More special operators could receive a break on taxes next year.
The Special Operations Forces Tax Cut Act would grant tax breaks to troops based on their mission, rather than location. The bill would benefit troops who deploy outside of combat zones not formally recognized in the IRS’ Combat Zone Tax Exclusion section.
The Combat Zone Tax Exclusion allows service members who deploy to certain combat zones to exclude income from federal tax filings. Qualifying regions for the tax exclusion are Afghanistan, Kosovo and the Arabian Peninsula.
“America’s military conducts global operations that don’t easily fit into one nation or geographic region,” said the bill’s sponsor, Rep. Richard Hudson, whose North Carolina district includes Fort Bragg, home of U.S. Army Special Operations Command.
The bill better reflects modern warfare, where the special operations troops are sent in small groups all over the world – and not just traditional “combat zones.”