1     
MILITARY RETIREMENT INCOME TAX CREDIT

2     
2020 GENERAL SESSION

3     
STATE OF UTAH

4     
Chief Sponsor: Curtis S. Bramble

5     
House Sponsor: Jon Hawkins

6     

7     LONG TITLE
8     General Description:
9          This bill creates an individual income tax credit for military retirement pay.
10     Highlighted Provisions:
11          This bill:
12          ▸     creates a nonrefundable individual income tax credit for military retirement pay.
13     Money Appropriated in this Bill:
14          None
15     Other Special Clauses:
16          This bill provides a special effective date.
17     Utah Code Sections Affected:
18     ENACTS:
19          59-10-1041, Utah Code Annotated 1953
20     

21     Be it enacted by the Legislature of the state of Utah:
22          Section 1. Section 59-10-1041 is enacted to read:
23          59-10-1041. Nonrefundable tax credit for military retirement pay.
24          (1) An individual who receives retirement pay that relates to service in the armed
25     forces, including service in the Reserves or the National Guard, may claim a nonrefundable tax
26     credit equal to the product of:
27          (a) the retirement pay included in taxable income; and

28          (b) the percentage listed in Subsection 59-10-104(2).
29          (2) An individual claiming the tax credit described in Subsection (1) may not carry
30     forward or carry back the amount of the tax credit that exceeds the individual's tax liability for
31     the taxable year.
32          Section 2. Effective date.
33          This bill takes effect for a taxable year that begins on or after January 1, 2021.