Kentucky VA Disability Benefits & Resources for Veterans

The Kentucky Department of Veterans Affairs (KDVA) runs the state’s veterans centers and cemeteries and employs Veterans Benefits Field Representatives who file VA claims for free. Kentucky’s biggest benefits for disabled veterans are a homestead exemption that takes $49,100 off a home’s assessed value and a low-cost sportsman’s license at 50% or higher. Military retirement pay is only partly exempt from state income tax.

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

Key benefits at a glance

Property tax exemption

Kentucky’s homestead exemption comes from Section 170 of the state constitution. It lowers the taxable value of your primary residence by a fixed amount, which the Department of Revenue resets every two years. For the 2025 and 2026 assessment years, the exemption is $49,100. For example, a home assessed at $200,000 is taxed on $150,900.

• Who qualifies on disability: homeowners classified as totally disabled under a program run by a U.S. government agency (or a retirement system) who received disability payments under that classification for the entire year. Kentucky does not set a VA percentage. Your county PVA decides whether your VA award counts as “totally disabled,” so bring a VA letter showing 100% or TDIU and ask the PVA.
• Reapplying: most disability applicants must reapply each year, but veterans with a service-connected disability are exempt from that rule.
• Form and deadline: file Form 62A350 with the Property Valuation Administrator in your county by December 31 of the year you want the exemption. You must own and live in the home as of January 1 of that tax year.
• Changes: if your disability status changes and payments stop, you must tell the PVA. If you don’t, you can be billed for up to five years of exemption.

State income tax

For tax year 2025, Kentucky lets every taxpayer exclude up to $31,110 of pension and retirement income, military retirement included. Enter the exclusion on Schedule M. If your military or federal pension is more than $31,110, complete Schedule P, which may let you exclude more. In 2025, the General Assembly considered a bill to fully exempt military pensions (HB 192), but it never left committee.

VA disability compensation is not included in federal adjusted gross income (IRS Publication 525), so Kentucky does not tax it. Active-duty military pay is also exempt from Kentucky income tax.

Vehicle registration and license plates

Under KRS 186.041, a Kentucky resident gets a registration and license plate with no registration fee, at issue or renewal, if the veteran:

• has been declared 100% service-connected disabled by VA,
• received VA assistance to buy a vehicle, or
• received the Congressional Medal of Honor.

Complete Form TC 96-217 (notarized), attach your VA documentation, and file it with your county clerk. The clerk still collects usage tax and ad valorem tax on the vehicle.

Hunting and fishing licenses

Kentucky residents rated at least 50% service-connected can buy the Disabled Sportsman’s License for $12.68. It includes:

• the combination hunting and fishing license,
• the statewide deer permit,
• spring and fall turkey permits,
• the Kentucky migratory bird/waterfowl permit, and
• the trout permit.

It does not include additional deer permits, the bear permit, the trapping license or the federal duck stamp, and waterfowl hunters must still complete the HIP survey each year. The license year runs March 1 through the end of February.

Before buying, submit a VA letter confirming a service-connected rating of at least 50%, with your current Kentucky address and the last four digits of your SSN, to the Kentucky Department of Fish and Wildlife Resources. You can upload it under “My Profile,” fax it to (502) 564-9845, or mail it to KDFWR Disabled License, 1 Sportsman’s Lane, Frankfort, KY 40601. The authorization lasts three years.

Education benefits

KDVA’s Dependent Tuition Waiver covers tuition only (not room, board, books or fees) at Kentucky’s state-supported two-year, four-year and vocational-technical schools. Children, stepchildren, spouses and unremarried surviving spouses can qualify if the veteran:

• died on active duty,
• died of a service-connected disability,
• is 100% service-connected disabled,
• is totally disabled from a non-service-connected condition and had wartime service, or
• is deceased, served during wartime, and lived in Kentucky at death.

The veteran must be a current Kentucky resident, or have been one at the time of death. For children, the waiver ends at age 26, after 45 months of classes, or when a degree is earned. Apply only after you are accepted to the school, and allow at least 30 days for processing. Contact KDVA’s tuition waiver coordinator at 502-503-7911 or [email protected].

State veterans homes

KDVA calls its state veterans homes “veterans centers.” They provide skilled long-term nursing care to Kentucky residents with an other-than-dishonorable discharge. Veterans rated 70% or higher have no out-of-pocket cost because VA pays the full per diem.

• Thomson-Hood Veterans Center — Wilmore
• Paul E. Patton Eastern Kentucky Veterans Center — Hazard
• Joseph “Eddie” Ballard Western Kentucky Veterans Center — Hanson
• Carl M. Brashear Radcliff Veterans Center — Radcliff

A fifth, 60-bed home, the Robert E. Spiller Bowling Green Veterans Center, has finished construction. KDVA still lists its grand opening as upcoming, so confirm admissions with KDVA before applying.

Employment preference

Kentucky state hiring uses interview preference, not points. Under KRS 18A.150, veterans with an honorable or general discharge, current service members, and their spouses and unremarried surviving spouses who meet the minimum qualifications are flagged on competitive classified (merit) job postings. The hiring agency must interview at least five of them, or all of them if fewer than five apply. Parents who depended on a service member who died on active duty or became permanently and totally disabled from a service-connected condition also qualify. The preference applies only to initial appointments.

How to apply for Kentucky veteran benefits

1. Download your VA benefit summary letter from VA.gov. Your PVA, county clerk, KDFWR and KDVA will all ask for proof of your rating.
2. For the homestead exemption, file Form 62A350 with your county Property Valuation Administrator by December 31, along with documentation of your total disability classification.
3. For no-fee plates, bring a notarized Form TC 96-217 and your VA documentation to the county clerk when you register the vehicle.
4. Submit your 50%+ VA letter to Kentucky Fish and Wildlife, then buy the Disabled Sportsman’s License each license year.
5. For free help with VA claims or state benefits, contact KDVA at (502) 564-9203 (1111B Louisville Road, Frankfort, KY 40601) or find a Veterans Benefits Field Representative.

VA offices and medical centers in Kentucky

The Louisville VA Regional Benefit Office is at 321 W. Main St., Suite 390, Louisville, KY 40202.

VA medical centers in Kentucky:

• Robley Rex VA Medical Center — Louisville
• Lexington VA Health Care System, Franklin R. Sousley Campus — Lexington (Leestown Road)
• Lexington VA Health Care System, Troy Bowling Campus — Lexington (Veterans Drive)

To find outpatient clinics, use the VA facility locator.

Filing a federal VA disability claim from Kentucky

VA disability claims follow the same federal process in every state. See how to file a claim, check your claim status, and review the 2026 compensation rates. KDVA’s Veterans Benefits Field Representatives are accredited and can help you file and appeal at no cost. If you are in crisis, call 988 and press 1.