Good News for Military Personnel
The House of Representatives unanimously approved new legislation that would allow for tax benefits and access to low interest home loans for military personnel.
The bill passed with a staggering 410-0 approval vote. The bill, as written, is a $2.3 billion dollar bill and is only one of several bills expected to be brought up in the House this week prior to Veterans Day. For many veterans, the access to low interest home loans is a welcomed piece of legislation and should permit more vets to get homes.
The House also voted on and approved new legislation to help protect various credit ratings of service members who are deployed overseas. In addition, Congress is set to consider an annual spending bill that will dramatically increase money for many veterans programs.
All of these bills, however, still need to pass through the Senate.
This legislation would make permanent the now-current law to include combat pay as earned income for purposes of the Earned Income Tax Credit. This tax credit allows for refunds in payroll and income taxes to low-income families. It would also make permanent IRS provisions that would allow active-duty reservists to withdraw from retirement accounts without penalty. It would also permit employers to contribute to retirement accounts on behalf of an employee who is killed or disabled while in combat.
Of particular interest to many people is the fact that thousands of veterans would be eligible for low-interest loans to become homeowners. With the housing market in the state it is in today, and with credit standards becoming more stringent, this new bill, if passed into law, would greatly help those who need these low interest home loans the most. Many of the current VA Home Loan programs would remain untouched and would serve as added protections and incentives for veterans to explore the possibilities of homeownership.
Discussion Area - Leave a Comment