Bipartisan House Lawmakers Propose Tax Hike Fix for Gold Star Families

May 3, 2019

A group of House lawmakers introduced bipartisan legislation last week to repair a problem with the 2017 tax law that has affected the children of deceased military members, The Hill reported.
The bill, introduced by Rep. Elaine Luria (D-Va.) and co-sponsored by members of both parties, would fix the 2017 tax legislation so that the children of fallen troops don’t pay an increase on their survivor benefits.
The 2017 tax law changed how children’s unearned income is taxed. Previously, children’s unearned income was taxed at the same rate as their parents, but under the new tax law, children’s unearned income is now taxed at the higher rates of trusts and estates, according to The Hill.
The issue was first reported last month by Task & Purpose, which discovered that it is common for spouses of fallen troops to put DOD survivor benefits in their children’s names to ensure they receive both the Pentagon and Veterans Affairs payments.
Photo by Paul Gattis

May 3, 2019

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