Ricketts Welcomes Rosen as Lead Democrat Co-Sponsor on Tax Cuts for Veterans Act

June 4, 2024

WASHINGTON, D.C. – Today, U.S. Senator Pete Ricketts (R-NE) welcomed Senator Jacky Rosen (D-NV) as the lead Democrat co-sponsor of his Tax Cuts for Veterans Act.

The bill would make military retirement pay for veterans tax-free at the federal level. The bill was modeled after a successful effort to eliminate state taxes on military retirement benefits initiated when Ricketts was Governor of Nebraska. The Tax Cuts for Veterans Act is the fourth piece of legislation in Ricketts’ “Proven Nebraska Solutions Ready for America” package.

“Eliminating state taxes on veterans’ benefits was a bipartisan idea in Nebraska, and Senator Rosen’s support makes it bipartisan in Washington as well,” said Senator Ricketts. “The Tax Cuts for Veterans Act would provide real relief as veterans and their families struggle to keep up with costs of living.”

“Veterans sacrificed so much for our nation, and the least we can do is ensure they can retain all of their retirement pay,” said Senator Rosen. “I’m proud to join Senator Ricketts in bipartisan legislation to cut taxes for veterans by making military retirement pay tax-free federally. I’ll always work across the aisle to support Nevada’s veterans.”

The Tax Cuts for Veterans Act would provide real financial relief for veterans and their families. The savings per veteran would vary depending on their earned retirement pay. An enlisted soldier, sailor, airman, marine, guardsman, or guardian who served for 20 years could save over $500 per month and over $6,000 per year.

Bill text can be found here.

BACKGROUND:

Ricketts’ “Proven Nebraska Solutions Ready for America” were inspired by policies taken at the state level in Nebraska. The Tax Cuts for Veterans Act pulled inspiration from LB387, which Ricketts signed into law when he was Governor in 2021. The bill eliminated state taxes on military retirement benefits on a bipartisan vote of 47-0. The Tax Cut for Veterans Act would similarly end federal taxes on military retirement benefits.

Ricketts has a long record supporting our veterans. When he was Governor, Ricketts launched a state program to ease the transition from military service to civilian employment. As Senator, he also supports the Major Richard Star Act, which would provide combat-injured veterans with less than 20 years of military service their full benefits.