North Dakota Disabled Veteran Benefits: Property Tax, Vehicle, Education & More

If you are a disabled veteran living in North Dakota, the state has meaningful benefits that can cut your property taxes, waive vehicle costs, lower your income taxes, help your family go to college, and make the outdoors cheaper to enjoy. Most of them are not automatic — you have to apply, and the paperwork matters.

Below, we cover every major benefit a disabled veteran in North Dakota may qualify for, who each one is for, and exactly how to claim it. No hype — just the current, enacted benefits and the steps to get them.

North Dakota Disabled Veteran Property Tax Credit

The single most valuable North Dakota benefit for most disabled veterans is the Disabled Veteran’s Property Tax Credit, written into North Dakota law at N.D.C.C. §57-02-08.8. Unlike a true exemption that removes a home from the tax roll, this is a credit against the taxable value of your home — which lowers the value that your property taxes are calculated on.

It works like this: the credit applies to the first $9,000 of taxable valuation of your homestead (homestead generally means your home, the land it sits on, and other buildings on the same land). Your credit equals your disability percentage applied to that $9,000. If you are rated 100%, the full $9,000 of taxable value is removed from your tax bill.

Because a home’s taxable value in North Dakota is typically well below its true market value, a $9,000 reduction can erase a large share of your property tax — often most or all of it — depending on how your county assesses.

Who qualifies

You qualify if you meet all of these conditions:

1. You are a disabled veteran of the U.S. Armed Forces with an armed-forces service-connected disability of 50% or greater in the year you apply, or you have an extra-schedular rating that includes individual unemployability (TDIU) that results in you being paid at the 100% rate by the VA.
2. You received an honorable discharge or were retired from the U.S. Armed Forces.
3. You reside on and have an ownership interest in the property as of the assessment date.

Your income and assets do not affect eligibility for this credit — it is not an income-tested program. A mobile home qualifies if it is your homestead, and land is eligible too. If you move to a different homestead, you can apply the credit to the new property.

How much you can save (by rating)

Here is how the credit tiers by disability rating:

If two disabled veterans are married to each other and living together, their combined credits may not exceed 100% of the $9,000 taxable value of the homestead. If you are rated under 50%, you do not qualify for this credit (though you may still qualify for other programs below).

How to apply

1. Get your documents. You will need your DD 214 (Certificate of Release or Discharge from Active Duty) showing an honorable discharge, and the VA’s determination of your service-connected disability rating. The North Dakota Department of Veterans Affairs can help you obtain both.
2. Complete the application. Download the Application for Disabled Veterans Property Tax Credit (SFN 24770) from tax.nd.gov/veterans.
3. File with your local assessor. Submit the completed application to your local assessor or county director of tax equalization by April 1 of the year the property is assessed and the credit is requested. The exact deadline can vary, so confirm the date with your county before you file.

Once approved, the credit is applied automatically each year for as long as you remain eligible. Re-file or confirm with your assessor if your rating changes or you move.

Note: A surviving spouse of a qualifying veteran is also eligible for this credit, and a surviving spouse who receives VA Dependency and Indemnity Compensation (DIC) receives the full 100% credit. More on survivor benefits below.

North Dakota Disabled Veteran Vehicle & License Plate Benefits

If you have a 100% service-connected disability (or a TDIU extra-schedular rating that brings you to the 100% rate), North Dakota offers two powerful vehicle benefits: a registration fee exemption and a motor vehicle excise tax exemption, both covering up to two vehicles at a time.

The Disabled American Veteran (DAV) license plate

The DAV plate is the gateway to most vehicle savings. To qualify, the VA must certify a 100% service-connected disability or an extra-schedular rating that includes unemployability to a 100% rating (this also covers veterans under Public Law 79-663 for specially adapted housing).

• No annual license or registration fee. The plate and its annual registration are free.
• No motor vehicle excise tax on the purchase of up to two vehicles registered with the DAV plate — big savings at the dealership.
• Vehicles up to 26,000 lbs. A car, truck, motorcycle, or motor home not exceeding 26,000 lbs. registered gross weight may carry DAV plates.
• Handicap parking. A vehicle displaying DAV plates may park in designated handicap (mobility-impaired) spaces in North Dakota — no separate placard required. Mobility-impaired DAV plates are also available if you qualify under both DAV and mobility-impaired rules.
• Choose the plate you want. You can ask for a standard, vanity, or other distinctive plate instead of the DAV plate and still keep the tax and registration exemptions.

There is a one-time $5 certificate of title fee and a small abandoned-motor-vehicle disposal fee on initial title application, but no recurring registration fee.

How to claim the vehicle benefits

1. Get certified. Have a VA office sign a certification letter stating you are 100% service-connected disabled (or eligible under Public Law 79-663).
2. Complete the form. Fill out the Application for Certificate of Title & Registration of a Vehicle (SFN 2872) and use exemption code 14 for the excise tax and registration exemptions.
3. Submit to your local motor vehicle office with your certification letter.

Note that when a DAV-exempt vehicle is later resold, applicable registration fees are due from the date of sale. And remember: the excise tax exemption (N.D.C.C. §57-40.3-04) and the registration exemption (N.D.C.C. §39-04-18) are separate statutes but you use the same exemption code to claim both.

Vehicle benefit summary

North Dakota Income Tax Benefits for Veterans

North Dakota gives veterans several clear advantages at tax time. Importantly, this is for current, enacted state law — always confirm with a tax professional for your specific situation.

Military retirement pay

Military retirement pay (from the U.S. Armed Forces, Reserve, or National Guard) is subtracted from North Dakota taxable income. The deduction equals the taxable amount of the benefits reported on your federal return. This applies to the retired member and, in many cases, their surviving spouse.

VA disability compensation and DIC

VA disability compensation and Dependency and Indemnity Compensation (DIC) are not counted as taxable income in North Dakota — consistent with federal law that treats these benefits as tax-free.

Survivor Benefit Plan annuities

Annuities paid under the Survivor Benefit Plan (SBP), the Reserve Component Survivor Benefit Plan (RCSBP), and the Retired Serviceman’s Family Protection Plan (RSFPP) are not taxed in North Dakota.

Active-duty and reserve pay

Military pay received by North Dakota resident active and reserve component service members that is federally taxable is exempt from North Dakota income tax.

North Dakota Education Benefits for Veterans & Families

In addition to federal education dollars like the GI Bill, North Dakota has its own programs worth knowing about.

Free tuition for dependents of fallen, totally disabled, or missing veterans

If you are the dependent of a North Dakota veteran who was killed, is totally disabled, or was declared missing in action, you may attend a North Dakota University System institution without paying tuition or fees toward a certificate of completion or a bachelor’s degree, for up to 45 months.

This Dependent Tuition Waiver covers dependents whose qualifying veteran was totally disabled (including from a service-connected permanent and total rating). To use it, you must first be accepted for enrollment at a University System campus. Contact the financial aid office or veterans services department on your chosen campus, or the North Dakota Department of Veterans Affairs, to verify eligibility and start the paperwork.

This program works alongside the federal Dependents’ Educational Assistance (DEA/Chapter 35), which offers up to 45 months of benefits to certain dependents of veterans who died or are permanently and totally disabled due to service.

North Dakota National Guard tuition

If you are a member of the North Dakota National Guard, you may qualify for a tuition waiver of up to 35% of tuition at a state-controlled school, plus tuition reimbursement and grants under the National Guard Tuition Waiver Act (N.D.C.C. ch. 37-07.1) and the tuition grant program — all subject to funding availability. This is separate from the Disabled Veteran benefits above, but worth layering if you are also a Guard member.

North Dakota Hunting, Fishing & State Park Benefits

North Dakota rewards its disabled veterans outdoors. These are some of the most-used veteran benefits in the state.

Discount hunting and fishing licenses

Through the North Dakota Game and Fish Department, qualifying veterans pay deeply reduced fees:

You still pay the small annual Fishing, Hunting, Furbearer Certificate fee (around $2) and, if you hunt waterfowl, the waterfowl stamp. These discounts start at 50% disability for fishing and 100% for the combined hunting license, so check which applies to your rating. Fees can change each licensing year — confirm the current price with Game and Fish before you buy.

Free state park admission

North Dakota veterans with a 50% or greater service-connected disability — and former prisoners of war — are eligible for a free lifetime annual state park permit. All other North Dakota veterans with a service-connected disability can buy an annual permit for $28.

To claim it, bring a current VA Summary of Benefits letter as proof of disability (for POWs, a DD 214 or official proof from the National Archives database). Contact parkrec@nd.gov for details.

Other North Dakota Benefits Worth Knowing

Veterans preference in state employment

North Dakota gives qualifying veterans — and, under recent law, certain surviving spouses — preference in state hiring. If you apply for state government positions, claim veterans preference on your application and have your DD 214 ready.

Veterans Aid Loan Program

The North Dakota Veterans Aid Fund makes loans up to $5,000 to veterans, their widows or widowers, and certain Reservists and Guard members who have been North Dakota residents for at least one year. The interest rate is 8% per year, terms run from 6 to 48 months, and half the interest is refunded if you repay on the agreed terms. Apply through your Veterans Service Officer.

Hardship Assistance Grant Program

North Dakota offers grants for veterans and their spouses (and unremarried widows/widowers) who have an unmet need such as dental or denture work, optical, hearing, transportation for medical treatment, housing deposits, or other emergency needs approved by the Commissioner of Veterans Affairs. There is an income and asset test, and you must have been a North Dakota resident for one year.

Veteran indicator on your driver’s license

North Dakota can add a “Veteran” indicator to your driver’s license or non-driver ID, which makes proving veteran status for discounts and benefits easier. Bring your veteran verification form to a driver’s license site.

North Dakota Veterans Cemetery

The North Dakota Veterans Cemetery near Mandan (adjacent to Fort Abraham Lincoln State Park) offers burial for veterans, eligible family, and dependents — another benefit of residence in the state.

Surviving Spouse & Survivor Benefits

North Dakota has expanded survivor benefits in recent years, and the rules now broadly cover surviving spouses who receive VA Dependency and Indemnity Compensation (DIC):

• Property tax credit: A surviving spouse is eligible, and a spouse receiving DIC gets the full 100% credit.
• Vehicle exemption: A surviving spouse receiving DIC may retain the DAV registration and excise-tax exemptions for one vehicle.
• Education: Dependents of veterans who were totally disabled or killed due to service may qualify for the dependent tuition waiver.

If you are a surviving spouse, work with a North Dakota Veterans Service Officer — they are the clearest path through the paperwork and can confirm exactly what you qualify for.

FAQ: North Dakota Disabled Veteran Benefits

Do I have to be 100% disabled to get any North Dakota benefit?

No. The property tax credit starts at a 50% service-connected disability (with higher credits up to 100%), and the veteran fishing license and free state park pass also start at 50%. The DAV plate and vehicle exemptions, however, require a 100% rating or TDIU paid at 100%.

Is the property tax credit the same as a property tax exemption?

Not quite. It is a credit against the taxable value of your homestead (up to $9,000), which lowers your tax bill but does not remove the home from the tax rolls entirely. At 100% the full $9,000 of taxable value is credited.

When is the property tax credit application due?

File with your local assessor or county director of tax equalization by the annual filing date — generally April 1 of the assessment year. Confirm the exact deadline with your county, as brochure materials have cited March 31.

Is VA disability compensation taxed in North Dakota?

No. VA disability compensation and DIC are not subject to North Dakota income tax, and military retirement pay is subtracted from North Dakota taxable income.

Where do I start?

Contact the North Dakota Department of Veterans Affairs (701-239-7165) or your local County Veterans Service Officer. They help with claims, the property tax credit, DAV plates, and referrals, and they can point you to your nearest service officer.

Next Steps

Here is how to get moving on the benefits you qualify for, in order of value:

1. Apply for the Disabled Veteran’s Property Tax Credit first. It is your biggest recurring win. Get your DD 214 and VA rating letter, download the application at tax.nd.gov/veterans, and file with your local assessor before the April 1 deadline.
2. Get your DAV plates if you are rated 100%. Have the VA certify your rating, complete the SFN 2872 with exemption code 14, and save on registration and the vehicle excise tax for up to two vehicles.
3. Visit your County Veterans Service Officer. They handle the property tax credit, DAV plates, the loan program, and hardship grants, and can confirm your survivor-eligibility status if it applies.
4. Layer the smaller wins. Pick up the discounted hunting/fishing licenses through Game and Fish, the free state park pass at 50%+, and claim the veteran indicator on your driver’s license.
5. Check education benefits for your family. If you are totally disabled, your dependents may qualify for free tuition at a North Dakota University System campus — contact the campus veterans office to start.

North Dakota cannot promise every veteran an easier life — no state can. But the benefits above, applied for correctly, can meaningfully lower your property taxes, your vehicle costs, your taxes, and the cost of school for your family. Start with the property tax credit and your County Veterans Service Officer, and you will be on the right track.