Most VA disability claims are resolved in less than a year. But lost paperwork, administrative errors, and appeals of rejected claims delay thousands of disability awards for years on end.

The VA disability award is retroactive to the date of the application — so a good chunk of past retired pay should have been tax-free. For a refund of back taxes, disabled retirees must file an amended tax return for each applicable year. Then they run into a major sore spot: The IRS statute of limitations bars filing amended returns beyond the past three tax years. VA administrative glitches and insensitive tax laws cost disabled retirees thousands of dollars through no fault of their own.

MOAA thinks this unfair situation needs fixing. So the association drafted proposed legislation and found two supportive House sponsors — Reps. Sam Farr (D-Calif.) and Mike Bilirakis (R-Fla.).

When this article went to press, we were still seeking a Senate sponsor. MOAA hopes to have bills introduced soon.
 

Col. Steve Strobridge, USAF-Ret., director of MOAA government relations