Almost 40% of Alabama’s veterans are living with service-connected disabilities, one of the highest proportions in the nation. In 2024 alone, the U.S. Department of Veterans Affairs reported that 114,085 out of its 339,331 veterans received over $3.7 trillion in disability compensation. And more than half of the disabled veterans in Alabama report being rated at 70% or higher, a level of impairment that demands substantial support and resources.

To assist the state’s community of veterans and their families, Alabama provides specific benefits in addition to the federal VA compensation and benefits. Alabama state programs for veterans include property tax exemptions, free disabled veteran vehicle tags, tuition support for dependents, veteran hiring preference, recreational access, and more. 

The Hill & Ponton guide helps Alabama’s disabled veterans and their loved ones learn about the state and federal benefits they may be entitled to. It explains the specific programs and resources offered by the State of Alabama and how to access them. 

Disabled Veterans Tax Exemptions 

Do 100% Disabled Veterans Pay Property Taxes in Alabama?  

Totally disabled veterans do not pay property taxes in Alabama. The state offers a full property tax exemption to residents who: 

  • are permanently and totally disabled (regardless of income or veteran status) 
  • acquired their home through a VA Specially Adapted Housing Grant, regardless of its value 
  • are over the age 65 and have an adjusted gross income of less than $12,000 (partial tax exemptions are available for those whose income is above $12,000) 

The exemption applies to a single-family owner-occupied home and up to 160 acres of land. The veteran or their un-remarried widow(er) must own and occupy it as their primary residence on the first day of the tax year they are applying for an exemption. Applicants must submit VA documentation verifying disability and file with their local tax county office

Transportation Benefits

Do Disabled Veterans Pay Sales Tax on Vehicles in Alabama? 

Alabama waives sales tax for specially adapted vehicles owned by disabled veterans who receive a VA grant for automobile modifications. 

Do Disabled Veterans Get Free Car Registration in Alabama?  

Yes, all veterans with a service-connected disability rated at 10% or higher are exempt from state registration fees, license taxes, and issuance costs for one vehicle registered with a disabled veteran plate. This benefit is limited to personal-use vehicles and requires eligibility verification. 

Disabled Veteran Tag Requirements 

  • Veterans with a VA service-connected disability rating of 10% or more are eligible to receive a disabled veteran plate exempt from fees. If the veteran’s disability rating is below 50%, they are limited to one plate, and it cannot be transferred to another vehicle. 
  • Veterans whose disability rating is higher than 50% or who require special mechanical controls in their vehicle due to a physical disability can be issued multiple license plates. The registration fee for these additional tags is $5.00 each. 
  • Veterans whose vehicle was fully or partially funded by the VA are limited to one free disabled veteran license plate, but it is fully exempt from both state license fees and ad valorem (property) taxes. 

All the disabled veteran tags in Alabama are non-transferable and must remain with the original qualifying vehicle. Veterans must submit proper VA documentation and apply through their local county licensing office. While the state waives registration fees for eligible applicants, local taxes or fees may still apply, depending on the county. Find out more. 

Education Benefits

Does the State of Alabama Cover Tuition for a Disabled Veteran’s Dependents?  

Yes, the Alabama G.I. Dependents Scholarship Program covers up to $250 per semester hour and $1,000 per semester for textbooks and fees at public colleges in the state for eligible dependents of: 

  • Veterans rated 40% or more service-connected disabled 
  • Veterans who died from a service-connected condition 
  • Prisoners of war (POWs) and those declared MIA 

Eligible dependents include children, stepchildren, spouses, or unremarried surviving spouses of veterans who served honorably for at least 90 days or were discharged earlier due to a service-connected disability. Children and stepchildren of qualified veterans can receive support for up to five academic years (10 semesters). Spouses and unremarried surviving spouses are eligible for five years of education benefits if the veteran is 100% permanently and totally disabled, or three years (six semesters) if the veteran is rated between 40–90% disabled. 

Applicants must be Alabama residents and have 6 years from the date of their application to use their semesters. This education benefit cannot be granted retroactively. Children must begin using the scholarship before the age 26 (or age 30 in limited circumstances). In the case of stepchildren, the veteran and the stepchild’s parent must be legally married prior to the child’s 19th birthday. 

