Military retirement pay based on age or length of service is considered taxable income for Federal income taxes. However, military disability retirement pay and Veterans’ benefits, including service-connected disability pension payments, may be partially or fully excluded from taxable income.
Read this article.
Social Security benefits are not taxed in Illinois.
And if you have no other income — other than Social Security and veterans benefits, you do not have to file a tax return if you are single. If you are married and your spouse has other income, then you might be required to file.
If you need help on this, here’s a link to IRS Free File: