 20% plus the parent’s VA rating.
  • Students who graduated high school on or after January 1, 2023 can use up to $5,000 a year at Indiana private nonprofit colleges.
  • Apply through ScholarTrack before age 33 and file a FAFSA every year. Children of Purple Heart recipients and Purple Heart veterans themselves also qualify.

State veterans homes

The Indiana Veterans’ Home in West Lafayette (3851 N. River Rd.) is the state’s only state-run veterans’ home. It offers long-term skilled nursing, short-term rehabilitation and memory care to honorably discharged Indiana veterans and their spouses, and it also accepts Gold Star parents. For admissions, call 765-463-1502.

Employment preference

IDVA says Indiana’s state merit system adds points for veterans applying for merit positions or promotions in state government. Ask the hiring agency how points apply to a specific posting. For job placement, veterans’ representatives in Indiana Department of Workforce Development offices around the state can help, and Disabled Veterans’ Outreach Program staff focus on veterans with service-connected disabilities.

How to apply for Indiana veteran benefits

  1. Download your VA benefit summary or award letter from VA.gov and find your DD-214.
  2. For the 100% deduction or the $350 and $250 credits, file State Form 12662 with your county auditor by January 15 of the year the taxes are due.
  3. For the DAV hunting and fishing license, send State Form 50833 and proof of disability to the DNR. For the Disabled Hoosier Veteran plate, take a VA certificate of eligibility to the BMV.
  4. For the children’s tuition exemption, create a ScholarTrack account with the Commission for Higher Education and file a FAFSA.
  5. For free help, contact your County Veteran Service Officer or IDVA at 317-232-3910, 777 N. Meridian Street, Suite 300, Indianapolis.

VA offices and medical centers in Indiana

The Indianapolis VA Regional Benefit Office is at 575 N. Pennsylvania St., Indianapolis, IN 46204.

VA medical centers in Indiana:

  • Richard L. Roudebush VA Medical Center — Indianapolis
  • Fort Wayne VA Medical Center (VA Northern Indiana Health Care System) — Fort Wayne
  • Marion VA Medical Center (VA Northern Indiana Health Care System) — Marion

Veterans in northwest and southwest Indiana are also served by clinics run by the Chicago-area and Marion, Illinois VA systems. You can find outpatient clinics with the VA facility locator.

Filing a federal VA disability claim from Indiana

The federal claim process works the same in every state. Start with how to file, follow your case with check claim status, and compare the 2026 compensation rates. Indiana’s County Veteran Service Officers and IDVA’s district service officers help with claims at no cost. If you are in crisis, call 988 and press 1 to reach the Veterans Crisis Line.

Frequently Asked Questions

What changed in Indiana's disabled veteran property tax benefits for 2026?

House Enrolled Act 1210 rewrote the program starting with the January 1, 2026 assessment (taxes payable in 2027). Veterans with a total disability can now deduct 100% of the assessed value of their primary residence. The old $24,960 deduction for 10%+ wartime veterans became a $350 credit, and veterans 62 or older with a 10%+ rating get a $250 credit. Anyone who wants the new 100% deduction must file a new application, State Form 12662.

When is the deadline to apply for Indiana's disabled veteran deduction or credits?

File State Form 12662 with your county auditor by January 15 of the year the taxes are first due. For example, file by January 15, 2027 for 2026-pay-2027 taxes. Include your DD-214 and your VA award letter. Once approved, the benefit carries over, but you must tell the auditor within 60 days if you become ineligible.

Does Indiana tax military retirement pay?

No. Since tax year 2022, Indiana lets you deduct the entire amount of military retirement income and military survivor's benefits on Schedule 2 (Schedule C for Form IT-40PNR). VA disability compensation is not in federal adjusted gross income, so Indiana does not tax it either.

Can children of disabled Indiana veterans attend college tuition-free?

Children of veterans with a service-connected disability and wartime or equally hazardous service can get up to 124 credit hours of tuition and regularly assessed fees at Indiana public colleges. If the parent enlisted on or after July 1, 2011, coverage is 20% plus the parent's VA rating. The student must apply before age 33 through ScholarTrack.

How much does a hunting and fishing license cost for a disabled veteran in Indiana?

Indiana residents with a service-connected disability can buy the DNR's disabled veteran (DAV) license for $2.75 a year or $27.50 for 10 years. It covers fishing and small-game hunting, but not stamps such as the gamebird, waterfowl or trout and salmon stamps.

Sources

Every rating percentage, diagnostic code, and dollar figure on this page is sourced from the references below. See our editorial policy for how we choose and verify sources.

  1. Indianapolis VA Regional Benefit Office — U.S. Department of Veterans Affairs
  2. Legislation Affecting Deductions, Credits, and Exemptions (May 27, 2026 memo) — Indiana Department of Local Government Finance
  3. Disabled Veteran Property Tax Benefits — Indiana Department of Veterans' Affairs
  4. Indiana Deductions from Income — Indiana Department of Revenue
  5. Income Tax Information Bulletin #27: Military Personnel and Spouses — Indiana Department of Revenue
  6. Veteran License Plates — Indiana Department of Veterans' Affairs
  7. Licenses for Disabled Hunters and Anglers — Indiana Department of Natural Resources
  8. Disabled Veteran Discounted Hunting and Fishing License, and Golden Hoosier Passport — Indiana Department of Veterans' Affairs
  9. Tuition and Fee Exemption - Children of Disabled Veterans — Indiana Commission for Higher Education
  10. Tuition and Fee Exemption — Indiana Department of Veterans' Affairs
  11. Indiana Veterans' Home — Indiana Veterans' Home
  12. Employment Assistance — Indiana Department of Veterans' Affairs
  13. Contact Us — Indiana Department of Veterans' Affairs
  14. VA Indiana Health Care (Roudebush): Locations — U.S. Department of Veterans Affairs
  15. VA Northern Indiana Health Care: Locations — U.S. Department of Veterans Affairs

This content is for informational purposes only and does not constitute legal or medical advice. For personalized guidance, consult a VA-accredited VSO, attorney, or claims agent.