Illinois Veteran Benefits (2026 Guide)

A complete guide to state-level benefits for veterans living in Illinois, including property tax exemptions, education programs, employment preference, and more. These benefits are in addition to your federal VA benefits.

Benefits at a Glance

💰 Military Retirement Pay Exempt🎣 Free Hunting & Fishing (10%+)🎓 Education Benefits🚗 DMV/Vehicle Benefits🏢 Veteran Business Programs

Illinois offers a property tax exemption for disabled veterans on a sliding scale that starts at a 30% rating, with the first $250,000 of equalized assessed value exempt for those rated 70% or higher. Combined with full military retirement pay exemption and a strong state veterans home system, Illinois delivers substantial benefits to its large veteran population.

Did you know? Illinois exempts the first $250,000 of equalized assessed value of the home of a veteran rated 70% or higher, and the home of a World War II veteran is exempt from property tax regardless of the veteran's level of disability.

Getting help in Illinois

Accredited claims help

Illinois Department of Veterans Affairs

Phone: (217) 782-6641

833 South Spring Street, Springfield, IL 62704

veterans.illinois.gov

Verified September 2026. Call to confirm before you travel.

Local veterans offices

Some Illinois counties have a veterans service office, and state law does not require one.

IACVAC Locations

Financial help: a county Veterans Assistance Commission, in counties under three million people (55 ILCS 5/5-2006)

Verified September 2026.

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Property Tax Exemption

First $250,000 of EAV exempt for 70%+ disabled veterans; $5,000 for 50-69%; $2,500 for 30-49%

Standard Homestead Exemption for Veterans with Disabilities (35 ILCS 200/15-169): for veterans rated 70% or more, the first $250,000 of equalized assessed value of the primary residence is exempt; 50-69% get a $5,000 exemption; 30-49% get $2,500. World War II veterans are exempt from property tax regardless of their level of disability. Reapply each year with Form PTAX-342 at the Chief County Assessment Office, unless you are a World War II veteran or rated 100% and permanently and totally disabled. The exemption carries over to a surviving spouse who holds title, lives in the home and does not remarry. Separately, the Returning Veterans' Homestead Exemption takes $5,000 off the equalized assessed value for two consecutive tax years after returning from active duty in an armed conflict.

Minimum Rating: 30%
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Income Tax Benefits

Military retirement pay fully exempt

Illinois fully exempts military retirement pay and all pension/retirement income from state income tax. VA disability compensation is also tax-free.

Military Retirement ExemptVA Disability Exempt
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Hunting & Fishing Licenses

License exemption for disabled veterans rated 10%+, resident or nonresident

Illinois exempts disabled veterans, resident or nonresident, with at least a 10% service-connected disability from needing a hunting or fishing license and from the habitat stamp. Proof is a Veteran's disability card, available at a local Veterans Affairs office. Illinois DNR notes that a disability does not exempt anyone from purchasing a permit.

Free at 10% Rating
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Education Benefits

Illinois Veterans Grant: free tuition at state schools

The Illinois Veterans Grant (IVG) provides free tuition and certain fees at Illinois public universities and community colleges for eligible veterans. 120 credit hours or 4 years equivalent.

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Employment & Hiring Preference

Veterans preference in state and local government hiring

Illinois grants veterans preference in state civil service examinations — 5 points for veterans, 10 points for disabled veterans. Preference extends to many local government positions. Illinois Hire the Future Act encourages private employers to hire veterans. Illinois workNet Centers provide dedicated veteran employment services.

Preference: 5/10
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Vehicles & DMV

Free disabled veteran license plates

Free "Disabled Veteran" license plates for veterans with service-connected disability.

🌲

State Parks

Free camping and day-use for disabled veterans

Illinois state parks provide free camping and day-use admission for veterans with service-connected disability.

🏡

Housing & Veterans Homes

5 Illinois Veterans Homes

Illinois operates 5 State Veterans Homes (Quincy, Anna, Manteno, LaSalle, Chicago) providing skilled nursing for eligible veterans. Illinois Housing Development Authority also offers veterans mortgage programs.

🏢

Veteran Business Programs

Veteran-owned small business procurement preference

Illinois certifies veteran-owned small businesses for state procurement preferences. The state has a goal of awarding a percentage of contracts to veteran-owned firms. Illinois also offers the Advantage Illinois loan program.

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Additional Benefits

  • Property tax exemption for surviving spouses of KIA/line-of-duty death

Veterans in Illinois

Illinois is home to over 560,000 veterans, supported by Scott Air Force Base, Naval Station Great Lakes (the Navy's only boot camp), and the Rock Island Arsenal. Chicago's Jesse Brown VA Medical Center and the Edward Hines Jr. VA Hospital are among the largest VA facilities in the country. Illinois operates five state veterans homes, and the Illinois Department of Veterans Affairs runs full-time and part-time veteran service offices across the state.

Frequently Asked Questions About Illinois Veteran Benefits

Does Illinois offer property tax exemptions for veterans?

First $250,000 of EAV exempt for 70%+ disabled veterans; $5,000 for 50-69%; $2,500 for 30-49%. Standard Homestead Exemption for Veterans with Disabilities (35 ILCS 200/15-169): for veterans rated 70% or more, the first $250,000 of equalized assessed value of the primary residence is exempt; 50-69% get a $5,000 exemption; 30-49% get $2,500. World War II veterans are exempt from property tax regardless of their level of disability. Reapply each year with Form PTAX-342 at the Chief County Assessment Office, unless you are a World War II veteran or rated 100% and permanently and totally disabled. The exemption carries over to a surviving spouse who holds title, lives in the home and does not remarry. Separately, the Returning Veterans' Homestead Exemption takes $5,000 off the equalized assessed value for two consecutive tax years after returning from active duty in an armed conflict.

Are military retirement benefits taxed in Illinois?

Military retirement pay fully exempt. Illinois fully exempts military retirement pay and all pension/retirement income from state income tax. VA disability compensation is also tax-free.

What education benefits does Illinois offer veterans?

Illinois Veterans Grant: free tuition at state schools. The Illinois Veterans Grant (IVG) provides free tuition and certain fees at Illinois public universities and community colleges for eligible veterans. 120 credit hours or 4 years equivalent.

Do veterans get free or discounted hunting and fishing licenses in Illinois?

License exemption for disabled veterans rated 10%+, resident or nonresident. Illinois exempts disabled veterans, resident or nonresident, with at least a 10% service-connected disability from needing a hunting or fishing license and from the habitat stamp. Proof is a Veteran's disability card, available at a local Veterans Affairs office. Illinois DNR notes that a disability does not exempt anyone from purchasing a permit.

Does Illinois give veterans hiring preference for state jobs?

Veterans preference in state and local government hiring. Illinois grants veterans preference in state civil service examinations — 5 points for veterans, 10 points for disabled veterans. Preference extends to many local government positions. Illinois Hire the Future Act encourages private employers to hire veterans. Illinois workNet Centers provide dedicated veteran employment services.

Are there veterans homes or housing programs in Illinois?

5 Illinois Veterans Homes. Illinois operates 5 State Veterans Homes (Quincy, Anna, Manteno, LaSalle, Chicago) providing skilled nursing for eligible veterans. Illinois Housing Development Authority also offers veterans mortgage programs.

Do veterans get free or discounted state park access in Illinois?

Free camping and day-use for disabled veterans. Illinois state parks provide free camping and day-use admission for veterans with service-connected disability.

Want the full picture?

Illinois benefits sit alongside federal compensation, healthcare, education, housing, and employment benefits. The optional briefing walks through what may apply to your specific service.

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