Kansas Veteran Benefits 2025: Property Tax, Income Tax & Financial Guide

Kansas offers strong tax benefits for veterans, particularly for disabled veterans, combined with one of the lowest costs of living in the nation. Understanding these benefits can save you thousands of dollars annually while living in an affordable, military-friendly state.

Bottom Line Up Front

Here's what Kansas offers veterans:

• Military retirement pay: 100% exempt from state income tax
• Property tax relief: Disabled veterans (50%+ rating) get refund up to $700 annually; homestead value cap $350,000
• VA disability pay: Completely tax-free (federal and state)
• Vehicle registration: FREE disabled veteran plates for 50%+ service-connected disability (no registration fee)
• Hunting/fishing license: FREE permanent license for veterans with 30%+ disability rating
• State park admission: Discounted/free admission for 30%+ disabled veterans

Potential annual savings for a 50%+ disabled veteran: $1,200-2,000+ depending on property value and location.

The reality: Kansas has moderate property taxes (1.33% average - 12th highest nationally), but excellent income tax treatment for military retirees and solid property tax relief for disabled veterans. Combined with a cost of living 13-17% below the national average, Kansas is exceptionally affordable for veterans.

Income Tax Treatment for Veterans

Military Retirement Pay - Fully Exempt

Kansas does not tax military retirement pay. This exemption applies to all military retirees regardless of age, income level, or disability status.

What this means:

• Retire with $30,000/year military pension? Keep all of it
• Retire with $60,000/year? Still keep every penny
• No age restrictions, no income limits, no phase-outs
• No disability rating required for this benefit

How to claim: When filing your Kansas state tax return (Form K-40), use Schedule S Part A to subtract your military retirement income from federal adjusted gross income. Military retirement benefits are a subtraction modification - meaning they're completely excluded from Kansas taxable income.

Kansas joins 25 states that have eliminated state income tax on military retirement, putting significant money back in veterans' pockets.

VA Disability Compensation - Tax-Free

All VA disability compensation is exempt from federal and state taxation. Whether you receive $165/month for a 10% rating or $3,800+/month for 100% with dependents, you won't pay taxes on it.

This includes:

• Monthly VA disability compensation
• Special Monthly Compensation (SMC)
• Dependency and Indemnity Compensation (DIC) for survivors

Social Security Benefits - Fully Exempt (Since 2024)

As of January 1, 2024, all Social Security income is fully exempt from Kansas state income tax. This is a recent change that significantly benefits retired veterans.

Previously, Kansas partially taxed Social Security. The full exemption is a major improvement for veterans receiving both military retirement and Social Security.

Survivor Benefit Program (SBP)

SBP payments are also exempt from Kansas state income tax as military retirement benefits. If you're receiving military survivor benefits, Kansas won't tax them.

State Tax Rates (For Other Income)

Kansas has a graduated income tax structure:

2025 Kansas Income Tax Rates:

• Up to $23,000: 3.1%
• $23,001 to $60,000: 5.25%
• Over $60,000: 5.58%

Standard deduction:

• Single: $3,500
• Married filing jointly: $8,000

Additional exemption for 100% disabled veterans: $2,320 (tax year 2025)

While Kansas does tax most retirement income (401(k)s, IRAs, pensions), the full exemption of military retirement pay and Social Security makes Kansas highly competitive for military retirees.

Comparison to Neighboring States

State	Military Retirement	Income Tax Rate	Property Tax Exemption (50%+)
Kansas	100% exempt	3.1-5.58%	Up to $700 refund
Missouri	100% exempt	4.8% flat	Up to $6,000 credit
Nebraska	Partial exempt	2.46-5.84%	Varies
Oklahoma	100% exempt (up to $75K)	4.75% flat	Varies
Colorado	Up to $24,000 exempt	4.4% flat	Up to $3,656

Kansas's combination of zero tax on military retirement, low cost of living, and property tax relief makes it highly competitive, especially when combined with the state's affordability.

