The National Veterans Legal Services Program (NVLSP) recently launched the first of its kind app for use by military veterans and their advocates, available for download through the NVLSP website, Apple App Store or Google Play Store. Subscription required to view the story. [more]
Released 7/24/18 | Tags: Veteran's Benefits
U.S. Senator Bill Cassidy, M.D. (R-LA), a member of the Senate Veterans’ Affairs Committee and the Senate Finance Committee, is urging combat-injured veterans whose one-time lump sum disability severance payment from the Department of Defense (DoD) was improperly taxed to file with the IRS for reimbursement. [more]
Released 7/20/18 | Tags: Congressional Legislation
More than 130,000 combat-injured veterans had their lump-sum severance pay improperly taxed by the government due to a computer glitch when they left the military from 1991-2016. On July 9, 2018, the Department of Defense began mailing letters to notify affected veterans, and on July 11, 2018, the Internal Revenue Service (IRS) issued guidance to assist veterans. [more]
Released 7/20/18 | Tags: Congressional Legislation
Nineteen months ago, as Congress considered the Combat-Injured Veterans Tax Fairness Act of 2016, lawmakers shepherding the bill (HR 5015) advised that perhaps 13,800 veterans had had taxes mistakenly withheld from lump-sum disability separation payments and would get refunds. [more]
Released 7/19/18 | Tags: Congressional Legislation
Between 1991 and 2016, the Department of Defense had an undetected glitch that may have cost you thousands of dollars in IRS taxes. It made disability severance payments subject to income taxes, which they’re not supposed to be. If you were injured in combat and have ever gotten a disability severance package, this means that you are likely entitled to a tax refund of $1,750. The National Veterans Legal Service Program (NVLSP) estimates that some vets may be owed upwards of $10,000. [more]
Released 7/19/18 | Tags: Congressional Legislation
Nineteen months ago, as Congress considered the Combat-Injured Veterans Tax Fairness Act of 2016, lawmakers shepherding the bill (HR 5015) toward enactment advised that perhaps 13,800 veterans had had taxes mistakenly withheld from lump-sum disability separation payments and would get refunds. The average amount of taxes withheld was estimated at $5,500, proponents said, and the total cost to the U. S. Treasury would be less than $78 million. My, my, were those projections off the mark. [more]
Released 7/19/18 | Tags: Congressional Legislation
The Internal Revenue Service (IRS) is advising veterans who have been separated from service for combat-related injuries and received a severance payment that was improperly taxed to take advantage of the relief offered to them by the Combat-Injured Veterans Tax Fairness Act (P.L. 114-292), a law based off a bill authored by U.S. Senators John Boozman (R-AR) and Mark Warner (D-VA). Under federal law, veterans who suffer combat-related injuries and who are separated from the military are not supposed to be taxed on the one-time lump sum disability severance payment they receive from the Department of Defense (DoD). However, for years DoD improperly withheld taxes on these payments from thousands of qualifying veterans, who were typically unaware that their benefits were being improperly reduced. The Combat-Injured Veterans Tax Fairness Act rights that wrong, but affected veterans only have a short window in which to seek restoration. The IRS is advising qualifying veterans to file Form 1040X, Amended U.S. Individual Income Tax Return, to claim a credit or refund of the overpayment attributable to the disability severance payment. [more]
Released 7/17/18 | Tags: Congressional Legislation
More than 130,000 combat-injured veterans had their lump sum severance pay improperly taxed by the government due to a computer glitch when they left the military from 1991-2016. On July 9, 2018, the Department of Defense began mailing letters to notify affected veterans, and on July 11, 2018, the Internal Revenue Service (IRS) issued guidance to assist veterans. [more]
Released 7/17/18 | Tags: Congressional Legislation
The government owes thousands of veterans a tax refund due to a mistake dating back to the early 90s. As a part of the Combat-Injured Veterans Tax Fairness Act of 2016, certain veterans can now receive up thousands of dollars in refunds. [more]
Released 7/16/18 | Tags: Congressional Legislation
The federal government has urged a District of Columbia federal court to greenlight an appeal of a decision finding that the government misused $200 million in fees for users of its Public Access to Electronic Court Records system, saying the damages calculations would likely be so time-consuming that it would be more efficient to appeal the users' win now. [more]
Released 7/16/18 | Tags: Class Actions