SB 328 & SB 329: Expanding Military Service Income Deduction for Military Families
SB 328 provides a 100% income tax deduction for all military service income received by an individual or the individual's surviving spouse.
Current law gives military veterans over 60 years of age or their surviving spouse an adjusted gross income tax deduction for the first $5,000 of income, including retirement or survivor’s benefits each year.
SB 328 and 329 would expand that deduction so that all Hoosiers who are receiving military service income would not have to pay state income tax on that income.
Those who serve in the military and their families are asked to pay a heavy price to protect us from the enemies of the United States. The spouses and children of servicemen and women are asked to go without their husband or wife, father or mother, for long periods of time. These Hoosier families who sacrifice the most should be rewarded for their sacrifice.