Property Tax Relief for Veterans

Reality Check: Kansas Property Taxes Are Moderate

Kansas property taxes are moderate but not the lowest:

• Average effective rate: 1.33% statewide (national average is 1.01%)
• 12th highest property taxes nationally
• Wyandotte County (Kansas City): ~1.45%
• Johnson County (suburbs): ~1.45%
• Sedgwick County (Wichita): ~1.31%
• Shawnee County (Topeka): ~1.39%

On a $200,000 home, you could pay $2,600-3,000 annually in property taxes. However, Kansas's disabled veteran property tax relief helps offset this burden.

Property Tax Relief for Seniors and Disabled Veterans (K-40SVR)

Kansas offers property tax refunds to disabled veterans through the K-40SVR program - this is a refund, not an exemption, meaning you'll get money back after paying your property taxes.

Eligibility Requirements:

• Kansas resident for entire tax year
• Honorably discharged veteran with 50% or greater service-connected disability (VA rating)
• Household income of $56,450 or less (2024 tax year)
• Own and occupy home in Kansas
• Home appraised value cannot exceed $350,000

Refund Amount: The refund is calculated as the difference between your homestead property tax in a base year and the current year - maximum refund $700.

Important limitation: Unlike states like Illinois that offer exemptions reducing taxes to near-zero, Kansas's $700 maximum refund is more modest. However, combined with low housing costs, it provides meaningful relief.

Real-World Examples: Property Tax Relief

Wichita (Sedgwick County) - Median Home $200,000

• Property tax rate: ~1.31%
• Without relief: $2,620 annual tax
• With K-40SVR relief: $2,620 - $700 = $1,920
• Annual savings: $700

Kansas City area (Wyandotte County) - Home $180,000

• Property tax rate: ~1.45%
• Without relief: $2,610 annual tax
• With K-40SVR relief: $2,610 - $700 = $1,910
• Annual savings: $700

Topeka (Shawnee County) - Home $170,000

• Property tax rate: ~1.39%
• Without relief: $2,363 annual tax
• With K-40SVR relief: $2,363 - $700 = $1,663
• Annual savings: $700

Manhattan (Riley County - Fort Riley area) - Home $220,000

• Property tax rate: ~1.30%
• Without relief: $2,860 annual tax
• With K-40SVR relief: $2,860 - $700 = $2,160
• Annual savings: $700

Surviving Spouse Eligibility

A non-remarried surviving spouse of a disabled veteran can continue receiving the property tax relief if:

• The veteran had a service-connected disability certified by the VA
• The spouse has been a Kansas resident from the time of the veteran's death through the current tax year
• The same primary residence continues as the surviving spouse's home
• The spouse does not remarry
• Income requirements are met

This is critical - Kansas allows surviving spouses to maintain this valuable benefit.

Application Deadline and Process

Tax Year 2024 (Filing in 2025) Deadline: January 1 - April 15, 2025

Where to apply: File with Kansas Department of Revenue

Filing options:

• Kansas WebFile (online): ksrevenue.gov
• Paper form: Form K-40SVR

Required documents:

• VA rating decision letter showing service-connected disability percentage of 50% or greater
• DD-214 (discharge papers)
• Property tax statement showing taxes paid
• Income documentation

Processing time: Typically 6-12 weeks after filing

Important: You must apply annually during the filing period. This is not a one-time application - you file each year with your taxes.

Additional Tax Exemption for 100% Disabled Veterans

Veterans with 100% service-connected disability are eligible for an additional Kansas exemption of $2,320 (tax year 2025) on their state income taxes.

This exemption reduces your Kansas taxable income by $2,320, saving approximately $129 in state income taxes at the 5.58% top rate.

Vehicle Registration Benefits

Disabled Veteran License Plates

Kansas offers two types of disabled veteran license plates, both providing significant benefits.

Standard Disabled Veteran Plate (Without International Symbol)

Eligibility: Veterans with 50% or greater service-connected disability

Benefits:

• FREE registration - no registration fee for initial plate or renewals
• Recognition of service and sacrifice
• Note: Property tax on vehicle must still be paid

Does NOT include: Parking privileges (no international wheelchair symbol)

Recertification: Required every 3 years

Disabled Veteran Plate (With International Wheelchair Symbol)

Eligibility: Veterans with 50%+ service-connected disability AND meet Kansas disabled parking criteria (requires medical professional certification)

Benefits:

• FREE registration - no registration fee
• Parking in disabled spaces at public parking facilities
• Free parking at metered zones in many Kansas cities
• All benefits of standard disabled veteran plate

Required documentation:

• VA letter showing service-connected disability 50%+
• Form TR-103 (Application for Disabled Veterans License Plate)
• Regional VA director signature
• Medical professional's signature (for wheelchair symbol plate)
• DD-214 showing honorable discharge

Application: Must apply through your local county treasurer's office

Recertification: Required every 3 years

Cost Savings Example

Standard vehicle registration in Kansas: $30-50 annually depending on vehicle type and age

Disabled veteran plate savings: $30-50/year for life of vehicle ownership = $150-250 over 5 years per vehicle

Many Kansas municipalities offer additional benefits for disabled veteran plate holders:

• Free parking at meters
• Extended parking time limits
• Free parking in municipal lots

Check with your local city or county for specific benefits.

Hunting and Fishing License Benefits

Free Permanent License for Disabled Veterans

Eligibility: Veterans with 30% or greater service-connected disability

Benefit:

• FREE permanent hunting and fishing license (never expires)
• One-time application - lifetime validity
• Both hunting and fishing included

Value: Kansas resident hunting and fishing license typically costs $67.50 annually

• Lifetime savings: $1,350+ over 20 years
• Actual lifetime value: $2,000+ over 30 years

This is one of the best benefits for outdoorsmen veterans. A one-time application gets you lifetime hunting and fishing privileges.

How to Obtain

Step 1: Contact Kansas Department of Wildlife and Parks (KDWP)

Step 2: Submit application for Disabled Veteran Hunting and Fishing License

Required documents:

• DD-214 (honorable discharge)
• VA disability rating letter showing 30%+ rating
• Completed KDWP application form
• Proof of Kansas residency

Application submission:

• Mail application and documents to KDWP
• Processing time: Approximately 2 weeks

Kansas Department of Wildlife & Parks:

512 SE 25th Avenue
Pratt, KS 67124
Phone: (620) 672-5911
Website: ksoutdoors.gov

Important: This benefit applies only to Kansas residents. The license is free, but you must still apply for permits for specific hunts when required.

State Park Benefits

Discounted Admission for Disabled Veterans

Eligibility: Veterans with 30% or greater service-connected disability

Benefit: Discounted or free admission to Kansas state parks

Kansas has 28 state parks offering:

• Camping
• Fishing
• Hiking
• Boating
• Wildlife viewing
• Historical sites

Value: Standard Kansas state park entry varies by park

• Daily vehicle permit: $5-8
• Annual vehicle permit: $30-45

Veterans save: $30-50+ annually if using parks regularly

How to obtain: Present VA disability rating documentation at park entrance or contact Kansas Department of Wildlife & Parks for disabled veteran park pass.

Federal National Parks Alternative

Kansas veterans with service-connected disabilities can also obtain the Access Pass for federal lands:

• FREE lifetime pass to all national parks, wildlife refuges, and federal recreation areas
• 50% discount on camping, swimming, and other amenities
• Available to veterans with permanent disabilities (service-connected or otherwise)

Financial Impact Analysis

Let's calculate the 20-year financial impact for disabled veterans retiring in Kansas.

