Maryland is one of the most military-dense states in the nation, home to more than 400,000 veterans and anchored by major installations including Fort George G. Meade, Aberdeen Proving Ground, Joint Base Andrews, Naval Air Station Patuxent River, and the U.S. Naval Academy at Annapolis. The state contributes over $20 billion annually to the national defense economy and offers veterans a meaningful — if uneven — package of state benefits.
Where Maryland excels: a complete property tax exemption for 100% permanently disabled veterans, a generous set of education scholarships including the well-funded Conroy-Cryor program, five state veterans cemeteries offering free burial, and strong county-level property tax programs that fill gaps the state doesn’t cover. Where Maryland lags: military retirement pay is only partially exempt from state income tax — a well-known frustration among Maryland military retirees and an active legislative issue.
This guide covers all current Maryland state veteran benefits, with specific dollar figures, eligibility requirements, and links to official state resources.
This article is provided by USMilitary.org, an independent educational resource. We are not affiliated with the Maryland Department of Veterans and Military Families, the VA, or any government agency. For official benefit information, visit veterans.maryland.gov.
- Veterans rated 100% permanently and totally disabled (or 100% unemployable) receive a complete exemption from Maryland real property taxes on their home — no income cap, no county variation at the state level
- Military retirement pay is only partially exempt: up to $12,500 for retirees under 55, increasing to $20,000 at age 55 — Maryland is actively working toward a full exemption but hasn’t passed one yet
- The Conroy-Cryor Memorial Scholarship awards up to $13,689 per year (2025–2026) to eligible veterans and dependents attending University System of Maryland schools
- 100% disabled veterans and former POWs receive a free lifetime hunting and fishing license; Purple Heart recipients get 50% off
- Maryland operates five state veterans cemeteries — in Cheltenham, Crownsville, Flintstone, Hurlock, and Owings Mills — with free burial for eligible veterans
- Many Maryland counties offer additional local property tax credits for partially disabled veterans (50%–74%), filling gaps in the state program
Table of Contents
- Income Tax Benefits for Veterans
- Property Tax Exemptions
- Education Benefits and Scholarships
- Employment Preferences and Licensing
- State Veterans Cemeteries
- State Parks, Hunting and Fishing
- Transit and Vehicle Benefits
- Benefits for Surviving Spouses and Dependents
- Maryland’s Major Military Installations
- How to Access Your Maryland Veteran Benefits
- Frequently Asked Questions
Income Tax Benefits for Veterans
Maryland’s income tax treatment of military pay is more complicated — and less generous — than most neighboring states. Here’s exactly how each category is handled.
Military Retirement Pay — Partial Exemption
Maryland does not fully exempt military retirement pay from state income tax, which is a notable disadvantage compared to states like Virginia ($40,000 exemption), Pennsylvania (full exemption), or the dozen-plus states that tax none of it. What Maryland currently offers:
- Under age 55: Up to $12,500 of military retired pay may be subtracted from gross income before calculating Maryland tax
- Age 55 and older: The subtraction increases to $20,000
Maryland retirees age 55 and older may also qualify for the state’s general pension exclusion of up to $39,500 (2026), which can be combined with the military subtraction — but the two cannot exceed the total pension received. This is worth calculating carefully with a tax professional if you receive both military retirement and other pension income.
Legislative efforts to expand or fully eliminate the retirement pay tax have been ongoing. The “Keep Our Heroes Home Act,” introduced in the Maryland House in January 2025, would have doubled the available exemption for some retirees. While it didn’t advance that session, advocates continue pushing for a full exemption. The state’s significant budget deficit has been the primary obstacle.
For more on how military retirement income works and how to plan around state tax variation, see our Military Retirement Planning Guide.
Survivor Benefit Plan (SBP) Payments — Partial Exemption
Surviving spouses receiving SBP, Reserve Component Survivor Benefit Plan (RCSBP), or Retired Serviceman’s Family Protection Plan (RSFPP) annuities follow the same subtraction schedule: up to $12,500 for those under 55, increasing to $20,000 at age 55 and older.
Active Duty Pay
Active duty military pay is generally subject to Maryland state income tax for resident service members. The exceptions: combat zone pay is tax-exempt, and service members stationed outside Maryland on active duty may subtract their out-of-state military pay. Nonresident service members stationed in Maryland due to orders do not owe Maryland income tax on their military pay.
VA Disability Compensation — Fully Exempt
VA disability compensation is federally tax-free and is not subject to Maryland state tax. This applies regardless of disability rating.
