State file · SD
Veteran benefits in South Dakota
South Dakota levies no state income tax on military pay or retirement, gives resident veterans free state park admission, and offers free tuition at state universities for qualifying veterans. Here's the rundown.
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Financial benefits
No state income tax
South Dakota does not levy a general state income tax on individuals, so retirement income, military pay, VA disability retired pay, and Survivor Benefit Plan payments are not taxed at the state level.
Property tax exemption for paraplegic veterans
Paraplegic veterans and their un-remarried surviving spouses qualify for a property tax exemption on homes specifically designed for wheelchair use, covering the house, garage, and up to one acre.
Sales tax picture
Statewide sales tax is 4.5%, with municipal additions of up to 6.5%; the current average is roughly 5.57%. Seniors and disabled individuals may qualify for sales tax refunds.
Recreation
Low-cost hunting & fishing cards
Disabled veterans can obtain a $10 card valid for four years that is equivalent to a resident fishing and small game license. Special provisions allow hunters missing upper limbs or confined to wheelchairs to use crossbows, and legally blind or quadriplegic individuals with permits to designate hunters.
Free state park admission
Resident veterans receive free admission to South Dakota state parks and a 50% discount on camping and electrical fees.
Education programs
Free tuition for veterans
Eligible veterans can attend state-supported universities tuition-free if they were honorably discharged, are South Dakota residents, and meet service requirements — active duty since August 2, 1990, receipt of an expeditionary medal, or a disability rating of 10% or higher.
Free tuition for children of deceased veterans
Children of a parent who died during active duty can attend tuition-free; the deceased veteran must have been a South Dakota resident for six months before entering service.
Interstate Compact on Educational Opportunity for Military Children
Removes educational barriers for military children in enrollment, placement, grading, athletics, and graduation timing.
Veteran housing
South Dakota State Veterans Home at Hot Springs
Serves honorably discharged veterans, with spouses and widows also eligible; costs are based on income.
Employment & job training
Hiring preference
Veterans receive federal hiring preference of 5 to 10 points depending on status, and South Dakota supplements state salaries for National Guard and Reserve employees called to active duty after January 1, 2002.
Before you apply
- First-time applicants generally need a copy of their DD-214 or discharge paperwork — keep certified copies somewhere safe.
- Most programs require a discharge under other than dishonorable conditions; a dishonorable or bad-conduct discharge may bar eligibility.
- “Active service” has a specific definition for many programs — training periods don’t always count. When in doubt, ask the agency directly.
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