Under Arkansas Code Annotated § 26-3-306, veterans with a 100% service-connected disability rating — along with certain unemployable disabled veterans and unmarried surviving spouses — can be fully exempt from ad valorem (value-based) property tax on their homestead. This isn't a discount or a capped credit; for a qualifying homestead, it removes the property tax bill entirely.
Who qualifies
- Veterans rated 100% service-connected disabled by the VA
- Veterans rated as individually unemployable due to service-connected disability
- Veterans receiving VA special monthly compensation for loss (or loss of use) of one or more limbs, or for total blindness in one or both eyes
- Unmarried surviving spouses of a veteran who met the above criteria
What's covered — and what isn't
The exemption applies to the veteran's homestead (their primary, occupied residence) and to personal property owned by the veteran or qualifying surviving spouse. Arkansas county collector offices note that as of 2026, property held through certain LLCs or trusts can also qualify. It does not cover rental property, land-only parcels with no homestead, special improvement district taxes, city liens, sanitation fees, or timber.
How to apply
Application is handled at the county level. In Pulaski County (Little Rock / North Little Rock / Jacksonville), for example, veterans submit:
- Their VA Summary of Benefits Letter (issued annually each January)
- A Rating Decision Form or other proof of the eligibility date
Surviving spouses submit the same documentation plus a Surviving Spouse Affidavit. Most counties only require the Summary of Benefits letter to be submitted once, and property must be occupied to qualify. If your disability status or living situation changes, you're expected to notify the county collector's office.
Requirements and submission methods (mail, fax, email, or in person) vary slightly by county, so confirm the current process with your specific county collector's office before applying.
Why this matters for relocation planning
For a qualifying disabled veteran, this exemption can be worth several thousand dollars a year depending on home value and local millage rates — a meaningful number to build into a fixed retirement budget when comparing Arkansas to a state without a similar benefit. It's also a detail worth mentioning to your real estate agent and lender early, since it can affect what monthly payment you're comfortable qualifying for.
Confirm your specific numbers locally
County collector offices handle applications and can tell you exactly what your exemption would look like on a specific property. A local agent who works with veteran buyers can also help you understand how this factors into your search. Find a Central Arkansas agent who works with military buyers →
Official sources
- Arkansas Code § 26-3-306 (FindLaw)
- Pulaski County Treasurer — Disabled Veteran Exemption
- Arkansas Department of Veterans Affairs
This page is general information, not tax or legal advice. Confirm current requirements with your county collector's office and the Arkansas Department of Veterans Affairs.