Scenario 1: E-7 Retiree, 20 Years Service, 50% Disabled

Annual income:

• Military retirement: $32,000
• VA disability (50% with dependents): $1,200/month = $14,400
• Total: $46,400

Home: $200,000 (median for Kansas)

Kansas Savings Over 20 Years

Benefit	Annual Savings	20-Year Total
Property tax relief (K-40SVR)	$700	$14,000
Military retirement (vs 5.58% state tax)	$1,786	$35,720
Vehicle registration (disabled veteran plate)	$40	$800
Hunting/fishing license	$68	$1,360
State park admission	$40	$800
TOTAL	$2,634	$52,680

Scenario 2: O-4 Retiree, 20 Years Service, 70% Disabled

Annual income:

• Military retirement: $48,000
• VA disability (70% with dependents): $1,800/month = $21,600
• Total: $69,600

Home: $250,000

Kansas Savings Over 20 Years

Benefit	Annual Savings	20-Year Total
Property tax relief (K-40SVR)	$700	$14,000
Military retirement (vs 5.58%)	$2,678	$53,560
Vehicle registration	$50	$1,000
Hunting/fishing license	$68	$1,360
State park admission	$40	$800
100% disabled exemption (if applicable)	$0	$0
TOTAL	$3,536	$70,720

Comparison: Kansas vs. Colorado (Similar Plains State)

Same O-4 scenario:

State	Property Tax Savings	Income Tax Savings	Total 20-Year Savings
Kansas	$14,000	$53,560	$70,720
Colorado	~$15,000	~$30,000 (partial exempt)	~$50,000

Kansas advantage: $20,720 over 20 years for an O-4 retiree with 70% disability

The key advantage is Kansas's 100% exemption of military retirement vs. Colorado's partial exemption.

Cost of Living Advantage

Kansas's biggest veteran benefit is often overlooked: exceptionally low cost of living.

Cost of Living Comparison (100 = National Average)

• Kansas overall: 86.5 (13.5% below national average)
• Housing: 72.6 (27% below national average)
• Groceries: 93 (7% below national average)
• Utilities: Slightly above average
• Healthcare: Slightly above average

Real-world impact:

• National median home price: $419,000
• Kansas median home price: $262,900 (38% lower)
• Wichita median home price: $200,000-260,000
• Average Kansas rent: $1,100/month (vs. $1,373 national average)

Combined effect: Low housing costs + tax benefits + military retirement exemption = high purchasing power for veterans.

Other Financial Benefits

Sales Tax

Kansas does not offer sales tax exemptions for veterans on general purchases. The state sales tax rate is 6.5%, with local rates bringing total sales tax to 7-10% in most areas.

This is one area where Kansas doesn't provide veteran benefits, and the sales tax is higher than some neighboring states.

Business License Benefits

Kansas does not offer statewide business license tax exemptions for disabled veterans. However, some municipalities may offer local benefits. Check with your city or county clerk's office.

Homestead Refund (General Program)

In addition to the disabled veteran program (K-40SVR), Kansas offers a general Homestead Property Tax Refund (K-40H) for low-income homeowners:

Eligibility:

• Kansas resident
• Household income cannot exceed $42,600 (2024)
• Own and occupy home as primary residence

Refund: Varies based on income and property taxes paid

Note: You cannot claim both the K-40H (Homestead) and K-40SVR (Disabled Veteran) refund - choose the one providing the larger benefit.

Unemployment Benefits for Veterans

Unemployment Compensation for Ex-Servicemembers (UCX): Available if you separated from active duty in the last 18 months

Who qualifies: Honorably discharged veterans recently separated from active duty

How much: Based on military pay

Duration: Up to 26 weeks in Kansas

Contact: Kansas Department of Labor

• Phone: 1-800-292-6333
• Website: dol.ks.gov

How to Maximize Your Benefits

Step 1: Property Tax Relief (Most Critical)

Timeline: Apply annually January 1 - April 15

Required: File Form K-40SVR each year

Pro tip: Set a calendar reminder for February 1 each year to ensure you don't miss the filing period. Missing the deadline means no refund for that tax year.

