Veterans Who Received Disability Payments May Be Eligible for Tax Refunds

Yesterday the​ IRS advis​ed veterans that they may be eligible for a refund if they received a one-time lump-sum disability severance payment after 1991. Veterans must submit an amended tax return to claim the refund within one year of receiving notification from the Department of Defense about their eligibility for a refund. Generally taxpayers can only receive refunds within three years from the due date of a tax return, but the IRS has granted this exception because of the Combat-Injured Veterans Tax Fairness Act.

More information on eligibility and requirements for claiming the refund is available on the IRS' website here: https://www.irs.gov/newsroom/veterans-owed-refunds-for-overpayments-attributable-to-disability-severance-payments-should-file-amended-returns-to-claim-tax-refunds
 
If you have tax questions and need legal help, Montana Legal Services Association's Low Income Tax Clinic may be able to assist you. Please contact 1-800-666-6899 to see if you are eligible for free tax law help.