Benefits for Disabled Veterans in Iowa

Do Disabled Veterans Pay Property Taxes in Iowa?

No. Iowa offers a 100% homestead property tax credit to qualifying disabled veterans, eliminating the property tax owed on the home and up to 1/2 acre within city limits or 40 acres outside city limits. The Disabled Veteran Homestead Tax Credit is authorized under Iowa Code section 425.15.

Disabled Veteran Homestead Tax Credit

To qualify, a veteran must meet one of the following:

• Permanent service-connected disability rating of 100% from the VA, or
• Total Disability Individual Unemployability (TDIU) rating paid at the 100% rate, or
• Be a recipient of Dependency and Indemnity Compensation (DIC)

Veterans must own and occupy the home as a homestead and have served on active duty in the U.S. military.

Apply by filing Iowa Form 54-049 with your county or city assessor along with a VA Benefit Summary Letter and a copy of your DD214. The deadline is July 1; applications filed after that date apply to the following assessment year.

Annual reapplication is no longer required, you only need to notify the assessor if your eligibility ends. Learn more from the Iowa Department of Revenue.

Surviving spouses who receive a current DIC or Compensation and Pension Death letter are eligible even after remarriage. Spouses already receiving the credit at the time of the veteran’s death can continue the credit until they remarry or change homesteads.

Military Service Property Tax Exemption

Veterans who don’t qualify for the 100% homestead credit may still claim Iowa’s Military Service Property Tax Exemption, which reduces the assessed value of a home by $4,000 (previously $1,852 for most service periods before 2023 reforms). To qualify, you must have served on active duty during a period of war or for at least 18 months during peacetime, or have at least 20 years of service in the Iowa National Guard or military reserve.

Veterans must file the exemption with the county assessor by July 1 and provide their DD214 or equivalent discharge document. A veteran cannot receive both this exemption and the Disabled Veteran Homestead Tax Credit on the same property. Find more property tax credit details.

Injured Veterans Grant

Iowa’s Injured Veterans Grant (Iowa Code 35A.14) provides up to $10,000 in emergency financial assistance to service members and veterans who were seriously injured in the line of duty in a hazardous area after September 11, 2001.

Grants are paid in $2,500 increments: $2,500 at medical evacuation from the hazardous area, and additional $2,500 payments at the 30-, 60-, and 90-day marks if the veteran remains hospitalized or in active military or VA medical treatment. Find out more about the Injured Veterans Grant.

Iowa Veterans Trust Fund

The Iowa Veterans Trust Fund provides need-based assistance for veterans and their families experiencing hardship. Approved uses include unemployment or underemployment assistance from service-related causes, vision, hearing, dental care, durable medical equipment, prescription drugs, counseling and substance abuse services, vehicle repairs, housing repairs, and emergency transitional housing.

Household income cannot exceed 300% of federal poverty guidelines. Applications are submitted through your County Veteran Service Officer. See all Iowa state benefits.

Military Homeownership Assistance Program

The Iowa Finance Authority’s Military Homeownership Assistance Program provides a $5,000 grant toward down payment and closing costs on a primary residence in Iowa. Veterans with a service-connected disability and 90+ days of active duty between specified service periods (8/2/1990–4/6/1991 or 9/11/2001 to present) qualify, as do qualifying surviving spouses.

The grant is paired with an IFA-participating lender mortgage and can be combined with the FirstHome or Homes for Iowans programs. Funding is allocated annually — confirm availability before applying. Find out more.

Do Disabled Veterans Pay Sales Tax on Vehicles in Iowa?

Yes. Iowa does not offer a separate state sales or use tax exemption for vehicles purchased by disabled veterans. However, seriously disabled veterans who received a specially adapted vehicle from the U.S. Government under 38 U.S.C. §§ 3901–3904 are exempt from paying annual vehicle registration fees on that vehicle through Iowa’s Disabled Veteran license plate program.

The exemption applies to one vehicle and can be transferred to a replacement vehicle. If the eligible vehicle is later sold to someone who does not qualify, the registration fees resume. See the Iowa vehicle registration FAQ.

Disabled Veteran License Plates in Iowa

Iowa issues a Disabled Veteran license plate to veterans who received federal financial assistance to purchase or adapt a vehicle under Title 38, U.S. Code, Sections 3901–3904. Applicants must provide certification from the VA confirming the vehicle was specially adapted and federally funded. Applications are submitted at the local County Treasurer’s office.

