Does Vermont Exempt Military Retirement Pay from State Income Tax?
Yes for specific disabled veterans. The exemptions are only provided to disabled veterans who have had their vehicle modified to accommodate their disability and this accommodation was paid for by the U.S. Department of Veterans Affairs. Veterans who meet these criteria are exempt from vehicle sales tax, registration fees, and license fees. All other veterans are not exempt, including veterans who may be 100% disabled. For more information, contact the Vermont Department of Motor Vehicles.
