Disabled Veterans Tax Termination Act

Disabled Veterans Tax Termination Act

This bill modifies provisions related to military retired pay. Specifically, the bill authorizes veterans with a service-connected disability of less than 50% to concurrently receive both retired pay and disability compensation. The bill also makes qualified disability retirees with less than 20 years of retirement-creditable service eligible for concurrent receipt, subject to specified reductions in retired pay.

Bill 118 hr 333, also known as the Disabled Veterans Tax Termination Act, is a piece of legislation currently being considered by the US Congress. The purpose of this bill is to eliminate the requirement for disabled military veterans to choose between receiving their retirement pay or disability compensation from the Department of Veterans Affairs.

Under current law, disabled veterans who receive both retirement pay from the Department of Defense and disability compensation from the VA are subject to a reduction in their retirement pay, known as the "disabled veterans tax." This reduction is meant to offset the cost of providing disability compensation, but it has been widely criticized as unfair to veterans who have sacrificed their health in service to their country.

The Disabled Veterans Tax Termination Act seeks to rectify this issue by allowing disabled veterans to receive both their retirement pay and disability compensation in full, without any reduction in benefits. This would provide much-needed financial relief to disabled veterans and their families, allowing them to better support themselves and meet their needs. Supporters of the bill argue that it is a matter of fairness and justice to ensure that disabled veterans receive the full benefits they are entitled to, without any unnecessary reductions. They believe that disabled veterans have already sacrificed enough for their country and should not be penalized for receiving the benefits they have earned through their service. Opponents of the bill may argue that eliminating the disabled veterans tax could have budgetary implications and may require additional funding to cover the cost of providing full benefits to disabled veterans. However, many believe that the sacrifices made by disabled veterans warrant this additional support and that it is the least the country can do to honor their service. Overall, the Disabled Veterans Tax Termination Act is a bipartisan effort to support and honor disabled veterans by ensuring they receive the benefits they deserve. It is currently being considered by Congress and has the potential to make a significant impact on the lives of disabled veterans and their families.