A bill moving through the North Carolina House seeks to eliminate state income taxes on the retirement pay for military veterans.
House Bill 83 would allow for military veterans to deduct their military retirement benefits. The deduction would be effective for taxable years beginning on or after Jan. 1, 2021.
The legislation’s primary sponsors are Reps. John Szoka (R-Cumberland), John Bell (R-Wayne), John Bradford (R-Mecklenburg) and Diane Wheatley (R-Cumberland).
“By eliminating the income tax on military retirement pay, we will also make our state more competitive in attracting and recruiting these highly trained and qualified military retirees,” Szoka said in a statement. “This is an essential component to developing and growing North Carolina’s talented workforce.”