Free College Tuition for Purple Heart Recipients in Alabama 

Veterans who received the Purple Heart can get their undergraduate tuition and fees waived at any public college or university in Alabama, including community and technical colleges. The tuition waiver covers up to 125% of the required credit hours for the degree or certificate. To qualify, the veteran must: 

  • Have received the Purple Heart and submit a DD-214 as proof 
  • Be enrolled in an undergraduate program (full-time, part-time, or summer) 
  • Be a current Alabama resident and have been a resident at the time of the military service that led to the award 

Employment Benefits for Alabama Veterans 

Veteran Hiring Preference in Alabama 

Alabama law gives employment preference to qualified veterans, especially those with service-connected disabilities, for state government positions. Veterans who were honorably discharged receive 5 extra points added to their score on state job exams. If the veteran has a service-connected disability and receives VA compensation, they get 10 extra points instead. The 10-point preference can be extended to the spouses of certain disabled veterans. 

Veterans are also given priority on employment lists when tied with non-veteran candidates. Private employers are authorized to have their own veteran hiring preference policy. 

Business License Discounts for Disabled Veterans 

Disabled veterans with a 25% or greater physical disability (whether service-connected or not) can receive a discounted business license, paying no more than $25 in state, county, or city license fees. To be eligible, the veteran must: 

  • Be a permanent Alabama resident 
  • Operate a small business alone or with only one employee 
  • Have property valued under $5,000 and net income under $2,500 

Preferred Vendor Status for Alabama Veteran-Owned Businesses

Alabama businesses that are over 50% veteran-owned may qualify as a preferred vendor. This means they can still win a state contract even if their bid is up to 5% higher than the lowest bid, though selection is not guaranteed. 

Recreation Benefits

Do Disabled Veterans Get Free Access to Alabama State Parks?  

Yes. Alabama residents who are honorably discharged veterans get free entry to all Alabama state parks on days they’re open to the public. Veterans must show proof of service using a military ID (active or retired), an Alabama driver’s license with the veteran designation or a DD-214. 

Out-of-state veterans who are active duty or retired military can enjoy free state park admission on state and federal holidays with valid military ID.

Free Access to National Parks for Alabama Veterans

Since November 2020, all U.S. military veterans and Gold Star Families are eligible for free lifetime access to: 

  • U.S. National Parks 
  • National Wildlife Refuges 
  • Bureau of Land Management recreation areas 
  • Bureau of Reclamation and U.S. Forest Service sites 

 Visit nps.gov for details and how to get your free access pass. 

Special Discounted Hunting Licenses for Disabled Veterans 

  • Veterans who are 100% service-connected disabled can get a hunting license for $2, plus a small issuance fee. 
  • Veterans with a 50% disability rating can buy a hunting license at 50% off the usual cost, plus the issuance fee. 
  • These veterans can also get a nighttime feral swine and coyote hunting license by paying only the issuance fee. 

Lifetime Hunting Licenses 

Veterans who are Alabama residents with a VA disability rating of 40% or higher can buy a lifetime hunting license instead of renewing yearly. Pricing depends on age and whether the veteran is rated 100% totally and permanently disabled. 

Disabled Veteran Discounts for Fishing Licenses in Alabama  

Alabama veterans with a VA disability rating of 20% or more can receive a discounted fishing license to fish in Alabama waters. To apply, the veteran must show proof of their disability from the VA. Licenses can be obtained at Wildlife and Freshwater Fisheries District Offices, Probate Offices and County License Commissioners. 

Lifetime Fishing Licenses for Disabled Veterans 

Veterans with a 20% or higher disability rating may also purchase lifetime freshwater or saltwater fishing licenses instead of renewing annually. Costs vary based on age, with veterans over 50 paying a reduced rate. 

Special 3-Day Event Fishing License

Groups can apply for a special 3-day fishing license for events, allowing up to 20 disabled participants and 20 assistants. This license costs $100 and is open to both veterans and civilians. Call Outdoor Alabama at 1-888-848-6887 to apply. 

Healthcare Benefits

In addition to VA medical centers and clinics, Alabama operates five veterans homes for aging or chronically disabled veterans who need long-term care. These homes are a partnership between the state, federal government, and private industry to provide affordable, high-quality living and medical support for eligible veterans. 

