Service-connected disability compensation is a tax-free benefit paid to Veterans for a disability (or disabilities) that either:

  • Arose during service
  • Pension is a tax-free benefit paid to wartime Veterans with limited or no income who are either aged 65 or older or who are permanently and totally disabled due to a non-service- connected cause. Seriously disabled or housebound Veterans receiving Pension may also qualify for an additional Aid and Attendance or Housebound benefit.
  • Was worsened or aggravated by service
  • Is presumed by VA to be related to military service

To receive disability compensation, you must have been discharged under other than dishonorable conditions.

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