Michigan disabled veteran benefits: tax, plates, education, and recreation.

Michigan military retirement pay tax

Michigan has phased out tax on most retirement income for 2026 (deduction ~$66k single / $132k joint) — treated as exempt for typical amounts.

Michigan disabled veteran license plate

Eligibility: Two tiers (MCL 257.803f, expanded 2024): Permanent plate = 100% P&T (or IU paid at 100%), never expires. Standard plate = 50-90% SC rating, expires on birthday, free renewal.

How to apply: Form BDVR-87 "Application for Veteran License Plate" + discharge papers + VA Rating Decision/Summary of Benefits letter.

Agency: Secretary of State (SOS), policy support MVAA

Open official Michigan plate information

Registration, parking, and toll notes

100% P&T: plate + registration completely free (one-time $5 admin fee only). 50-90%: plate free but standard registration fees apply. Bonus: free MI state park access. Parking is NOT included — a separate ISA placard/tab is required regardless of the plate.

No dedicated disabled-veteran toll program confirmed in Michigan.

Michigan property tax benefits

Reviewed September 2026: qualifying permanent-and-total, VA individual-unemployability or VA housing-assistance status can exempt a Michigan homestead. File Form 5107 before December 31; no annual reapplication after approval, but a move or loss of eligibility must be reported. New purchases require tax-proration review; special assessments may remain.

How to apply in Michigan

Michigan education benefits

Michigan offers the Children of Veterans Tuition Grant for qualifying children and separate MINGSTAP reimbursement for eligible current Guard members and families. Eligibility, school processing, deadlines and funding limits apply; neither is a universal veteran tuition waiver.

How to apply for Michigan education benefits

Michigan recreation benefits

September 2026 review: qualifying Michigan residents need VA permanent-and-total status at the 100% rate (other than blindness) or individual unemployability for free licenses that do not require a separate application. Obtain actual licenses and carry proof. State-park entry relief is tied to qualifying Michigan vehicle plates, not a transferable veteran benefit.

Educational disclaimer

VetOps is not VA, a VSO, DMV, DOT, a tax advisor, or a government agency. This guide is educational only, does not provide legal, financial, or tax advice, and does not guarantee benefits or tax outcomes.