New bill seeks to exempt military pay from federal income tax

Hamadeh Introduces Bills To Bring Tax Relief To Active And Retired Military Personnel

Congressman Abe Hamadeh of Arizona and Senator Pete Ricketts of Nebraska have introduced two bills aimed at providing federal income tax relief to military personnel during two stages of their carriers. For relief to active-duty personnel, they introduced the Service Members Tax Relief Act, and for retired personnel they introduced the Tax Cuts for Veterans...

New bill seeks to exempt military pay from federal income tax

Two lawmakers want to fully exempt military compensation from federal income tax — a move that would deliver a significant pay boost for service members and mark one of the most sweeping tax changes for the military community. The legislation, dubbed the Service Members Tax Relief Act, seeks to eliminate federal income tax on all active-duty and reserve pay, including enlistment, retention and education bonuses and all special and incentive pays…