Military Spouse Residency Relief
Under the Military Spouse Residency Relief Act (MSRRA), spouses of nonresident service members who are in Maryland solely due to military orders retain their home state of domicile for tax purposes. They do not owe Maryland income or personal property taxes on wages earned in Maryland, provided they have the same state of domicile as the service member.
Property Tax Exemptions
State Exemption: 100% Permanently Disabled Veterans
Veterans with a VA-determined service-connected disability rating of 100% permanent and total, or 100% permanently unemployable (IU), are entitled to a complete exemption from Maryland real property taxes on their primary residence (the dwelling house and surrounding yard). This is a state-level benefit administered through the Maryland State Department of Assessments and Taxation (SDAT).
To apply, veterans submit the 100 Percent Disabled Veteran Exemption Application along with:
- Current VA Award Letter confirming the 100% permanent and total or unemployable rating (with effective date)
- Proof of Maryland residency (driver’s license, voter registration, or redacted prior-year tax return)
- DD-214 (if applicable)
There is no income cap and no filing deadline — veterans may apply at any time. The exemption also extends to un-remarried surviving spouses of qualifying veterans and to surviving spouses of service members killed in the line of duty. Contact the DVMF service program office in Baltimore at 800-446-4926, ext. 6450, to streamline VA disability verification.
County-Level Property Tax Credits for Partially Disabled Veterans
Maryland does not offer a statewide property tax credit for veterans rated below 100%. However, many individual counties have enacted their own credits for partially disabled veterans, and they vary significantly. A few examples:
- Montgomery County: 50% county tax credit for veterans with 75%+ service-connected disability; 25% credit for 50–74% disability
- Anne Arundel County: Tax credit available for veterans with 100% nonpermanent disability and federal adjusted gross income under $100,000
Because these credits vary county by county, veterans rated below 100% should contact their local county tax assessor or the Maryland Department of Veterans and Military Families (DVMF) to find out what programs exist in their specific county.
Maryland veterans considering homeownership may also want to explore VA loans, which offer no down payment and no private mortgage insurance. See our VA Loan guide for details.
Education Benefits and Scholarships
Maryland has built one of the more comprehensive state education benefit systems in the Mid-Atlantic, with multiple distinct scholarship programs targeting different populations.
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Edward T. Conroy and Jean B. Cryor Memorial Scholarship Program
The Conroy-Cryor Memorial Scholarship is Maryland’s flagship veteran education benefit. For 2025–2026, the maximum award is $13,689 per year — covering tuition and mandatory fees at eligible University System of Maryland institutions. The award is not based on financial need.
Eligible recipients include:
- Veterans who served on active duty (other than training) and were discharged under other than dishonorable conditions — must be Maryland residents
- Children, stepchildren, or unremarried surviving spouses of a service member who died while on active duty
- Children, stepchildren, or spouses of a veteran with a 100% service-connected disability
- Children, stepchildren, or unremarried surviving spouses of a victim of the September 11, 2001 attacks
- POW/MIA dependents
Duration: Undergraduate awards cover up to five years of full-time study (12+ credits/semester) or eight years of part-time study (6–11 credits/semester). Graduate awards are also available on a full- or part-time basis. The scholarship cannot be used at the University of Maryland Global Campus or the University of Maryland, Baltimore.
Applications are submitted online through MDCAPS by March 1 each year.
Veterans of the Afghanistan and Iraq Conflicts (VAIC) Scholarship
The VAIC Scholarship provides financial assistance to service members and veterans who served in the Afghanistan or Iraq conflicts, along with eligible spouses and dependent children. The award covers up to 50% of annual tuition, mandatory fees, and room and board at University System of Maryland institutions, with a combined cap of $29,600 (including state aid and VA education benefits).
Applicants must be Maryland residents, enrolled as undergraduates at least part-time (6+ credits/semester), and accepted at an eligible institution. This scholarship is designed to supplement — not replace — federal VA education benefits like the Post-9/11 GI Bill.
National Guard Tuition Assistance
Active members of the Maryland National Guard may be eligible for state tuition assistance through the Maryland Higher Education Commission. Guard members should contact their unit’s Education Services Officer for current award amounts and eligibility requirements, as funding levels are subject to state budget appropriations.
Employment Preferences and Licensing
State Employment Hiring Preference
Maryland provides veterans’ hiring preference points in state government employment:
- 10-point preference: Available to eligible veterans with or without a VA-rated service-connected disability, former POWs, spouses of eligible disabled veterans, and surviving spouses of eligible service members
- Additional 2-point preference: Available to veterans with service-connected disabilities and former prisoners of war, among others meeting additional criteria
These points are added to examination or selection scores, giving qualifying veterans a competitive edge in the state hiring process. Claim the preference on your application through the state’s employment system.
Professional License and Credential Transfer
Maryland operates a military credential transfer program designed to help veterans and military spouses who relocate to the state transfer professional licenses, certifications, and college credits earned during or because of military service. The program offers expedited processing as long as the transferring credentials meet Maryland requirements — a meaningful benefit for service members arriving via PCS orders. Contact the Maryland Department of Veterans and Military Families for guidance on specific credentials.
State Veterans Cemeteries
Maryland operates five state veterans cemeteries, offering free burial to eligible honorably discharged Maryland resident veterans:
- Cheltenham Veterans Cemetery — Cheltenham (Prince George’s County)
- Crownsville Veterans Cemetery — Crownsville (Anne Arundel County)
- Rocky Gap Veterans Cemetery — Flintstone (Allegany County)
- Eastern Shore Veterans Cemetery — Hurlock (Dorchester County)
- Garrison Forest Veterans Cemetery — Owings Mills (Baltimore County)
What’s included at no cost to the veteran: burial plot, grave liner, headstone, and interment services. Plots are available on a first-come, first-served basis. Eligible dependents may be buried in the same plot assigned to the veteran; dependent interments include an opening/closing fee of approximately $978. All other preparation, transportation, and funeral costs are the responsibility of the family.
Eligibility follows VA National Cemetery Administration standards with an added Maryland residency requirement. The Maryland National Guard Honor Guard provides military funeral honors for veterans discharged under other than dishonorable conditions — contact 667-296-3440 to arrange.
State Parks, Hunting and Fishing
Free State Park Admission
Both resident and nonresident veterans receive free entry to Maryland state parks and recreation facilities. The waiver covers the individual veteran; if a per-vehicle fee is in effect, that fee is also waived. Active duty service members with a current military ID are similarly exempt from day-use entrance fees.
Free Lifetime Hunting and Fishing License
Maryland resident veterans who are former prisoners of war or who have a 100% service-connected disability rating from the VA are eligible for a free lifetime hunting and fishing license. The license includes the bow stamp, muzzleloader stamp, sika deer stamp, and furbearer permit. It does not include the annual Maryland Migratory Game Bird Stamp or the Federal Migratory Bird Hunting and Conservation Stamp, which must be obtained separately each year.
This license is only available in person at Maryland Department of Natural Resources (DNR) Licensing and Registration Service Centers. Veterans must present official documentation of eligibility.
Discounted Licenses for Purple Heart Recipients
Maryland resident Purple Heart recipients may purchase hunting and fishing licenses at 50% of the standard rate. This is a separate benefit from the free lifetime license available to 100% disabled veterans and POWs.
Active Duty Hunting and Fishing
Active duty Maryland residents on official military leave and in possession of leave orders are not required to purchase a hunting license, deer stamps, or a Maryland Managed Hunt Permit while hunting in Maryland during that leave. Nonresident service members stationed in Maryland may purchase hunting and fishing licenses at resident rates.
Transit and Vehicle Benefits
Washington Metro Reduced Fares
The Washington Metropolitan Area Transit Authority (WMATA) offers reduced fares on Metrobus, Metrorail, and participating transit agencies for veterans with service-connected disabilities. This is particularly valuable for Maryland veterans living in the DC metro area near Fort Meade, Joint Base Andrews, or Walter Reed National Military Medical Center. Contact WMATA directly for current fare discount levels and eligibility documentation requirements.
Vessel Excise Tax Exemption
Active duty military personnel are exempt from Maryland’s 5% vessel excise tax for one year on boats purchased out of state and brought into Maryland as a direct result of a permanent change of station (PCS). This exemption must be claimed at time of registration.
Special Military Vehicle Tags
Maryland offers special military and veteran license plates recognizing service, including plates for disabled veterans, Purple Heart recipients, and various branch-specific designs. Contact the Maryland Motor Vehicle Administration (MVA) for the current list of available plates and eligibility requirements.
Benefits for Surviving Spouses and Dependents
Maryland’s major benefits extend meaningfully to surviving families:
- Property tax exemption: Unremarried surviving spouses of 100% permanently disabled veterans and surviving spouses of service members killed in the line of duty are eligible for the full state property tax exemption on the primary residence
- SBP tax subtraction: Surviving spouses receiving SBP, RCSBP, or RSFPP annuities may subtract up to $12,500 (under 55) or $20,000 (55+) from Maryland gross income
- Conroy-Cryor Scholarship: Unremarried surviving spouses and children/stepchildren of service members who died on active duty or from a service-connected cause are eligible for up to $13,689/year in scholarship support
- VAIC Scholarship: Spouses and dependent children of Afghanistan and Iraq veterans may qualify for up to 50% of tuition, fees, and room and board
- Veterans cemetery burial: Eligible dependents may be interred in the same plot as the veteran
Maryland’s Major Military Installations
Understanding Maryland’s military footprint helps veterans know where VA healthcare, base exchanges, commissaries, and support services are accessible.
