Iowa lists 14 veteran benefits: 2 property tax, 2 income tax, 1 education, 1 employment, 2 vehicle, 2 recreation, 3 financial, 1 veterans home.
Full property tax credit equal to 100% of the homestead's actual tax levy (i.e., complete exemption from homestead property taxes). Available to veterans with a permanent 100% service-connected disability rating, or a permanent and total rating based on individual unemployability (TDIU) paid at the 100% rate, as certified by the VA. Surviving spouses receiving DIC also qualify (even upon remarriage). Veteran must own/occupy the Iowa homestead; file by July 1; no annual refiling required. Homestead limited to 40 acres rural / 0.5 acre in-city.
Reduces the taxable assessed value of a qualifying veteran's property. Available to any veteran honorably discharged (or 'general under honorable conditions') from active U.S. armed forces, reserves, Iowa National Guard, or merchant marine, no disability rating required. File once with the city/county assessor by July 1; carries forward automatically while the claimant owns the property.
Iowa fully excludes federal military retirement benefits and military survivor (SBP) benefits from state individual income tax, regardless of the retiree's age, under Iowa Code 422.7(31A)/(31B) (effective for tax years beginning on/after Jan 1, 2014). Applies to the extent the pay is in federal AGI; in addition to the general $6,000/$12,000 pension exclusion for those 55+.
VA disability compensation is exempt from Iowa state income tax (VA disability payments are federally tax-free in all states and are not added back for Iowa purposes).
State-funded scholarship (Iowa Code 261.86) paying schools directly for tuition for active members of the Iowa Army/Air National Guard at eligible Iowa colleges/universities. Subject to annual legislative appropriation; recent appropriations have funded up to 100% of tuition for fall/spring classes. Requires Iowa residency, active satisfactory Guard membership, completion of initial entry training, and not yet holding a bachelor's degree.
Honorably discharged veterans receive a hiring preference for public employment across state, county, city, and school positions. For point-rated qualifying exams (civil service), 5 percentage points are added to the veteran's score; an additional 5 points (10 total) are added if the veteran has a service-connected disability, receives VA disability compensation, or is a Purple Heart recipient. Iowa DAS state-hiring page expresses this as 5 points / 10 points.
Disabled veterans whose vehicle is provided/assisted by the VA may obtain one Disabled Veteran license plate at no charge, with no registration fee, and renew it free of charge. Requires VA certification submitted to the county treasurer.
Under Iowa Code 321.191, honorably discharged veterans are exempt from chauffeur/commercial driver's license fees, and veterans with a permanent 100% service-connected disability rating are exempt from operator/motorcycle license fees. Active duty members also receive fee waivers.
Resident veterans who qualify for/receive the Disabled Veteran Homestead Credit, or who hold a current VA letter showing a 100% service-connected rating, may obtain a Lifetime Trout License for $65.00. This is separate from the $7 lifetime hunting/fishing license.
Iowa resident veterans with any VA service-connected disability rating (DNR confirms even a 0% rating qualifies), or former POWs, may purchase a lifetime hunting and/or fishing license for $7. Holders of the lifetime hunting license are also exempt from the habitat fee. Veteran must be an Iowa resident (90-day residency) and provide DD-214 plus a current VA service-connected disability letter. Tags and stamps still required separately.
Grant (commonly cited as $5,000) to assist eligible post-9/11 service members with purchasing a home in Iowa; tied to qualifying service after the program's effective date (March 10, 2005). Exact current amount per IDVA primary page not re-confirmed this session.
Grant of up to $10,000 for Iowa service members seriously injured in the line of duty in a hazardous-duty area after September 11, 2001, to assist during recovery.
State fund administered by IDVA providing emergency relief to eligible veterans, including assistance for unemployment/underemployment due to service-related causes, vision/hearing/dental care, prescription drugs, counseling, vehicle and housing repairs, and emergency/transitional housing.
State-operated residential and long-term/skilled nursing care facility in Marshalltown for honorably discharged Iowa veterans (and in some cases spouses). Operated by the State of Iowa.
Sources: revenue.iowa.gov, legis.iowa.gov, das.iowa.gov, ia.iowadot.gov, iowadot.gov, iowadnr.gov, dva.iowa.gov.
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