KEY TAKEAWAYS
- Rhode Island fully exempts military retirement pay from state income tax — retirees owe no state tax on retired pay, SBP payments, or VA compensation.
- Veterans with a 100% P&T disability rating qualify for a full property tax exemption on their primary residence; the exemption extends to surviving spouses who remain in the home.
- Rhode Island resident veterans with a service-connected disability of 10% or higher may qualify for a tuition waiver at state public colleges — one of the lower rating thresholds for education benefits in the country.
- The National Guard Tuition Assistance Program (STAP) provides tuition waivers for Guard members attending Rhode Island’s three public college systems.
- Veterans are eligible for preference points in state civil service hiring and expedited professional license reciprocity for military spouses.
- Income Tax Benefits
- Property Tax Exemption
- Education Benefits
- Employment Preference
- Vehicle Benefits
- Burial Benefits
- VA Facilities in Rhode Island
- Rhode Island Department of Veterans Affairs
- Frequently Asked Questions
Rhode Island packs a strong veteran benefit package into one of the nation’s smallest states. The combination of a full military retirement pay exemption, a disabled veteran tuition waiver available at a 10% rating, full property tax relief for P&T veterans, and accessible National Guard education benefits makes Rhode Island a solid state for veterans at multiple stages of their post-service lives. This guide covers all major state-level benefits for 2026.
Income Tax Benefits
Rhode Island has a state income tax but provides important protections for military income:
- Military retirement pay: Fully exempt from Rhode Island state income tax — one of the state’s strongest veteran-specific financial benefits
- VA disability compensation: Tax-free at both federal and state levels
- VA pensions and federally exempt compensation: Exempt from state taxation – try our military pension calculator
- Combat pay: Federally exempt and excluded from state taxable income
- Reserve/Guard inactive duty pay: Exempt from state income tax
- Nonresident active duty pay: Nonresident service members stationed in Rhode Island are not subject to state income tax on their military pay
Civilian income earned by veterans residing in Rhode Island is subject to standard state income tax rates.
Property Tax Exemption
Rhode Island provides property tax relief for veterans with significant service-connected disabilities:
- Full exemption (100% P&T): Veterans with a 100% permanent and total service-connected disability rating receive a full property tax exemption on their primary residence. The exemption extends to unremarried surviving spouses who remain in the same home
- Specific injury exemptions: Veterans with qualifying mobility or brain injuries may also be eligible for full property tax exemption regardless of disability percentage — contact your city or town tax assessor for applicable criteria
- Administration: Property tax in Rhode Island is administered at the municipal level; contact your city or town assessor’s office to apply. Benefits and any partial exemptions for ratings below 100% may vary by municipality
Education Benefits
Rhode Island offers several state-funded education benefits that complement federal GI Bill programs:
Disabled Veterans Tuition Waiver
Rhode Island resident veterans with a service-connected disability rating of 10% or higher may qualify for a tuition waiver at Rhode Island public institutions of higher learning — one of the lowest rating thresholds for a state education waiver in the country.
- Covers tuition only — does not pay fees or books
- Any scholarships or grants the veteran receives are applied first; the waiver covers the remaining tuition balance
- Must complete FAFSA before applying and provide current VA disability documentation
- Must be a permanent Rhode Island resident
National Guard Tuition Assistance Programs
Rhode Island National Guard members have access to two state programs:
- STAP (State Tuition Assistance Program): Provides a full tuition waiver for Guard members attending the Community College of Rhode Island (CCRI), Rhode Island College (RIC), or the University of Rhode Island (URI) pursuing associate, bachelor’s, or master’s degrees. Members must maintain good standing and commit to one year of military service after each 12-credit semester
- STEP (State Tuition Exemption Program): Provides one tuition-free course per summer semester at CCRI, RIC, or URI. Guard members may take four classes per enlistment, with four more available for each additional year of service extended. Can be used in combination with VA education benefits
Surviving Dependents Tuition Benefit
Surviving spouses and children (ages 16–21) of Rhode Island National Guard members who died in the line of duty are eligible for free tuition at a state-supported college or university for up to four years. Contact the financial aid office at the institution for application details.
In-State Tuition — GI Bill Users
Veterans using GI Bill benefits at Rhode Island public colleges and universities receive in-state tuition rates regardless of residency, provided they enroll within three years of discharge (federal Choice Act).
Employment Preference
- Rhode Island provides veterans’ preference points in state civil service competitive examinations for honorably discharged veterans
- Veterans with service-connected disabilities receive additional preference
- Military spouse professional license reciprocity: Rhode Island offers expedited licensing for military spouses in regulated professions including nursing, teaching, and many other fields — allowing spouses to practice their profession without the full standard licensure process when relocating to Rhode Island due to military orders
Vehicle Benefits
Veterans license plates are available to Rhode Island veterans, including plates recognizing branch of service, combat veteran status, POW/MIA designation, and Medal of Honor. Contact the Rhode Island Division of Motor Vehicles for current plate options and application requirements.
Burial Benefits
Rhode Island veterans are served by the Rhode Island Veterans Memorial Cemetery in Exeter, which provides burial at no cost for eligible veterans and qualifying dependents including spouses. The cemetery is maintained by the state and provides a dignified setting with full military funeral honors available.
Federal headstones and markers are available at no cost for eligible veterans buried in private cemeteries through the National Cemetery Administration.
VA Facilities in Rhode Island
Rhode Island is home to the Providence VA Medical Center, which serves as the region’s primary VA hospital. Community-based outpatient clinic access supplements inpatient and specialty care. Veterans in the Providence metro area have relatively convenient access compared to larger rural states.
Find the nearest VA facility using the VA facility locator.
Rhode Island Department of Veterans Affairs
The Rhode Island Department of Veterans Affairs (RIDVA) provides claims assistance, counseling, and connection to benefits for Rhode Island veterans. Veterans Service Officers are available to provide free in-person assistance with both state and federal benefit claims.
Frequently Asked Questions
No. Military retirement pay is fully exempt from Rhode Island state income tax. VA disability compensation is also tax-free at both federal and state levels.
A service-connected disability rating of 10% or higher — one of the lowest thresholds for a state education benefit in the country. You must also be a permanent Rhode Island resident. Scholarships and grants are applied first; the waiver covers remaining tuition costs at state public colleges and universities.
Veterans with a 100% permanent and total (P&T) service-connected disability rating qualify for a full property tax exemption on their primary residence. Unremarried surviving spouses who remain in the home are also eligible. Veterans with qualifying mobility or brain injuries may be eligible regardless of their percentage rating. Property tax is administered at the municipal level — contact your city or town assessor for application details.
This article is provided by USMilitary.org, an independent educational resource. We are not affiliated with the Department of Defense, VA, or any government agency. Benefits and eligibility rules may change — verify current information with the Rhode Island Department of Veterans Affairs or your local VSO.