US Codex
Bill
Notes

H.R. 5015 — what changed

Combat-Injured Veterans Tax Fairness Act of 2016

From Introduced in House to Engrossed in House. 2 sections amended between Introduced in House and Engrossed in House.

Sec. 3 Restoration of amounts improperly withheld for tax purposes from severance payments to veterans with combat-related injuries

(a)
changed In general— Not later than one 1 year after the date of the enactment of this Act, the Secretary of Defense shall—
(1)
identify—
(A)
the severance payments—
(i)
that the Secretary paid after January 17, 1991;
(ii)
that the Secretary computed under section 1212 of title 10, United States Code;
(iii)
that were not considered gross income pursuant to section 104(a)(4) of the Internal Revenue Code of 1986; and
(iv)
from which the Secretary withheld amounts for tax purposes; and
(B)
the individuals to whom such severance payments were made; and
(2)
with respect to each person identified under paragraph (1)(B), provide—
(A)
notice of—
(i)
the amount of severance payments in paragraph (1)(A) which were improperly withheld for tax purposes; and
(ii)
such other information determined to be necessary by the Secretary of the Treasury to carry out the purposes of this section; and
(B)
instructions for filing amended tax returns to recover the amounts improperly withheld for tax purposes.
(b)
Extension of limitation on time for credit or refund—
(1)
changed Period for filing claim— If a claim for credit or refund under section 6511(a) of the Internal Revenue Code of 1986 relates to a specified overpayment, the 3-year period of limitation prescribed by such subsection shall not expire before the date which is 1 year after the date the information return described in subsection (a)(2) is filed. provided. The allowable amount of credit or refund of a specified overpayment shall be determined without regard to the amount of tax paid within the period provided in section 6511(b)(2).
(2)
Specified overpayment— For purposes of paragraph (1), the term specified overpayment means an overpayment attributable to a severance payment described in subsection (a)(1).

Sec. 5 Report to Congress

(a)
changed In general— After completing the identification required by section 3(a) and not later than one 1 year after the date of the enactment of this Act, the Secretary of Defense shall submit to the appropriate committees of Congress a report on the actions taken by the Secretary to carry out this Act.
(b)
Contents— The report submitted under subsection (a) shall include the following:
(1)
The number of individuals identified under section 3(a)(1)(B).
(2)
Of all the severance payments described in section 3(a)(1)(A), the aggregate amount that the Secretary withheld for tax purposes from such payments.
(3)
A description of the actions the Secretary plans to take to carry out section 4.
(c)
Appropriate committees of Congress defined— In this section, the term appropriate committees of Congress means—
(1)
the Committee on Armed Services, the Committee on Veterans' Affairs, and the Committee on Finance of the Senate; and
(2)
the Committee on Armed Services, the Committee on Veterans' Affairs, and the Committee on Ways and Means of the House of Representatives.