A bill to amend the Internal Revenue Code of 1986 to exclude military bonuses from gross income.

# S. 1856: Military Bonus Tax Exclusion Bill **What the Bill Would Do** This bill would change federal tax law to allow members of the military to exclude bonuses from their taxable income. Currently, military bonuses are treated like regular income and are subject to federal income taxes.

If passed, service members who receive bonuses would no longer have to pay federal income taxes on that money, effectively giving them a tax break on these additional payments. **Who It Affects** The bill would directly benefit active-duty military personnel, reservists, and National Guard members who receive enlistment, reenlistment, or other service bonuses. The change would reduce federal tax revenue, which could indirectly affect all taxpayers. **Current Status** The bill was introduced by Senator Richard Blumenthal (D-CT) in the 119th Congress and is currently in committee, meaning it hasn't yet been debated or voted on by the full Senate. No companion bill in the House has been identified at this time.