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Wednesday, December 18, 2024

Cassidy-Duckworth bill for veteran organization tax treatment heads to president

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Senator Bill Cassidy | Sen. Bill Cassidy Official Website

Senator Bill Cassidy | Sen. Bill Cassidy Official Website

U.S. Senators Bill Cassidy and Tammy Duckworth have announced the passage of their Veteran Service Organization (VSO) Equal Tax Treatment (VETT) Act by the U.S. Senate. The legislation aims to expand the deductibility of charitable contributions to all federally chartered tax-exempt organizations serving current and former members of the Armed Forces. It specifically addresses a provision that prevents veteran organizations from accepting tax-deductible donations if their membership includes more than 10 percent peacetime veterans. Having passed both chambers of Congress, the bill now awaits the president's signature to become law.

"Giving back to the men and women who wore the uniform for our freedom is a noble cause," said Dr. Cassidy. "If this bill incentivizes one more American to help our veterans, then it has been a good day in the U.S. Senate."

Senator Duckworth emphasized the importance of supporting Veterans Service Organizations: "It’s critical we do all we can to support Veterans Service Organizations, which provide vital assistance and community programming for those who served our nation." She expressed pride in the bipartisan effort, stating, "I’m proud our bipartisan legislation passed the Senate and is now that much closer to reforming our tax code so that it promotes—rather than discourages—involvement in these community organizations, helping ensure they can continue to be a resource for Veterans to lean on."

The legislation comes as nearly 2.5 million of America's 20 million veterans are identified as peacetime veterans. Some congressionally-chartered veterans organizations have had to deny membership to peacetime veterans in order not to exceed a 10% threshold that would otherwise jeopardize their ability to accept tax-deductible donations.

The VETT Act has received endorsements from several veteran organizations including AMVETS, American Legion, AMSUS, Commissioned Officers Association of the USPHS, Fleet Reserve Association, Jewish War Veterans, Military Order of the World Wars, Non Commissioned Officers Association, U.S. Coast Guard Chief Petty Officers Association, and TREA: The Enlisted Association.

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