Sen. Pryor proposes combat tax relief

June 1, 2004 at 6:52 PM

WASHINGTON, June 1 (UPI) -- U.S. Sen. Mark Pryor, D-Ark., wants to give Americans serving in combat the chance to get tax credits almost everyone else is entitled to.

Pryor has put forward legislation to address an inequity first uncovered by the U.S. General Accounting Office showing that combat pay is excluded from taxation for soldiers in the field, but income excluded under the provision is also excluded from income when computing the federal Earned Income Tax Credit and the federal child care credit.

The result of the exclusion, Pryor said is that many serving in combat see their EITC or child credit reduced or eliminated.

Pryor introduced legislation in May to address the problem that, according to the GAO, found the amount of the tax benefit loss could be up to $4,500 for enlisted personnel and $3,200 for officers.

Like Us on Facebook for more stories from UPI.com  
Latest Headlines
Top Stories
North Korea officials defecting in fear of rising executions
North Korea: Airport terminal is 'new face' of country
Compact cannon for British armored vehicles
Texas AG Ken Paxton facing first-degree felony fraud charges
Kurds plan to carve state out of Iraq after fighting stops, leaders say