Indiana Veteran Benefits Playbook - 0% to 100% Schedular

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The live Indiana playbook in 2026

Indiana now has a date split that veterans need to understand. If you are looking at property taxes first due in 2026, you are still looking at the 2025 assessment date, where the June 12, 2025 DLGF memo said HEA 1427 restored the older veteran deductions. DLGF's May 27, 2026 memo explains how HEA 1210 changes the veteran homeowner rules for the 2026 assessment date / 2027 payable year and after.

All veterans Get your DD214 organized, add the veteran indicator, and use a county service officer.

Indiana has benefits that are not tied to a disability percentage at all, and a lot of people miss them because they start their search too late.

10% and up Indiana starts adding real state-specific value once you have a service-connected rating on paper.

The wartime homeowner lane still matters, but under HEA 1210 it shifts from the old deduction model to a local property-tax credit for post-2025 assessment dates.

Total disability Totally disabled veterans get the biggest Indiana homestead step.

Age 62 plus 10% now points to a $250 credit unless the veteran also qualifies under the total disability deduction lane. If you are 100% P&T, use the dedicated family guide next.

100% P&T shortcut: if your VA paperwork says Permanent and Total, go next to the 100% P&T article. That page is the Indiana family stack for CHAMPVA, DEA, dental, and long-range planning. This guide stays focused on Indiana benefits from 0% through 100% schedular.

This page is designed to answer four practical questions:

What Indiana benefits apply to every veteran, even before high ratings?
Which benefits start at a service-connected minimum threshold?
How do the Indiana property-tax rules work for taxes due in 2026 versus taxes due in 2027 and after?
What should 100% schedular or TDIU veterans do before moving into the dedicated 100% P&T guide?

Use exact paperwork. Indiana programs often turn on specific documents: DD214s, VA award letters, ScholarTrack approvals, or county auditor forms. Bring the actual paperwork, not just the story you were told over the phone.

Rating ladder

Use this ladder instead of guessing

Every Indiana veteran should do these first

Put your DD214 where you can reach it quickly or request a replacement through IDVA or the National Archives if yours is missing.
Find your county veteran service officer. CVSOs help with rating evidence, property-tax paperwork, and state benefit forms.
Add the veteran indicator to your Indiana driver's license or ID if you were not dishonorably discharged. Surviving spouses can request a veteran spouse indicator.
Use WorkOne veteran services. Indiana's DWD says veterans go to the front of the line, and each office has a veteran representative for employment help.
If you run a small vending business, check the no-fee vendor, hawker, or peddler license for honorably discharged veterans.

0% service-connected, or still fighting for service connection

A 0% rating is still a formal VA acknowledgment that the condition is service-connected. That matters in Indiana because some state programs ask for a service-connected disability rating without requiring a high percentage.

CVO may still be in play Indiana's tuition fact sheet says eligible children of wartime veterans need a VA service-connected disability rating. It does not set a higher minimum percentage on the fact sheet itself.

Daily-life support still matters WorkOne, DD214 replacement help, veteran indicators, and local county service offices do not require a high rating.

10% or more service-connected

This is still the first major Indiana threshold. The daily-life benefits stay familiar, but the homeowner benefit now depends on which tax year you are talking about.

For the 2025 assessment date, with taxes first due in 2026, the older wartime Section 13 deduction can still show up on the bill.
For assessment dates after December 31, 2025, HEA 1210 adds a $350 local property-tax credit under Indiana Code 6-1.1-51.3-6 for an honorably discharged wartime veteran with at least a 10% service-connected rating, or certain surviving spouses.
Indiana residents with a documented service-connected disability can buy the discounted DAV hunting and fishing license for $2.75 for one year or $27.50 for ten years.
If your children may use Indiana's Tuition and Fee Exemption, this is when you should start checking wartime service, relationship documents, and ScholarTrack timing.

Total disability, or age 62 with at least 10%

These are now two different Indiana lanes. For assessment dates after December 31, 2025, HEA 1210 rewrites Section 14 so a qualifying totally disabled veteran can receive a deduction equal to 100% of the assessed value of the principal residence, instead of the older flat $14,000 deduction. The old $240,000 assessed-value cap is gone for this modified Section 14 lane, but the veteran still needs the current service, honorable discharge, ownership, principal residence, one-year Indiana residency, filing, and total-disability facts.

Veterans who are at least 62 with at least 10% disability, but are not in the total disability lane, should look at the new $250 local property-tax credit under Indiana Code 6-1.1-51.3-5.
For 2026 Pay 2027, DLGF says county auditors should automatically convert taxpayers who already had the old Section 14 deduction to the $250 credit. If the veteran now qualifies for the modified 100% deduction, the veteran must submit a new application so the auditor applies the deduction instead of the credit.
Surviving spouses may also qualify under Indiana's current structure, including some killed-in-action or active-duty death cases.

100% schedular or TDIU

At this level, the federal side starts to matter more for the veteran. VA dental is available to veterans rated 100% disabling and also to veterans paid at the 100% rate because VA considers them unemployable. But Indiana's core state homeowner benefit now runs through the new Section 14 homestead rule unless you are in the separate donated-home lane described below.

Bridge note: 100% schedular and TDIU veterans should use this page for Indiana state thresholds. If your VA award also says Permanent and Total, move to the dedicated Indiana 100% P&T guide for CHAMPVA, DEA, and family strategy.

Property tax

Indiana property-tax strategy after HEA 1210

This is the part most Indiana veterans care about most, and it is also the part most likely to be explained badly. The clean way to read Indiana now is by tax year, not by internet rumor.

Taxes first due in 2026 Many veterans are still seeing the restored older deductions on their 2026 bill because that bill is tied to the 2025 assessment date.

IC 6-1.1-51.3-6 For assessment dates after December 31, 2025, the wartime 10% lane becomes a $350 local property-tax credit instead of the older Section 13 deduction. The statute requires an application, but DLGF recommends counties automatically transfer current $24,960 deduction recipients to the new credit.

IC 6-1.1-12-14 For assessment dates after December 31, 2025, a qualifying totally disabled veteran can claim a deduction equal to 100% of the assessed value of the principal residence, with no old $240,000 assessed-value cap, subject to the other Section 14 conditions.

IC 6-1.1-51.3-5 transition For taxes assessed in 2026 and first due in 2027, taxpayers who were already receiving Section 14 before HEA 1210 are moved to a $250 local property-tax credit unless they submit a new application and qualify for the modified 100% deduction.

IC 6-1.1-12-14.5 If a qualifying nonprofit conveyed the homestead to the veteran at no cost, a separate donated-home deduction can equal 50% to 100% of assessed value based on the veteran's rating, but it cannot be combined with Sections 13 or 14.

May 2026 update: The old $24,960 service-connected-disability deduction expires for 2026 assessment dates and is replaced by a $350 credit. The old $14,000 total disability / age-62 lane becomes either the modified 100% deduction or the $250 credit, depending on the taxpayer's facts and application status.

So is a 100% P&T veteran fully exempt?

Usually, for the qualifying homestead, that is the practical effect of the new Section 14 language. If your VA paperwork supports Indiana's total disability requirement and you meet the residence, ownership, residency, and filing rules, Section 14 is written as a deduction equal to 100% of the assessed value. That is very different from the old $14,000 deduction model.

Important distinction: Section 14.5 is not the general 100% P&T rule. The donated-home rule only applies if a qualifying tax-exempt organization conveyed the homestead to the veteran without charge. A 100% P&T veteran can still reach a full assessed-value deduction under Section 14 without being in the donated-home lane.

The part of the 2025 overhaul that still matters

Indiana's broader homestead system still changed in 2025, so the non-veteran math under the bill is still moving even while the veteran-specific rules are being rewritten again for post-2025 assessment dates.

Homestead Standard Deduction phase-down DLGF says the standard deduction is $48,000 for the 2025 assessment date, $40,000 for 2026, $30,000 for 2027, $20,000 for 2028, $10,000 for 2029, and $0 for 2030 and after.

Supplemental Homestead Deduction increase DLGF says the supplemental deduction is 40% for taxes due in 2026, 46% in 2027, 52% in 2028, 57% in 2029, 62% in 2030, and 66.7% in 2031 and after.

Over 65 and Blind/Disabled changed form Older or disabled veteran households may still have relief available, but DLGF says those old deductions were converted into credits with January 15 filing timelines and updated county forms.

Practical takeaway Your veteran relief lane can remain intact while your underlying homestead math changes. That is why two veterans with similar county veteran relief can still see different bill movement from 2026 through 2031.

Do not read your veteran relief in isolation. For Indiana homeowners, the net bill now depends on the veteran-specific deduction or credit and the changing homestead baseline under the 2025 property-tax overhaul.

How to file without getting lost

1

Collect the right proof

Start with State Form 12662 and the proof your county auditor asks for. DLGF's current summary names a VA pension certificate or award of compensation, or a Certificate of Eligibility issued by IDVA; IDVA also lists State Form 51186 for property-tax eligibility certification.

2

File with the county auditor where the property sits

These deductions are county-auditor benefits. If your county handout still suggests the veteran deductions are still the whole story, ask how the county is processing HEA 1210 for taxes first due in 2027 and after.

3

Confirm your homestead facts

The modified Section 14 lane now depends on total disability, Indiana residency, ownership, and the property being the qualifying principal residence. The donated-home rule is different and only applies when a qualifying nonprofit conveyed the home at no cost.

4

Recheck after major life changes

Turning 62, moving homes, changing title, a spouse's death, or finally receiving a total-disability decision can all move you into a better deduction lane.

Important nuance for TDIU readers: Indiana still uses the wording total disability in Section 14. If you are paid at the 100% rate because of TDIU, use your actual VA award letter and have your county veteran service officer or county auditor confirm whether they are treating your file as Section 14 eligible, Section 14.5 eligible, or only the wartime credit lane.

Education and money

Education benefits that can change a family's math

Indiana Tuition and Fee Exemption (CVO)

Indiana's Tuition and Fee Exemption is one of the biggest state benefits on the board for children of disabled veterans. The current Indiana guidance says eligible students can receive up to 124 credit hours of tuition and regularly assessed fees at state-supported Indiana schools, capped at the undergraduate resident tuition rate, and up to $5,000 per academic year toward tuition and fees at eligible Indiana private nonprofit schools for students who graduated high school in 2023 or later.

This is not just a 100% veteran benefit. Indiana's fact sheet says eligible children of wartime veterans need a service-connected disability rating from VA, plus the other service, Indiana-connection, and student eligibility rules. That means a family should not assume they are out just because the veteran is not 100%.

How to apply The application runs through ScholarTrack, not through the school alone.

Annual FAFSA rule Students must file a FAFSA each year they want to use the exemption and list the Indiana schools where they may use it.

Use window Indiana's tuition page says approved students generally get 8 academic years to use the 124 hours after first use.

Documents Expect to provide proof of relationship, wartime or hazardous duty service, the veteran's VA rating letter, and Indiana residency evidence if home-of-record proof is missing.

Percentage rule For enlistments on or after July 1, 2011, Indiana uses 20% + the VA disability percentage when the parent's rating is below 80%, and 100% when the parent's rating is 80% or higher.

Indiana529 is still worth understanding

Indiana529 remains a good state tax tool even when CVO may cover most tuition. Indiana's January 2026 tax bulletin says the credit is still 20% of contributions up to a $1,500 annual credit for most filers. The same bulletin also says Indiana can recapture the credit for certain uses that federal law otherwise permits.

Rollovers from Indiana529 to a Roth IRA can still trigger Indiana credit recapture.
Indiana does not treat every K-12 use the same way federal law does. The bulletin says out-of-state K-12 tuition and other non-tuition K-12 expenses are not qualified for Indiana credit recapture purposes.
If CVO is likely to cover tuition, a 529 can still be useful for room and board, books, later schooling, and credential costs.

Practical read: below 100%, Indiana often still gives you meaningful school value. A 10% or 20% veteran family with the right wartime and residency facts can be sitting on CVO without realizing it.

Daily life

Indiana benefits people miss in everyday life

BMV items and plates

The BMV's military resources page says veterans can add a veteran indicator to an Indiana credential with a DD214 that shows a discharge other than dishonorable.
Honorably discharged veterans can buy the Hoosier Veteran plate.
Indiana also offers Disabled Hoosier Veteran, Purple Heart, ex-POW, expeditionary medal, and other specialty plates for eligible veterans and some surviving spouses.

Outdoor benefits

Indiana residents with a documented service-connected disability can buy the discounted DAV hunting and fishing license for $2.75 for one year or $27.50 for ten years.
People eligible for the Disabled Hoosier Veteran plate can buy the annual Disabled Hoosier Veteran Pass for $25 for entry to Indiana state-owned parks, recreation areas, reservoirs, and forests.

Hardship and career support

Military Family Relief Fund Indiana's relief fund can help veterans and dependents facing real hardship. Current application materials say the fund can be used for housing, utilities, food, medical services, child care, transportation, and other essential needs.

Income test Current eligibility materials say household income generally cannot exceed twice the federal poverty guideline.

Processing reality IDVA's application page says complete applications generally take 10 to 14 days to process.

WorkOne and business lanes WorkOne veterans go to the front of the line, and veteran-owned firms can also look at Indiana's IVOSB certification for state procurement opportunities.

Other Indiana lanes worth knowing

Indiana still offers the no-fee vendor, hawker, or peddler license for honorably discharged veterans if a local license is otherwise required.
Older veterans who left Indiana high school for service in WWII, Korea, or Vietnam should check the state high school diploma program.
The Indiana Veterans' Home in West Lafayette accepts honorably discharged Indiana veterans, spouses or surviving spouses, and Gold Star parents under its current rules.

Action plan

Quick checklist for Indiana veterans

Pull your latest DD214 and VA award letter before you call anyone.
Find your county veteran service officer and ask for a state-benefits review, not just a federal claims review.
Add the veteran indicator at the BMV if you have never done it.
If you have wartime service and at least 10%, ask the county auditor which homeowner lane applies to your tax year: the older Section 13 deduction for taxes due in 2026 or the new $350 local credit for taxes first due in 2027 and after.
If you are totally disabled, ask whether your principal residence is being processed under the modified Section 14 deduction, the 2026 transition $250 credit, or Section 14.5 if the home was donated by a qualifying nonprofit.
If you are age 62 with at least 10% disability but are not totally disabled, ask whether the new $250 local property-tax credit applies and whether it can be paired with the $350 service-connected credit in your facts.
If you have children heading toward school, open the CVO file now in ScholarTrack and plan around FAFSA timing.
If you are 100% P&T, move next to the 100% P&T Article for the dedicated family stack.

Best one-question ask at the county auditor: "For my next payable tax year, is this homestead being handled under IC 6-1.1-12-14, IC 6-1.1-12-14.5, IC 6-1.1-51.3-5, or IC 6-1.1-51.3-6, and what exact documents does this county want for that lane?"

Official sources

Indiana veteran benefits from 0% through 100% schedular

Start with your rating, then stack Indiana benefits in the right order.