An Act relative to providing tax processing and filing assistance for certain disabled veterans

194th Legislature (2025-2026) Introduced by Bruce Ayers

Waives interest and penalties on PTSD-related tax delinquencies for eligible veterans and establishes a DOR program to help veterans with PTSD file and pay taxes.

Overview

Purpose: To provide tax processing and filing assistance to certain disabled veterans and to authorize waivers of interest and penalties tied to delinquencies caused by post-traumatic stress disorder (PTSD). The bill also directs the Department of Revenue (DOR) to implement a program to support veterans with PTSD in understanding and fulfilling their tax obligations.

Key aim: Improve access to tax help for veterans whose PTSD contributed to filing or payment challenges, and reduce the financial penalties in cases linked to the disorder.

Key Provisions

1) Amendment to Section 33 of Chapter 62C
- Adds a new paragraph (g) stating that the waiver of interest and penalties under this chapter applies to any veteran of the United States Armed Forces (as defined in section 7 of chapter 4) who suffers from PTSD as determined by the Veterans Administration, and whose delinquency directly resulted from effects of the disorder.
- This creates a statutory basis for penalty/interest relief in qualifying PTSD-related delinquency cases.

2) Department of Revenue program and resources
- The DOR shall implement a program to assist veterans who suffer from PTSD (as determined by the VA).
- The program must include:
- Training and assistance to veterans and to local veterans offices about basic tax information.
- Guidance on how to contact the DOR for assistance.
- The DOR’s Taxpayer Assistance Division must provide resources to help qualified veterans in preparing their tax returns.

Who Would Be Affected

Primary beneficiaries: Veterans of the United States Armed Forces who have PTSD (per VA determination) and whose tax delinquencies are directly caused by the disorder.

Affected entities:

Individual veterans meeting the PTSD qualification.
Local veterans’ offices and veterans service organizations that interact with veterans on tax issues.
The Department of Revenue, which would administer the penalty/interest waivers and run the new assistance program.

Implementation and Timeline

Legislative status: The bill is a proposed measure in the 194th General Court (2025-2026). It was filed as House Docket No. 2190 (House No. 3020) with a filing date of January 15, 2025.

Process: The bill would need to pass both chambers and be signed into law to take effect. The text indicates implementation obligations for the DOR once enacted.

Historical context: A similar matter was previously filed in a prior session (House No. 2702 of 2023-2024), suggesting ongoing interest in veterans’ tax relief and assistance.

Fiscal and Administrative Considerations

Potential impact on revenue: Waivers of interest and penalties for qualifying PTSD-related delinquencies could reduce state-collected penalties.

Administrative costs: The DOR would incur costs to establish the training programs, coordinate with local veterans offices, and house new resources within the Taxpayer Assistance Division.

Notes

The bill defines eligible veterans via the standard in section 7 of chapter 4 and requires VA confirmation of PTSD.

Concrete eligibility criteria, funding levels, and implementation timelines would be clarified through the bill’s detailed language, regulations, or subsequent amendments during the legislative process.

Bill