LR Tax & Accounting Services would like to remind veterans who received disability severance payments after 1991 and claimed it as income, that time may be running out to claim their refund.
Veterans this applies to, should take action soon if they received a notice and have not already filed to claim a refund or credit of the over payment attributable to the disability severance payment, should do so soon.
“Time is running out this month for many people who qualify for this refund. We urge combat-injured veterans to take time review the provisions to see if they are eligible.”
The Combat-Injured Veterans Tax Fairness Act of 2016 goes over that most veterans who received a one-time, lump-sum, disability severance payment when they separated from military service are entitled to a refund if that payment was claimed as income.
The payment must have been received after January 17, 1991, and before January 1, 2017 for it to be eligible. Veterans should have received a mailed notice from the Department of Defense in July of 2018 explaining how to claim their tax refunds.
Unfortunately still, some veterans have yet to act