Extends Tax Refunds to Coast Guard Veterans
S878-119 · Introduced Mar 6, 2025
Why it matters
Coast Guard veterans with combat injuries could get back tax money taken from their severance pay. Some of those payments may have been withheld in error.
What it does
- Extends a 2016 tax refund law to Coast Guard members with combat-related injuries
- Puts the Homeland Security Secretary in charge when the Coast Guard is not in the Navy
- Requires identifying wrongly withheld amounts within one year after the law is enacted
- Requires the Homeland Security Secretary to act to prevent wrongful withholding from the start
In committee
Next: a committee vote
- Introduceddone
- Committeecurrent step
- Senatenot yet
- Housenot yet
- Presidentnot yet
About this bill
Would extend a 2016 tax refund law to Coast Guard members with combat-related injuries. Homeland Security and Transportation would identify and return wrongly withheld severance taxes within one year.
Coast Guard Combat-Injured Tax Fairness Act
Perspectives
💬 The case for
Veterans groups would likely say Coast Guard members deserve the same tax protections as other combat-injured veterans. The bill closes a gap in the 2016 law.
💬 The case against
Some tax groups would likely say the bill adds refunds without clear limits on who qualifies. They may also question the cost to the government.
Sponsored by
Sponsor details for this federal bill are at the source link.
News
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