Lawmakers say IRS won’t tax Ohio veterans bonuses

DOVER, Ohio (AP) — Members of Congress say they’ve received assurances from the IRS that Ohio war veterans won’t be taxed on their new state bonuses.

Ohio last week began accepting applications for veterans bonuses for service anywhere in the world during the Persian Gulf, Afghanistan and Iraq wars.

Eligible veterans may receive up to $1,000, with up to $6,500 available to family members of deceased veterans from those conflicts.

The sign-up period brought questions about whether veterans would have to pay federal income tax on the bonus money. Ohio U.S. Sen. Sherrod Brown and Rep. Zack Space said Tuesday they were informed by the IRS that the bonuses will be exempt from federal taxes.

The Democrats say veterans earned the money and should not lose any of it to taxes.