Bills · S 1856
IN COMMITTEE· 119TH CONGRESS
Senate BillS 1856Taxation
A bill to amend the Internal Revenue Code of 1986 to exclude military bonuses from gross income.
INTRO MAY 22· LAST ACTION MAY 22
READING
1MIN
COSPONSORS
0
READER REACTIONS0 TOTAL
NO VOTES YET · BE THE FIRST
- Introduced only
LEGISLATIVE PROGRESS
STEP 2 / 8Introduced
In Committee
Reported
Passed Senate
Passed House
Conference
To President
Became Law
WHAT THE BILL DOES
AI-writtenThis bill matters because it directly impacts the financial well-being of military service members. If it becomes law, it means that valuable bonus payments, often used to recruit people into specific roles or retain experienced personnel, would be worth more to the recipient. Service members would get to keep 100% of their bonus money, rather than a portion going to federal taxes.
If the bill does not pass, military bonuses will continue to be treated as taxable income, meaning service members would continue to pay federal income tax on those amounts. The change could be seen as a tangible way to honor and support those serving in the military by easing their tax burden on these specific payments.
KEY PROVISIONS
3AI-extractedPROVISION 01
Excludes military bonuses from federal gross income calculations.
This means military members will no longer pay federal income tax on their bonuses, increasing their take-home pay.
PROVISION 02
Specifies that the excluded bonuses are those paid to uniformed services members under Chapter 5 of Title 37, United States Code.
This clarifies exactly which types of military bonuses will be eligible for the tax exemption.
PROVISION 03
Sets the effective date for this tax change to apply to taxable years beginning after December 31, 2024.
This establishes when the new tax rule will start taking effect for service members and the IRS.
SPONSORSHIP
1 + 0
D· Connecticut
YRS IN OFFICE
15
BILLS LED
128
ACTION TIMELINE
2 EVENTSMAY 22
Introduced in Senate
MAY 22
Read twice and referred to the Committee on Finance.
BILL INFO
TypeSenate Bill
NumberS 1856
Congress119th
StatusIn Committee
IntroducedMay 22, 2025
Last actionMay 22, 2025
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IN COMMITTEE· 119TH CONGRESS · FINANCE COMMITTEE · INTRODUCED MAY 22, 2025
Senate BillS 1856Taxation
A bill to amend the Internal Revenue Code of 1986 to exclude military bonuses from gross income.
INTRODUCED MAY 22, 2025· LAST ACTION MAY 22, 2025
PASSAGE CHANCES
—%
READING
1 min
COSPONSORS
0
COMPLEXITY
Moderate