Benefits of the Disabled Veteran plate include:

• All fees exempt on one federally provided vehicle (registration and annual renewal)
• Free parking in city-owned or city-operated parking lots and city-metered spaces in Iowa
• Plate can be transferred to a replacement vehicle if the original is no longer in use

Iowa also issues a standard Veteran license plate (one issued free to honorably discharged veterans; $25 for additional sets; $5 annual validation), Purple Heart, Medal of Honor, Ex-POW, and Gold Star Family plates, all with free city parking benefits. Find out more from the Iowa DOT.

Veteran Designation on Iowa Driver’s License or ID

Honorably discharged veterans can add a “veteran” designation to their Iowa driver’s license or non-operator ID at no extra charge beyond standard replacement fees ($10 if you’re replacing the card mid-cycle). The designation makes it easier to access veteran discounts at participating businesses without carrying military paperwork. Learn more from the Iowa DVA.

Do Disabled Veterans Get Tuition Assistance in Iowa?

Yes, if they are 100% disabled. As of April 2026, disabled veterans with a 100% service-connected disability rating from the VA are eligible for free tuition and fee waivers at the University of Iowa, Iowa State University, and the University of Northern Iowa. To qualify, veterans must have already exhausted any other available federal or state sources of financial assistance.

Besides providing 100% disabled veterans free tuition and fee waivers, Iowa offers veterans several state programs to help cover education costs. The largest is the Iowa National Guard Service Scholarship (INGSS), which pays up to $9,034 per year (or actual tuition, whichever is less) toward an undergraduate or approved STEM master’s degree at eligible Iowa institutions.

To qualify, veterans must be Iowa residents and active members of an Iowa Army or Air National Guard unit for each term benefits are received. The scholarship covers up to 120 semester credit hours (130 for approved STEM majors). Applicants must also file the FAFSA and apply for Federal Tuition Assistance. Learn more about INGSS.

Veterans who left high school to serve in World War I, World War II, the Korean conflict, or the Vietnam era can earn an honorary high school diploma through Iowa’s Operation Recognition program.

Does Iowa Waive Tuition for Children of Disabled Veterans?

Partially. Iowa offers tuition assistance to the children of veterans who died on active duty or from a service-connected cause, but not for children of living disabled veterans. The amount and program depend on when the veteran died:

• War Orphans Educational Assistance: For children of veterans who died on active military service before September 11, 2001. Provides up to $600 per year, with a $3,000 lifetime maximum
• Branstad-Reynolds Scholarship Fund: For children of Iowa service members killed on active duty after September 11, 2001. Provides up to $11,844 per year and covers tuition, books, fees, housing, equipment, and tutoring at an Iowa postsecondary institution

Branstad-Reynolds applicants must begin using the scholarship before age 26 and remain eligible until their 31st birthday. Assistance is capped at the highest in-state undergraduate tuition at a state university, minus any other state and federal education benefits the student receives. See all Iowa veteran education resources.

Iowa State Veterans Hiring Preference

Under Iowa Code Chapter 35C, honorably discharged veterans are entitled to preference in appointment and employment over equally qualified applicants for public-sector positions in the state, counties, cities, and school districts.

In practice, qualifying veterans receive 5 preference points added to their passing examination score. An additional 5 points are added for veterans with a service-connected disability, those receiving VA disability compensation, or Purple Heart recipients.

To claim the preference, veterans must submit a copy of their DD Form 214 or other official document showing service dates, plus disability verification if claiming the additional 5 points. Find out more from Iowa DAS.

Iowa Workforce Development Veterans Services

Iowa Workforce Development centers prioritize veterans for employment services, including career counseling, résumé assistance, job referrals, and labor market information. Two federally funded specialist roles support veterans at these centers:

• DVOP Specialists (Disabled Veterans’ Outreach Program) provide individualized case management and job placement for veterans with significant barriers to employment, including service-connected disabilities
• LVER Staff (Local Veterans’ Employment Representative) advocate with employers, facilitate job referrals, and coordinate counseling and training services

Home Base Iowa and SkillBridge

Home Base Iowa connects transitioning service members, veterans, and military spouses with Iowa employers through job listings, training resources, and employer partnerships. The state’s SkillBridge program allows separating service members to spend up to six months in on-the-job training with an Iowa employer before leaving the military, with continued military pay and benefits.

CDL Test Waivers for Military Drivers

Service members with qualifying military occupational specialties can have the knowledge test, the skills test, or both waived when applying for an Iowa Commercial Driver’s License, removing one of the biggest hurdles to a civilian driving career.

Spending time outdoors can be an important part of recovery and well-being for veterans dealing with physical or mental health challenges. Iowa makes outdoor recreation especially accessible through free park entry and deeply discounted hunting and fishing licenses.

