Governor Lingle signed a bill Saturday that increases the allowable state income tax deduction for National Guard members and reservists. House Bill 1904 increases the amount members of the National Guard and Reservists can deduct from the income they earn
Governor Lingle signed a bill Saturday that increases the allowable state income tax deduction for National Guard members and reservists.
House Bill 1904 increases the amount members of the National Guard and Reservists can deduct from the income they earn for their performance during the required one weekend a month drills and two weeks per year training, regardless of their active duty status.
Current state tax law allows reservists and guard members to exclude from state taxes the first $1,760 of compensation they receive. This figure was last adjusted in 1988, Under the now law the allowable income deduction wouid increase in pay scale each year over five years starting in 2005, from approximately $2,500 in the first year to $4,725 by the fifth year.
“When it comes to the National Guard, we all take a bipartisan approach and share our support,” Lingle said Saturday, acknowledging Legislators in the audience.
