Survey seeks input from veterans 

By Rep. Carol Ode

Many of us legislators have served in the Vermont Guard Caucus since it began several years ago. This year many state representatives co-sponsored legislation to include tax relief for those with military retirement income and for those with survivor benefits. 

The bill became Act 71, which also includes a brand new refundable tax credit for those who are low-income and have served our country but receive no military retirement pay.

Act 71 features these new tax exemptions:

● ✅ Allows a 100% income tax exemption on military retirement pay and survivor benefits for those earning under $125,000, phasing out by $175,000;

● ✅ Retirees can now claim both their military retirement exemption and their Social Security exemption; and

● 💵 Creates a new $250 refundable tax credit for low-income veterans (with incomes below $25,000, phasing out by $30,000).

Many veterans served without retirement pay and would otherwise not have benefited from the bill that would become Act 71, so the House Ways and Means Committee included a new $250 refundable tax credit for low-income veterans. 

This is only the start. Now legislators seek input from Vermont veterans to guide future policy work. If you’re a veteran, or know one, please consider taking this short survey:

📋 https://forms.gle/cYDxAcetD9Cugxdc6

Timeline

📅 All changes take effect retroactively to January 1, 2025, so Vermont veterans will see the impact for tax year 2025.

Here is a Joint Fiscal Office note with all the details about all the tax relief in Act 71:

Guard Tuition Benefit Program

🎓 This year we also passed a permanent extension of the National Guard Tuition Benefit Program.

We are honored to support Vermont’s veterans and Guard members, and to work for a more affordable state for all Vermonters.

The author, a Democrat, represents Chittenden-18, the far North End of Burlington in the Vermont Legislature.