Where to file:

• Online via Kansas WebFile: ksrevenue.gov
• Paper form: Mail K-40SVR to Kansas Department of Revenue

Keep documentation:

• VA rating letter (50%+ required)
• DD-214
• Property tax statements
• Income records

Step 2: Update State Tax Withholding

If you're receiving military retirement pay, ensure your state tax withholding is set to zero for Kansas or claim the exemption when filing.

How to claim on tax return:

• File Form K-40 (Kansas Individual Income Tax)
• Complete Schedule S Part A
• Subtract military retirement income
• Keep DD-214 and retirement paperwork for records

Step 3: Vehicle Registration Benefits

For disabled veteran plates (50%+ disability):

1. Download Form TR-103 from Kansas Department of Revenue website
2. Gather VA rating letter (50%+ required) and DD-214
3. Get VA regional director signature
4. If seeking parking privileges, get medical professional signature
5. Submit to your county treasurer's office

Processing time: 2-4 weeks

Renewal: Recertify every 3 years

Step 4: Hunting/Fishing License (If Applicable)

Timeline: Apply once, benefit lasts lifetime

1. Download application from ksoutdoors.gov
2. Gather DD-214 and VA rating letter (30%+ required)
3. Provide proof of Kansas residency
4. Mail to Kansas Department of Wildlife & Parks
5. Receive permanent license (2 weeks processing)

Step 5: Track Your Savings

Keep records of benefits claimed:

• Annual property tax refund confirmation
• State tax returns showing military retirement exemption
• Vehicle registration receipts showing disabled veteran plates
• Total savings documentation

This helps you understand the real value of your benefits and ensures proper application each year.

Frequently Asked Questions

Do I need to reapply for property tax relief every year?

Yes. Kansas requires annual filing of Form K-40SVR during the January 1 - April 15 filing period. This is filed with your taxes each year. Set a reminder to avoid missing the deadline.

What if I'm rated 60% disabled?

You qualify for the K-40SVR property tax relief program ($700 maximum refund). You also qualify for free disabled veteran license plates (50%+ required). The 30% threshold applies only to hunting/fishing licenses and state park admission.

Can I get property tax relief on a second home or rental property?

No. The K-40SVR relief applies only to your primary residence where you live. You cannot claim it on investment properties, vacation homes, or rental properties.

What if I move to a different county in Kansas?

You continue to qualify for K-40SVR as long as you remain a Kansas resident. File your K-40SVR form annually with your new address and property information.

Does property tax relief apply to condos?

Yes. Condo owners can claim the K-40SVR relief. The benefit applies to property taxes on your unit.

What's the income limit for disabled veteran property tax relief?

$56,450 household income maximum (2024 tax year). This includes all household income - military retirement, VA disability, Social Security, employment income, etc. However, remember that VA disability, military retirement, and Social Security are tax-free in Kansas, which helps you stay under income thresholds.

What happens if I sell my home?

The K-40SVR relief ends when you sell. You apply for relief based on the home you own and occupy during the tax year. When you purchase a new home, apply for relief on that property in the following tax year.

Can my surviving spouse keep the property tax relief?

Yes, if your spouse:

• Does not remarry
• Continues to live in the same primary residence
• Has been a Kansas resident since your death
• Meets income requirements
• Files K-40SVR annually

Will military retirement pay be taxed if I earned it in another state?

No. As long as you're a Kansas resident when you receive the retirement pay, it's exempt from Kansas state income tax regardless of where you served.

Do I need to be retired from the military to get these benefits?

• Property tax relief: No, only need qualifying disability rating (50%+)
• Income tax exemption on military retirement: Yes, must be receiving military retirement pay
• Vehicle/hunting/fishing/park benefits: No, only need qualifying disability rating (varies by benefit)

Does Kansas tax my TSP or 401(k) withdrawals?

Yes, at Kansas income tax rates (3.1-5.58% depending on amount). Qualified retirement account withdrawals are treated as regular income. However, military retirement pay specifically is exempt.

What if my county denies my K-40SVR claim?

You have the right to appeal:

1. Contact Kansas Department of Revenue for explanation: (785) 368-8222
2. Request review of denial reason
3. Provide additional documentation if needed
4. File formal protest if necessary
5. Contact Kansas Office of Veterans Services for assistance: 1-866-844-5387

Can I claim both the K-40H (Homestead) and K-40SVR (Disabled Veteran) refund?

No. You must choose one program. Generally, if you qualify for K-40SVR as a disabled veteran, that program provides better benefits. Calculate both to determine which gives you the larger refund.

What if my home is worth more than $350,000?

You do not qualify for the K-40SVR property tax relief program. The program caps home appraised value at $350,000. This primarily affects veterans in upscale areas of Johnson County (Kansas City suburbs).

Are there income limits for vehicle registration benefits?

No. The free disabled veteran license plates (50%+ disability) are available regardless of income level.

What if I'm National Guard or Reserve?

If you have a VA service-connected disability rating, you qualify for the same benefits as active-duty veterans. The key is the VA disability rating, not your service component. You must be honorably discharged and meet the same disability percentage requirements.

Key Takeaways

Kansas delivers solid financial value for veterans, especially when combined with low cost of living:

1. All military retirees keep their entire retirement check - no state taxes
2. 50%+ disabled veterans get up to $700 annual property tax refund
3. 50%+ disabled veterans get free license plates (no registration fees)
4. 30%+ disabled veterans get free lifetime hunting and fishing licenses
5. 30%+ disabled veterans get discounted state park admission
6. 100% disabled veterans get additional $2,320 state tax exemption

The honest truth about Kansas for veterans:

Pros:

• 100% military retirement exemption is excellent
• Very low cost of living (13-17% below national average)
• Affordable housing (median $200K-260K statewide)
• Property tax relief for disabled veterans
• Strong military community around Fort Riley and McConnell AFB
• Free hunting/fishing licenses for 30%+ disabled (great for outdoorsmen)
• Social Security fully exempt (since 2024)
• Excellent VA healthcare (3 medical centers, multiple clinics)

Cons:

• Property tax relief is capped at $700 (modest compared to some states)
• Income limits for property tax relief ($56,450) may exclude some
• Property taxes are moderate but not the lowest (1.33% average)
• No sales tax exemptions for veterans
• State income tax on other retirement income (401k, IRA, pensions)
• Must reapply for property tax relief annually
• Home value cap ($350,000) may exclude some areas

Bottom line: Kansas is excellent for all military retirees due to 100% tax exemption on retirement pay combined with low cost of living. If you're 50%+ disabled, the property tax relief adds meaningful savings. Kansas won't match the property tax exemptions of states like Illinois or Texas, but the overall affordability and quality of life make it highly attractive. Housing costs in Kansas are 27% below the national average, which often provides more value than tax exemptions in expensive states.

Best for: Military retirees seeking affordable cost of living, disabled veterans with modest incomes, veterans prioritizing military community (Fort Riley, McConnell AFB), and veterans who value outdoor recreation.

Resources

• Kansas Office of Veterans Services: 1-866-844-5387 | kovs.ks.gov
• Kansas Department of Revenue (Tax Forms): (785) 368-8222 | ksrevenue.gov
• Property Tax Relief (K-40SVR): ksrevenue.gov/faqs-SVR.html
• Kansas WebFile (Online Filing): ksrevenue.gov/webfile.html
• Disabled Veteran License Plates: ksrevenue.gov/dov-disabledvet.html
• Kansas Department of Wildlife & Parks: (620) 672-5911 | ksoutdoors.gov
• Kansas Department of Labor (Unemployment): 1-800-292-6333 | dol.ks.gov

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Information current as of January 2025. Tax laws and benefit amounts may change. Verify specific details with Kansas Department of Revenue and Kansas Office of Veterans Services.