A double amputee who served in Iraq is pushing lawmakers to end the 'wounded veterans tax'
WASHINGTON — When Army veteran Dan Nevins was forced to medically retire from the military after losing both his legs in combat, he thought he'd be financially taken care of by the country that he served.
But Nevins soon discovered the so-called 'wounded veterans tax' — an unofficial term for a federal policy that prohibits certain injured veterans from receiving both their full retirement pay and disability compensation.
'I was told I could not receive both,' Nevins told NBC News in an interview. 'And I was like, 'Wait a minute. That's not what I thought was going to happen.''
It's an issue that affects around 50,000 veterans, according to the nonpartisan Congressional Budget Office, costing them each about $1,900 per month.
Under current federal policy, veterans who have less than 20 years of service and a disability rating under 50% get a dollar taken out of their retirement for every dollar they receive in disability compensation. The disability rating is assigned by the Veterans Affairs Department and assesses how much an injury or disability may impact a veteran's health and ability to function.
And now, Nevins is pushing lawmakers in Washington to change that.
In 2004, when Nevins was deployed to Iraq as a squad leader, an improvised explosive device detonated beneath his vehicle. The blast killed his platoon sergeant, and eventually both of Nevins legs would be amputated below the knee because of the injuries he sustained.
'People say when you're about to die your life flashes before your eyes. That wasn't really my experience. It was more like a slideshow of things left undone,' said Nevins, who still wears a bracelet every day to honor his platoon sergeant.
'The last sort of vision, it was my 10-year-old daughter, but she was all grown up and dressed in white head to toe, and walking down the aisle without her dad. And I was like, 'I'm alive. I have to do something to keep it that way.''
After a painful and lengthy recovery process, which included 36 surgeries and an 18-month stay at Walter Reed Hospital, Nevins started to live his life again. That included learning some new skills, such as becoming a certified yoga instructor.
But because of his injuries, Nevins left the military earlier than anticipated. That is when, to his surprise, Nevins learned that he would not be receiving his full retirement pay.
'It's a tragedy really,' Nevins said. 'So many people are cutting what we would all take for granted out of their lives, just so they can survive. And I mean, it's not a ton of money, but it will help and really change lives and families for the better.'
Congress is making a renewed push to eliminate the offset with a bipartisan bill, dubbed the Major Richard Star Act, that would give wounded veterans their full retirement benefits and disability pay.
Sen. Richard Blumenthal, D-Conn., is spearheading the effort in the Senate, where it has 71 co-sponsors, while Rep. Gus Bilirakis, R-Fla., is leading the bill in the House, where it has 274 co-sponsors.
'Veterans are retired early because of the wounds and the injuries they receive, and they're entitled to disability compensation for them, but then their retirement pay is reduced dollar for dollar because of that disability compensation,' Blumenthal told NBC News. 'They're being penalized for being wounded. ... It's about simple justice and fairness.'
But the bill is costly: The CBO estimated in 2022 that the legislation would have cost $9.75 billion from 2024 to 2033. And at a time when the Trump administration is looking to trim government spending — including at the Veterans Affairs Department — cost concerns could stand in the way of passage.
A spokesman for the VA said it does not typically comment on pending legislation, but vowed that no health care or benefits for veterans will be cut. The Department of Defense did not return a request for comment.
Blumenthal said he sees 'a number of paths' for the bill. He plans to offer it as an amendment to an annual defense policy bill later this year. And in the coming weeks, Blumenthal is going to try to bring it up under unanimous consent and 'see who has the nerve to come forward and say we should deny our veterans basic fairness.'
Ahead of Memorial Day, Nevins traveled to Washington to advocate for the bill. He appeared at a press conference alongside Marine Corps veteran Jamel Daniels, who also lost his leg in combat. The two got to know each other during their respective recoveries and even did wheelchair races in the hospital hallways, according to Nevins.
Now, Nevins and Daniels are fighting for a legislative fix in the halls of the Capitol. And Nevins says his message to Congress is simple: honor the country's commitment to veterans.
'We should keep our promises,' Nevins said. 'I teach my kids to keep their promises, even when it's not convenient for them.'
This article was originally published on NBCNews.com
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