Ricketts Introduces Tax Cuts for Veterans Act
November 7, 2023
WASHINGTON, D.C. – Today, U.S. Senator Pete Ricketts (R-NE) introduced the Tax Cuts for Veterans Act. The bill would make military retirement pay for veterans tax-free at the federal level. The bill was modeled after a successful effort to eliminate state taxes on military retirement benefits initiated when Ricketts was Governor of Nebraska. The Tax Cuts for Veterans Act is the fourth piece of legislation in Ricketts’ “Proven Nebraska Solutions Ready for America” package.
“During my time as Governor, we eliminated state taxes on veterans’ benefits in a bipartisan way. It’s time the federal government did the same,” said Senator Ricketts. “My Tax Cuts for Veterans Act would provide real relief to veterans and their families as costs of living remain stubbornly high under President Biden.”
In 2022, 106,036 veterans lived in Nebraska. The Tax Cuts for Veterans Act would provide real financial relief for veterans and their families. The savings per veteran would vary depending on their earned retirement pay. An enlisted soldier, sailor, airman, marine, guardsman, or guardian who served for 20 years could save over $500 per month and over $6,000 per year.
Bill text can be found here. Senator Ricketts will be discussing the bill in his weekly press call tomorrow.
Ricketts’ “Proven Nebraska Solutions Ready for America” were inspired by policies taken at the state level in Nebraska. The Tax Cuts for Veterans Act pulled inspiration from LB387, which Ricketts signed into law when he was Governor in 2021. The bill eliminated state taxes on military retirement benefits on a bipartisan vote of 47-0. The Tax Cut for Veterans Act would similarly end federal taxes on military retirement benefits.
Ricketts has a long record supporting our veterans. When he was Governor, Ricketts launched a state program to ease the transition from military service to civilian employment. As Senator, he also supports the Major Richard Star Act, which would provide combat-injured veterans with less than 20 years of military service their full benefits.