Bills · S 3246
IN COMMITTEE· 119TH CONGRESS
Senate BillS 3246Taxation
Service Members Tax Relief Act
INTRO NOV 20· LAST ACTION NOV 20
READING
2MIN
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 would significantly increase the disposable income for hundreds of thousands of active and reserve service members and their families, providing them with a substantial financial benefit. For example, a service member currently earning $50,000 a year could potentially see their take-home pay increase by several thousand dollars annually, depending on their tax bracket.
If this bill becomes law, it would create a unique tax status for military service compensation compared to most other forms of income, which are generally subject to federal income tax. This could be seen as a way to recognize and reward military service, potentially influencing recruitment and retention efforts. If it doesn't become law, military members' service compensation will continue to be taxed at current rates, similar to most other forms of earned income in the U.S.
KEY PROVISIONS
3AI-extractedPROVISION 01
Exempts compensation for active and reserve service members from federal income tax.
This directly increases the take-home pay for individuals serving in the military.
PROVISION 02
Specifically excludes pension or retirement pay from this tax exemption.
This clarifies that while current service pay is exempt, military retirement benefits would still be taxed.
PROVISION 03
Applies the new tax exemption to income earned in taxable years beginning after the bill's enactment.
This sets the timeframe for when service members would begin to receive this tax benefit.
SPONSORSHIP
1 + 0
R· Nebraska
YRS IN OFFICE
3
BILLS LED
67
ACTION TIMELINE
2 EVENTSNOV 20
Introduced in Senate
NOV 20
Read twice and referred to the Committee on Finance.
BILL INFO
TypeSenate Bill
NumberS 3246
Congress119th
StatusIn Committee
IntroducedNov 20, 2025
Last actionNov 20, 2025
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IN COMMITTEE· 119TH CONGRESS · FINANCE COMMITTEE · INTRODUCED NOV 20, 2025
Senate BillS 3246Taxation
Service Members Tax Relief Act
INTRODUCED NOV 20, 2025· LAST ACTION NOV 20, 2025
PASSAGE CHANCES
—%
READING
2 min
COSPONSORS
0
COMPLEXITY
Moderate
