By Danielle Langberg
The United States thanks its disabled veterans for their sacrifice and service to the nation by extending a variety of tax credits and deductions -- some are offered on the federal level, other benefits vary from state to state.Many states that levy annual property taxes on residential and investment properties offer tax abatements to disabled veterans who served in the armed forces.
The Internal Revenue Service ruled in 2007 that money paid to disabled veterans through the Compensated Work Therapy Program run by the Dept. of Veterans Affairs does not constitute taxable income.
Surviving spouses of disabled veterans who remain unmarried are eligible for property tax exemptions on the veteran's place of residence and any property that the veteran owned prior to passing away.
The Veterans Administration provides tax claim forms and instructions to disabled veterans seeking to take advantage of tax deductions.
Disabled veterans residing in the State of California or owning property in that state are not eligible for property tax exemptions.
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