Do Iowa State Parks Offer a Disabled Veterans Pass?

No specific disabled veterans pass is needed because Iowa state parks are free to enter for both residents and non-residents. Iowa is one of the few states in the country with no entrance fees at any state park.

The previous $5 non-resident vehicle fee at Lake Manawa and Waubonsie State Parks was repealed on December 31, 2025, so all state parks are now open to everyone at no charge starting January 1, 2026.

Camping reservations and campsite fees still apply. Iowa offers camping coupon books (seven coupons for $91) for first-come, first-served campsites, available at any state park office or the DNR Central Office. See Iowa state park rules and guidelines.

Do Iowa Disabled Veterans Get a Free Fishing License?

No, but Iowa offers a $7 lifetime hunting and fishing license to any Iowa resident veteran with a service-connected disability at any rating, or to former prisoners of war. Applicants must have been an Iowa resident for at least 90 days before applying.

Veterans rated at 100% service-connected disability (or those eligible for the Disabled Veterans Homestead Credit) can also purchase a Lifetime Trout License for $65. See Iowa DNR fishing license fees.

What Fees Do Disabled Veterans Pay for a Hunting License in Iowa?

The $7 lifetime hunting and fishing license for veterans covers small game hunting and fishing for Iowa resident veterans with a service-connected disability or former POW status. Veterans born after January 1, 1972, must complete a Hunter Education course before being issued a hunting license.

The $7 lifetime license does not include deer hunting, wild turkey hunting, fur harvester privileges, Habitat Fee, Migratory Game Bird Fee, or Trout Fee, which must be purchased separately at standard rates. Find the application and additional fees.

For medical care, prescriptions, mental health services, and outpatient treatment, Iowa veterans access the VA Iowa City Health Care System and the VA Central Iowa Health Care System, which together operate medical centers in Iowa City and Des Moines plus community-based outpatient clinics across the state.

Iowa Veterans Home

The Iowa Veterans Home (IVH) in Marshalltown provides long-term skilled nursing and residential care for veterans, their spouses, surviving spouses, and Gold Star parents. The facility offers multiple care levels, recreational activities, live music, ceramics, bingo, and a community-focused environment for residents.

Eligibility requires an honorable discharge from any branch of service, a medical or financial need (advanced age, disease, wounds, or inability to earn a livelihood), and Iowa residency.

Spouses and surviving spouses must have been married to the veteran for at least one year before applying. Applicants must submit two copies of their DD214, an income affidavit, and a completed physical exam.

Veterans rated at 70% or higher service-connected disability may receive care at no cost through the VA Higher Per Diem Program. Learn more about the Iowa Veterans Home.

In addition to Iowa state benefits, disabled veterans also receive 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
• Special compensation, Aid & Attendance and other financial benefits
• Home loans and housing benefits
• Vocational rehabilitation and employment services
• 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 disabled veterans can get with a rating of 50%, 60%, 70%, 80%, etc.

• 50% VA disability benefits
• 60% VA disability benefits
• 70% VA disability benefits
• 80% VA disability benefits
• 90% VA disability benefits

100% Disabled Veteran Benefits

Iowa 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 Iowa veteran →

100% Disabled Veteran Benefits for Spouse and Dependents

Spouses and family members of 100% disabled Iowa veterans may also qualify for several benefits:

• Property tax exemption continuation  
• CHAMPVA healthcare  
• DIC eligibility  
• Education benefits  
• Access to Iowa state resources

Iowa veterans and veterans who served at a military base in Iowa and developed disabilities related to toxic exposure may be eligible for compensation and VA benefits. Several Iowa installations have documented histories of contamination from PFAS chemicals, explosives, solvents, and other environmental hazards.

Iowa Military Bases with Known Toxins

• Iowa Army Ammunition Plant (Middletown, IA)
• Des Moines Air National Guard Base (Des Moines, IA)
• Sioux City Air National Guard Base / 185th Air Refueling Wing (Sioux City, IA)
• Camp Dodge (Johnston, IA)

If you served at a base in a different state and have developed a medical condition, you can check potential exposures and health effects using the Toxic Military Base Map or get in touch with us for a free evaluation of your claim.

Free Guide to VA Disability

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.

Legal Resources for Disabled Veterans

• Find an IDVA Office Location
• Find Your County Veteran Service Officer (CVSO)
• Iowa People’s Law Library – Veterans Benefits

Attorneys Specialized in VA Disability Law

Our VA-accredited lawyers proudly represent Iowa veterans who were denied or underrated by the VA, 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!