  • Bill Nichols State Veterans Home – Alexander City 
  • Floyd E. “Tut” Fann State Veterans Home – Huntsville
  • William F. Green State Veterans Home – Bay Minette 
  • Colonel Robert L. Howard State Veterans Home – Pell City 
  • Command Sgt. Maj. Bennie G. Adkins State Veterans Home – Enterprise (opened in 2024) 

These facilities are designed for veterans who can no longer be cared for at home and need 24/7 nursing care. Applications are available through local veterans service offices, directly from the facility, or online. Learn more

Burial and Survivor Benefits

Located in Baldwin County, the Alabama State Veterans Memorial Cemetery at Spanish Fort spans over 120 acres and includes burial options such as ground crypts, traditional graves, columbarium niches, and a scatter garden. Veterans and their spouses can pre-register at no cost, which helps confirm eligibility and eases the process for loved ones later. Required documents include a DD-214 and, if married, a marriage certificate. Pre-registration does not obligate the veteran to be buried there. Learn more. 

Surviving spouses and dependents are also eligible for death and burial benefits, Dependency and Indemnity Compensation (DIC), accrued benefits and more. Find out more about getting survivor benefits

Federal Benefits Available to Alabama Veterans 

In addition to Alabama’s specific benefits, disabled veterans also get a wide range of federal VA disability benefits, including: 

  • Monthly tax-free compensation payments based on disability rating (calculate it here
  • Medical care, including mental health services and counseling  
  • Home loans and housing benefits  
  • Vocational rehabilitation and employment services  
  • Education benefits through the GI Bill  
  • Survivor benefits  
  • Federal hiring preference  

Eligibility for some of these benefits depends on the disability rating percentage. Use the links below to see what federal benefits Alabama veterans can get with a rating of 50%, 60%, 70%, 80%, etc

100% Disabled Veteran Benefits

Alabama veterans with a 100% disability rating receive the highest level of federal VA benefits, including:

  • Full monthly VA compensation
  • Full VA healthcare coverage
  • Dental care
  • Adaptive equipment grants

See all federal benefits for a 100% disabled Alabama veteran → 

100% Disabled Veteran Benefits for Spouse and Dependents

Spouses and family members of 100% disabled veterans may also be able to get several benefits:

  • CHAMPVA healthcare  
  • DIC eligibility  
  • Education benefits  
  • Continued property tax exemption  
  • Access to Alabama state resources  

Benefits for Toxic Exposure

Veterans who served at contaminated military bases or who were exposed to Agent Orange, burn pits, or other environmental hazards may qualify for additional VA benefits. Bases in or near Alabama with known toxic exposure issues include: 

If you served at a base in a different state, you can find yours using the Military Base Toxic Exposure Map.

Getting VA Disability in Alabama 

Getting through the VA disability claims process can be tricky, but there are local and national resources to help guide you. These resources include local veteran groups, state-supported VA services, and experienced disability attorneys.

How to Apply for VA Benefits in Alabama – Free Guide

Attorney Matthew Hill has written THE book on how to get VA disability compensation and benefits. And it’s yours free of charge. We also offer a free ebook for easy, immediate access.  

Alabama State Assistance and Resources 

  • Veterans Service Offices – The Alabama Department of Veterans Affairs (ADVA) operates Veterans Service Offices (VSOs) in 62 counties, organized into four districts: north, south, east, and west. These offices help veterans, their families, and survivors apply for state and federal benefits earned through honorable military service. 
  • Veteran Treatment Courts – These special court programs are designed to help veterans avoid jail time when dealing with mental health or substance abuse issues. Instead of punishment, veterans are offered medical and mental health care and other support services. 
  • Homeless Veteran Program – ADVA supports veterans with state and federal resources through its facilities in North Alabama, the Birmingham/Tuscaloosa Area, Central Alabama and South Alabama. 

Help from Experienced Lawyers 

Our VA-accredited attorneys proudly serve Alabama veterans who were denied or underrated, with no upfront costs. Contact us for a free evaluation – even if we don’t take your case, we’ll point you in the right direction!

Hill & Ponton has successfully assisted disabled veterans all over Alabama. Find out more about our legal services: