| Military retirement pay | Military retirement pay and survivor benefits are exempt from state, county and city income tax. Combat-zone pay is also exempt from state income tax. |
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| Property tax | Totally and permanently disabled people, and anyone 65 or older, can exempt their home and up to 160 adjacent acres from state ad valorem tax. Homes bought with a VA specially adapted housing grant are exempt regardless of value while the veteran or unremarried widow(er) lives there. |
| Military retirement tax exemption Taxes | Military retirement pay and survivor benefits are exempt from state, county and municipal income tax. |
| Alabama G.I. Dependent Scholarship Education | Children and stepchildren of qualifying veterans can get up to 10 semesters at state-supported schools; spouses of 100% rated veterans also get 10 semesters, and spouses of veterans rated 40-90% get 6. |
| Purple Heart tuition waiver Education | Public colleges and technical schools may waive tuition and fees for undergraduate study for Purple Heart recipients. |
| State Veterans Homes Health & Homes | The department runs five State Veterans Homes offering nursing care and some assisted living. |
| Hunting and fishing licenses Recreation | 100% service-connected veterans can get a special hunting license for $2 plus the issuance fee, and veterans rated 40% or more can buy a lifetime hunting license; residents rated 20% or more get discounted fishing licenses. |
| Disabled veteran and military plates Vehicles & ID | Alabama offers disabled veteran plates (10%+ and 60%+ ratings), Gold Star, retired military, medal recipient and other specialty plates. Veterans rated 10% or more are exempt from state privilege/license tax and registration fees. |
| VETERAN driver license designation Vehicles & ID | Honorably discharged veterans can have VETERAN printed on an Alabama driver license or ID by showing a DD-214. |
| State hiring preference Jobs | Honorably discharged veterans get 5 points added to state exam scores, and veterans with a service-connected disability get 10. |
| Veteran-owned business and hiring credits Jobs | Veteran-owned businesses within 5% of the lowest bid may get preferred vendor status, and small employers can claim a $1,000 credit for hiring a recently discharged unemployed veteran. |
| Alabama State Veterans Memorial Cemetery Burial | The state's first veterans cemetery is in Spanish Fort in Baldwin County and is run by the department. |
Last checked 2026-11. State rules change often; confirm with Alabama Department of Veterans Affairs before you rely on any benefit.