Concurrent Receipt Cleanup Bill Introduced

On July 25, Rep. Jim Marshall, D-Ga., introduced the Disabled Veterans Tax Termination Act, which would combine the current classes of disabled veterans drawing disability compensation into one. For example, the bill would fully eliminate the offset between retired pay for military retirees with at least 20 years of service and disability compensation awarded by the Department of Veterans Affairs. It would apply to such retirees if they receive any amount of service-connected compensation. In addition, members with medical retirements would retain a portion of their retired pay, based on years of service. Furthermore, members retired under Temporary Early Retirement Authority with combat-related disabilities would be eligible for Combat-Related Special Compensation. Because the House and Senate have already completed their versions of the fiscal 2007 Defense Authorization Bill, Marshall’s bill is not expected to be a factor during this year’s conference committee meetings.