- Fort George G. Meade (Anne Arundel County) — Home to the National Security Agency, U.S. Cyber Command, Defense Information Systems Agency, and dozens of other commands. Maryland’s largest employer, supporting over 64,000 employees.
- Aberdeen Proving Ground (Harford County) — The Army’s primary weapons testing and research center, employing 21,000 and generating $3 billion annually for the region.
- Joint Base Andrews (Prince George’s County) — Home of Air Force One and the 316th Wing, with 8,000 personnel and $4 billion annual economic impact.
- Naval Air Station Patuxent River (St. Mary’s County) — The Navy’s primary aircraft test and evaluation center, employing 22,000 and home to the Navy Test Pilot School.
- Walter Reed National Military Medical Center (Bethesda) — One of the nation’s premier military medical facilities, serving active duty, retirees, and their families.
- U.S. Naval Academy (Annapolis) — The preeminent officer commissioning source for the Navy and Marine Corps.
- Fort Detrick (Frederick) — Army medical research installation and home to the National Cancer Institute.
Veterans with service-connected conditions can access VA healthcare through the VA Maryland Health Care System, which operates facilities in Baltimore, Perry Point, and through community-based outpatient clinics across the state.
How to Access Your Maryland Veteran Benefits
The Maryland Department of Veterans and Military Families (DVMF) is the primary state agency for veteran benefits. DVMF’s Veterans Benefits Specialists help veterans and families find and apply for benefits under federal, state, and local law — all at no cost.
Key resources and contacts:
- Maryland DVMF — benefits specialists, property tax help, licensing, general assistance; toll-free at 800-446-4926
- Maryland SDAT — property tax exemption applications for disabled veterans
- MDCAPS (Maryland College Aid Processing System) — Conroy-Cryor and VAIC scholarship applications (deadline: March 1)
- Maryland DNR — hunting and fishing license benefits for veterans
- Maryland MVA — veteran and military specialty license plates
- VA Maryland Health Care System — federal VA healthcare enrollment
To compare Maryland’s benefits with neighboring states, see our Virginia Veteran Benefits and Pennsylvania Veteran Benefits guides, or browse our full Veteran Benefits by State directory.
Frequently Asked Questions
No — not fully. Maryland allows military retirees under age 55 to subtract up to $12,500 of retirement pay from gross income before calculating state taxes. At age 55, that subtraction increases to $20,000. This partial exemption is notably less generous than neighboring Virginia ($40,000) and Pennsylvania (fully exempt). Maryland legislators have repeatedly introduced full-exemption bills, but none have passed as of early 2026 due to state budget constraints.
Veterans rated 100% permanently and totally disabled or 100% unemployable by the VA receive a complete exemption from Maryland real property taxes on their primary home. There is no income cap at the state level. Additionally, many Maryland counties offer supplemental property tax credits for veterans with lower disability ratings (typically 50% or above) — check with your county tax office for local programs.
Maryland offers two major scholarship programs: the Conroy-Cryor Memorial Scholarship (up to $13,689/year for 2025–2026 at University System of Maryland schools, for veterans and qualifying dependents) and the VAIC Scholarship (up to 50% of tuition, fees, and room and board for Afghanistan and Iraq veterans and their families). Both are administered through the Maryland Higher Education Commission and require a March 1 application deadline.
Maryland operates five state veterans cemeteries: Cheltenham (Prince George’s County), Crownsville (Anne Arundel County), Flintstone (Allegany County), Hurlock (Dorchester County), and Owings Mills (Baltimore County). Burial is free for eligible honorably discharged Maryland resident veterans, including the plot, headstone, liner, and interment services.
Maryland resident veterans with a 100% service-connected VA disability rating, and former prisoners of war, receive a free lifetime hunting and fishing license. Purple Heart recipients can purchase licenses at 50% of the standard rate. These licenses are available through Maryland DNR Licensing and Registration Service Centers with proper documentation.
Maryland’s statewide property tax exemption requires a 100% permanent and total disability rating. However, many counties have enacted local property tax credits for veterans with lower ratings — Montgomery County, for example, provides a 50% county tax credit for veterans with 75% or greater disability, and 25% for those rated 50–74%. Contact the Maryland DVMF or your county tax assessor’s office to identify what local credits are available where you live.