Collins’ bipartisan bill to end Military Widow’s Tax slated to become new law

U.S. Sen. Susan Collins’ (R-ME) bipartisan bill to repeal the Military Widow’s Tax is headed to the president’s desk to be signed into law as part of the National Defense Authorization Act (NDAA) for Fiscal Year (FY) 2020.

“This provision we secured in the NDAA is a major victory for surviving military and retiree spouses to whom we are deeply indebted,” Sen. Collins said on Dec. 17. “I appreciate the overwhelming support we received from our colleagues as well as veterans advocates who helped make this possible.”

Sen. Collins in February signed on as the lead original cosponsor of the Military Widow’s Tax Elimination Act of 2019, S. 622, with bill sponsor U.S. Sen. Doug Jones (D-AL) and 76 other cosponsors to repeal the requirement for reduction of survivor annuities under the Survivor Benefit Plan by veterans’ dependency and indemnity compensation, according to the text of the bill.

S. 622 is now part of the final NDAA, which both chambers of Congress have approved and will send to the president to sign it into law.

“The Military Widow’s Tax was an unfair offset that prevented as many as 67,000 surviving spouses — including more than 260 from Maine — from receiving the full benefits they deserve,” said Sen. Collins from the floor of the U.S. Senate. “This problem goes back decades, but this year we finally solved it once and for all.”