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Ohio bill would end tax on military pensions.
Byline: Jim Provance
Oct. 31--COLUMBUS-Veterans' Day could come early in the Ohio House where Republicans yesterday announced a plan to exempt military pensions from the state income tax.
The move would cost Ohio's revenue coffers $23 million a year for nearly 39,000 current retirees.
"For those who say the state cannot afford to give up this tax, I would remind them that the military is a young person's organization," said retired Air Force Col. Dan Bigelow, chairman of the Dayton Chamber Military Affairs Committee.
"Many retire after 20 years," he said. "Most are forced to retire after reaching 30. Many in their 40s have not had the stability or resources to invest in a home and so must seek other jobs to maintain or improve their lifestyles. Thus Ohio gains additional compensation and tax revenue from the second career of the retiree, the spouse's job, and investment interest."
Unlike several other tax cuts floated in recent months by the GOP, House Democrats were receptive to this one. In fact, a similar proposal introduced by Rep. Peter Ujvagi (D., Toledo) in March has seen no action in the chamber.
"We'll take it however we can get it," said House Minority Leader Joyce Beatty (D., Columbus). "I support the parts that I've heard ... I will just say that half of that child is Democrat."
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