S.3246

Exempts certain income of active or reserve service members from tax.

The Service Members Tax Relief Act amends the Internal Revenue Code to exempt certain income of active or reserve service members from tax. Specifically, it excludes compensation received by individuals in connection with their service during the taxable year as active or reserve members of the Uniformed Services of the United States. The exclusion does not apply to any pension or retirement pay. The amendments apply to income earned in taxable years beginning after the date of the enactment of this Act.