Should Gold Star Families (the spouse or parents) continue to pay State and Federal Taxes, or have they already sacrified enough?

MAJ Private RallyPoint Member — Sat, 23 Jan 2016 15:10:45 -0500

After reading the benefits of Gold Star Families, I was surprised to find that some of their survivor benefits are taxed. In fact, I believe that the survivors of a Soldier sacrificed enough for the Nation, and should be exempt from State or National Taxes completely and permanently. I would like to see this implemented as a policy in the future and would like your opinion.

Response by LTC Yinon Weiss made Jan 23 at 2016 3:13 PM

LTC Yinon Weiss — Sat, 23 Jan 2016 15:13:20 -0500

What benefits do they pay taxes on?

Response by Sgt Aaron Kennedy, MS made Jan 23 at 2016 3:18 PM

Sgt Aaron Kennedy, MS — Sat, 23 Jan 2016 15:18:44 -0500

Taxation is unrelated to the sacrifice.

Though I am generally opposed to Uncle Sam getting his beak wetter than it needs to be, I don't feel we need to make any one class of Citizen more special than another, either penalized, or rewarded.

Response by 1SG Private RallyPoint Member made Jan 23 at 2016 3:39 PM

1SG Private RallyPoint Member — Sat, 23 Jan 2016 15:39:10 -0500

Death benefits are generally not taxable, including all of the big ones - SGLI, Death Gratuity, Burial benefits.
I think in order for your idea to get traction, you'd need to solve two compelling issues:
1. What is the definition of a "survivor"? Spouse and children? This would get pretty big, pretty fast in the event of a significant conflict.
2. A program such as this would be a very tempting target for fraud. How does one establish paternity for a deceased father? Logically, when it came to tax preparation season, there'd be either box to check on the 1040 or some kind of worksheet where the deceased's SSN would be used to validate the claim. A very tempting target for fraud unless some pretty robust protections are built in.

Response by PO1 William "Chip" Nagel made Jan 23 at 2016 3:52 PM

PO1 William "Chip" Nagel — Sat, 23 Jan 2016 15:52:59 -0500

I will say Yes but I will couch my answer, I think you have a very valid point, maybe they should have something like the Earned Income Credit or some other form or Family Credit that would let them pay much less taxes because Yes they have Paid and Paid big time.

Response by Capt Seid Waddell made Jan 23 at 2016 4:15 PM

Capt Seid Waddell — Sat, 23 Jan 2016 16:15:12 -0500

MAJ Private RallyPoint Member, I agree.

Response by PO1 John Miller made Jan 23 at 2016 6:34 PM

PO1 John Miller — Sat, 23 Jan 2016 18:34:15 -0500

Don't tax them on benefits but tax them on all other sources of income that would normally be taxed, at the normal rate.

Response by CDR Michael Goldschmidt made Jan 24 at 2016 6:37 PM

CDR Michael Goldschmidt — Sun, 24 Jan 2016 18:37:13 -0500

Eliminate income taxes altogether. They are not only economic suicide, but they are based on the concept that other people have a right to a portion of your productivity. The Mafia operates on the same concept.

Response by MAJ Ken Landgren made Jan 24 at 2016 10:09 PM

MAJ Ken Landgren — Sun, 24 Jan 2016 22:09:43 -0500

They should be given every opportunity to succeed considering many live humble lives.

Response by A1C Melissa Jackson made Jan 25 at 2016 5:21 AM

A1C Melissa Jackson — Mon, 25 Jan 2016 05:21:51 -0500

I voted "no" with a caveat in mind: NO survivor benefits should be taxed. However, ongoing employment and property taxes- etc- these should be paid. If you drive on the roads, send your kids to school- etc- you need to do your bit.

Response by PO3 Private RallyPoint Member made Jan 25 at 2016 7:35 AM

PO3 Private RallyPoint Member — Mon, 25 Jan 2016 07:35:11 -0500

Taxation is the "fee" for the service provided by the government and states. So, yes they must continue to pay state and Federal taxes. everyone is equal under taxes code .... at least spiritually :P lol