DOVER, Del. – A bipartisan measure defining “United States Military Pension” in Delaware Code passed the Delaware State Senate unanimously on Wednesday.
Senate Bill 329 also includes retired members of the commissioned corps of the National Oceanic and Atmospheric Administration and the commissioned corps of the United States Public Health Service in the list of service members eligible for a tax exemption on their military pensions.
Current law states that U.S. military veterans who receive a military pension are eligible for an exemption of up to $12,500.
“It is my hope that we can eventually fully exempt military retirement pay from state income taxes, but I recognize we may not be in a position to do that just yet,” said Sponsor Sen. Eric Buckson.
Buckson says he plans to re-introduce a bill that would increase the exemption to $25,000.
SB 329 now awaits consideration in the House of Representatives.
