GENERAL ASSEMBLY OF NORTH CAROLINA SESSION 2021
ART XLII. FINANCE EXPAND INCOME TAX EXCLUSION OF MILITARY RETIREMENT PAY TO NOAA AND U.S. PUBLIC HEALTH SERVICE RETIREES
SECTION 42.1.(a) G.S. 105-153.5(b)(5a) reads as rewritten: "(5a) The amount received during the taxable year from the United States government for the payments listed in this subdivision. Amounts deducted under this subdivision may not also be deducted under subdivision (5) of this subsection. The payments are:
a. Retirement pay for service in the Armed Forces uniformed services of the United States to a retired member that meets either of the following: criteria listed in this sub-subdivision. For purposes of this sub-subdivision, the term "uniformed services" has the same meaning as in 10 U.S.C. § 101(a)(5). The criteria are:
1. Served at least 20 years years in the uniformed services.
2. Medically retired under 10 U.S.C. Chapter 61. This deduction does not apply to severance pay received by a member person due to separation from the member's armed forces under 10 U.S.C. Chapter 61.
b. Payments of a Plan defined in 10 U.S.C. § 1447 to a beneficiary of a retired member eligible to deduct retirement pay under sub-subdivision a. of this subdivision."
SECTION 42.1.(b) This section is effective for taxable years beginning on or after January 1, 2022.
The Military Officers Association of America (MOAA) supports all members of the uniformed services through advocacy at the federal level, while encouraging members and affiliates to engage at the state level. Too often, both federal and state legislation regarding benefits for those in the uniformed services, past and present, fail to include members of the commissioned corps of the U.S. Public Health Service (USPHS) and the National Oceanic and Atmospheric Administration (NOAA).
Thanks to the efforts of state veteran service organizations, including many MOAA members and the North Carolina Veterans Council, military retirees and survivors across North Carolina are celebrating new legislation exempting 100% of military retirement pay from state income tax, effective for the 2021 tax year. The legislation, signed by Gov. Roy Cooper on Nov. 18, 2021, exempts income tax on military retirement pay for members of the armed forces who served at least 20 years or were medically retired short of 20 years’ service. The law also exempts Survivor Benefit Plan annuitant income for a beneficiary of a military retiree.
Unfortunately, this legislation does not include retirees of USPHS and NOAA. If you are interested in joining fellow MOAA members in their efforts to support retirees from all uniformed services in North Carolina, please contact Col. Jeri Graham, USA (Ret), a North Carolina resident and member of MOAA’s national board of directors, at email@example.com.
“Every voice counts in the advocacy business, and we need all hands on deck,” Graham said.
Thank you for your membership and continuing support.
P.S. Please share the value of MOAA membership with your fellow officers and encourage them to join now—every member counts as MOAA works to protect and defend your earned benefits.
From Steve Wilkins, Deputy Director of Communication, Congressional Liaison,
Mid-Atlantic Health Care Network (VISN 6)
- Here is a link to the most recent edition of the VISN 6 newsletter.
- We hope that you’ll find the information edifying and worth sharing.
Please share this poster. Many Veterans are isolated and need assistance; NCServes is the connection to those services.
Regional Network Director
Veterans Bridge Home
You are invited to download, copy and post the poster, as needed.
* One complaint that Veterans have voiced about the VA is their uncertainty as to where to begin in order to receive services and supports.
* VA’s myriad of services, resources, and materials can be daunting. Therefore, the VA listened and released a Welcome Kit to guide Veterans to the benefits and services that they have earned.
* The VA Welcome Kit is user-friendly and addresses eligibility and benefits in the following six areas: Health Care / Finances / Housing / Employment / Education / Memorialization
* Based on Veteran’s stage of life, Veterans can figure out how the VA can help in the present and future.
* Veterans can open the link to the Welcome Kit for their convenience by clicking here.
* Open any of the below downloadable documents for more information on:
- VA Welcome Kit in B&W
- VA Welcome Kit in Color
- VA Publication on "What You Need to Know about COVID-19