U.S. SENATE – U.S. Senator Steve Daines today introduced bipartisan legislation providing tax relief for children receiving benefits who have lost a parent serving in the military. This bipartisan legislation effectively removes these benefits form the special 1986 tax, resolving the unintended tax treatment of survivor benefits.
“Families of those who have lost a loved one while serving in the military should not be forced to pay burdensome taxes,” said Daines. “This bipartisan bill would protect family members of brave men and women from unnecessary taxes, and I’m glad so many of my colleagues on both sides of the aisle are supporting this commonsense cause.”?
Full text of the Gold Star Family Tax Relief Act can be found HERE.
Background:
Simplification of a special tax dating back to 1986 that was intended to stop wealthy parents from sheltering income by shifting it to their children with lower tax rates inadvertently caused higher taxes on military survivor benefits.
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