Governor Glenn Youngkin held a ceremonial signing highlighting legislation from State Senator Bryce Reeves (R-Spotsylvania) and Delegate John McGuire (R-Goochland) that creates a state tax deduction on military retirement income.
“As part of my Day One Game Plan, I’ve pledged to fight for a reduction in military veteran retirement pay taxation, and today, we are delivering on that promise. This is a great step toward making Virginia the most veteran-friendly state in the country. As we near the anniversary of 9/11, I feel honored to support our service members in this way. I want to thank the legislators for their incredible work as we continue to advocate for our military-connected communities, veterans, and their families,” Youngkin said in a press release Friday.
In January, Reeves and McGuire introduced the legislation on behalf of Youngkin. SB 528 and HB 1128 create an income tax deduction for military retirement income for those 55 and older, and for benefits paid to surviving spouses. The deduction is up to $10,000 in tax year 2022; $20,000 the following year; $30,000 in tax year 2024; and $40,000 in tax year 2025 and each year afterwards.
“During my time as a Senator, I have consistently worked to make Virginia the most veteran-friendly state in the country,” Reeves said in the release. “Today marks a big step toward achieving that goal to attract and retain the best of the best talent that our country produces. When it comes to those who wear the cloth of our country and risk their lives for our freedom, you will find the Virginia legislature standing shoulder to shoulder with all of us stepping up to do our very best. I’d like to thank the 27 plus veteran service organizations and the Joint Leadership Council who helped to get this bill passed.”
McGuire said the legislation is another promise kept by Youngkin.
“Governor Youngkin’s message to Virginia veterans is clear, we appreciate your service and want you to stay. As a father, husband, Navy SEAL veteran, business owner, and legislator, I want to thank Governor Youngkin and fellow legislators for caring about Virginia veterans. Together we have achieved a great milestone – the largest veteran tax decrease in Virginia history,” he said.
“Many veterans have been leaving Virginia and spending their retirement in more veteran friendly states. Last year, Governor Youngkin and I discussed the importance of cutting taxes on the military veteran retirement, and this year we promised to work together to do just that,” Senator Amanda Chase (R-Chesterfield) said.
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