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  1. #1
    Member
    Join Date
    May 2015
    Location
    Fairborn, Ohio
    Posts
    68

    Combat-Injured Veterans Tax Fairness Act a joke

    When I was separated in 2009, my separation pay was taxed at 25% before it was even disbursed to me. Then the amount I received was taxed as income. So a month ago I get a letter in the mail about the Combat Injured Veterans Tax Fairness Act. They now say separation pay shouldn't be taxed if your a combat injured veteran. So I've jumped through the hoops to complete the forms, because they taxed a good chunk of money that should be mine. In the instructions for the process they make it seem as if you chose the standard return amount of $2400 it will expedite the process, and they will adjust the amount of return whether larger or smaller. So I call the IRS to make sure they received all my paperwork (because you get no notification) and I'm told yes it has been received and my standard deduction of $2400 was processed and awaiting deposit. So I say $2400? Do you mean $24,000? No matter what the instructions say, or what anyone from the IRS says, do not send that form in with the standard return amount. They will not look up your tax information and adjust it for you. Now I have to wait for the $2400 standard and then amend the return again.

    DO NOT SEND THE FORM IN WITH THE STANDARD RETURN
    There is a one year grace period from when you received the letter from the DOD.
    The IRS is hoping you don't have your tax information, so they can give you the standard return amount (which is 99% of all cases is well below what they taxed)
    The IRS is hoping they can make you jump through hoops for a year and then say to late.

  2. Member
    Join Date
    Feb 2014
    Location
    Central FL
    Posts
    760
    #2
    Contact your congressman...

    https://turner.house.gov/