| Military retirement pay | Partly exempt. New Mexico lets retirees exempt up to $30,000 of military retirement pay, and the same limit applies to Survivor Benefit Plan annuities. A 2026 bill (HB 221) would remove that cap for tax years starting in 2026, but we could not confirm it became law, so check the Taxation and Revenue Department before you file. |
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| Property tax | Starting in 2026, veterans with a VA service-connected rating of 10% to 100% can get a prorated exemption on their primary home, so a 50% rating means a 50% reduction in taxable value. All honorably discharged resident veterans also get a standard exemption of $10,000 off taxable value, adjusted for inflation each year. Ask the New Mexico Department of Veterans' Services for a certificate of eligibility, then file it with your county assessor. |
| Disabled veteran property tax exemption Taxes | Exemption equal to your VA rating applied to the taxable value of your primary home; certificate of eligibility from the Department of Veterans' Services, filed with the county assessor. |
| Standard veteran exemption Taxes | $10,000 off taxable value of property for honorably discharged resident veterans, adjusted yearly for inflation. |
| Military retirement pay exemption Taxes | Up to $30,000 of military retirement pay is exempt from state income tax. |
| New Mexico State Veterans' Home Health & Homes | State veterans home in Truth or Consequences; residency is not required, but residents get priority when there is a waiting list. |
| State veterans cemeteries Burial | State veterans cemeteries at Fort Stanton, Gallup and Angel Fire, with free military funeral honors arranged through the state. |
| Free lifetime state park pass Recreation | Honorably discharged residents can get a free lifetime pass for day use and camping at New Mexico state parks. |
| Hunting and fishing breaks Recreation | 100% service-connected residents get a free lifetime fishing and small-game card; other disabled veterans can buy a combination license for $10; most veterans get 50% off most licenses. |
| State hiring preference Jobs | Veterans get 5 points added to passing exam scores and service-disabled veterans get 10 points. |
Last checked 2026-11. State rules change often; confirm with New Mexico Department of Veterans' Services before you rely on any benefit.