WASHINGTON D.C. -- Virginia 2nd District Congresswoman Elaine Luria said bipartisan momentum is building behind legislation she introduced that will repeal a tax increase on Gold Star families.
The tax hike was part of the tax law overhaul passed by Congress in 2017, and it has families paying taxes on survivor benefits.
Spouses of the fallen sometimes sign over earned benefits to their children to ensure the family receives all the benefits. Since the new tax law brought changes to how children's assets are taxes, the families who were formerly obligated to pay 12 to 15 percent in taxes on the income saw a rate jump to 37 percent.
Luria's bill, the Gold Star Family Tax Relief Act (H.R. 2481), would classify such survivor benefits as earned income, significantly reducing the tax burden.
Since introducing the legislation earlier this month, the bill has garnered 100 cosponsors from both sides of the aisle, as well as a formal endorsement from the For Country Caucus, a bipartisan group of veterans in the House of Representatives of which Luria is a member.
“As a proud Navy veteran, it is an honor to be leading the charge to help our Gold Star Families,” Luria said in a news release. “I am humbled by the outpouring of bipartisan support for this bill, and our momentum shows exactly how necessary it is for heroic families who have given the ultimate sacrifice.”
View the full bill below: