By Brandon House, REALTOR®
Quick answer: What benefits do 100% disabled veterans get in Oklahoma for their home? Oklahoma veterans rated 100% service-connected disabled can get a full property tax exemption on their home, a sales tax exemption on up to $25,000 of purchases a year, and, like any veteran receiving VA disability compensation, they don't pay the VA funding fee on a VA home loan. Unremarried surviving spouses keep the property tax exemption.
These benefits can add up to thousands of dollars a year, and a lot of veterans who qualify aren't using all of them. Here's what each one does and exactly how to claim it.
I'm a REALTOR® and Navy veteran, not a tax professional. Confirm the details for your situation with your county assessor and the Oklahoma Tax Commission.
Oklahoma's 100% Disabled Veteran Property Tax Exemption
This is the big one. If you qualify, you pay no property tax on your homestead, the home you own and live in.
Who qualifies:
- An Oklahoma resident and honorably discharged veteran
- Certified by the VA as receiving compensation at the 100% rate for a permanent, service-connected disability
- Owns and lives in the home as their primary residence, with a homestead exemption on it
- Also: the unremarried surviving spouse of a qualifying veteran
How to apply:
- Request your VA benefit summary letter showing your 100% rating. You can download it from VA.gov.
- Fill out Oklahoma Tax Commission Form 998, the Application for 100% Disabled Veterans Real Property Tax Exemption.
- Take both to the county assessor where the home is. In the OKC metro that's usually Oklahoma County, Cleveland County (Norman, Moore) or Canadian County (Yukon, Mustang).
If you buy a new home, the exemption doesn't follow you automatically. File Form 998-B with the assessor in the new home's county.
If your rating comes through mid-year, you may not have to wait. Under Oklahoma's rules, if your 100% rating is effective on or before the date you apply and you meet the homestead requirements, the property can be exempt for that whole year. Ask your assessor.
Tell your lender. If you have a mortgage, your monthly payment includes property taxes in escrow. Once the exemption is approved, your lender can lower your payment. If you're buying, make sure your lender knows you qualify so your payment estimate is right.
The 100% Disabled Veteran Sales Tax Exemption
Oklahoma residents with a permanent, service-connected disability rated at the 100% rate can get a sales tax exemption card from the Oklahoma Tax Commission. It covers up to $25,000 in purchases per year. For a new homeowner, that's real savings on furniture, appliances, tools and everything else that comes with moving in.
How to get the card:
- Register with the Oklahoma Veterans Registry, run by the Oklahoma Department of Veterans Affairs. This step is required to verify your eligibility.
- Apply online through the Oklahoma Tax Commission's OkTAP system with your VA letter.
- Present the card when you buy. Vendors are required to honor it.
Good to know:
- You can get an additional card for a household member who shops on your behalf.
- An unremarried surviving spouse can also qualify, with a limit of $1,000 a year.
- It doesn't cover vehicle purchase tax.
- Contractors can't use your exemption to buy materials for work on your home. If you're remodeling, ask how the contractor prices materials, or buy qualifying items yourself.
No VA Funding Fee
This one doesn't require a 100% rating. Any veteran receiving VA compensation for a service-connected disability, even at 10%, is exempt from the VA funding fee. On a $300,000 home with $0 down, that's thousands of dollars you don't pay or don't add to your loan.
If you have a disability claim pending, tell your lender before closing. A rating that comes through before you close can still waive the fee. Our VA loan guide for Oklahoma City and Norman covers the fee and every exemption in detail.
VA Grants to Adapt Your Home
Veterans with certain service-connected disabilities may qualify for VA housing grants to buy, build or modify a home to fit their needs, like ramps, wider doors or an accessible bathroom. The two main programs are the Specially Adapted Housing (SAH) and Special Housing Adaptation (SHA) grants. The amounts change each year, so check VA.gov for current limits.
If you're shopping for a home you plan to adapt, tell your agent up front. A single-story layout or wider hallways can save a lot of renovation money later.
Putting It Together: An Example
Say you're a 100% disabled veteran buying a home in Midwest City with a VA loan:
- At closing: no VA funding fee and $0 down.
- Every month: no mortgage insurance, and no property tax in your escrow once your exemption is approved.
- When you move in: no sales tax on up to $25,000 of furniture and appliances that year.
Those savings are why I make sure every disabled veteran I work with has all three in place before and after closing.
FAQ: 100% Disabled Veteran Benefits in Oklahoma
Do 100% disabled veterans pay property taxes in Oklahoma? Not on their homestead, once they're approved for the exemption through Form 998 at their county assessor.
Does the property tax exemption transfer to a surviving spouse? Yes. An unremarried surviving spouse of a qualifying veteran can keep the exemption.
How much is the Oklahoma disabled veteran sales tax exemption? Up to $25,000 in purchases a year for the veteran, and up to $1,000 a year for an unremarried surviving spouse.
Do I have to reapply for the property tax exemption every year? No, as long as you stay in the same home and your rating doesn't change. If you move, file Form 998-B for the new home.
Do I need to be 100% disabled to skip the VA funding fee? No. Any VA disability compensation, at any rating, exempts you.
I'm a Navy veteran and a REALTOR® in Oklahoma City and Norman, and helping veterans use every benefit they've earned is a big part of my work. If you're a disabled veteran thinking about buying, call or text me at (405) 626-1911. I'll walk you through what you'll actually pay each month after these benefits, and which homes and neighborhoods fit.
Not sure you qualify for a VA loan yet? Read VA loan requirements in Oklahoma.
Benefit rules can change. Confirm current requirements with your county assessor, the Oklahoma Tax Commission and the VA.
