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Internal Revenue Code, § 134. Certain Military Benefits

I.R.C. § 134(a) General Rule
Gross income shall not include any qualified military benefit.
I.R.C. § 134(b) Qualified Military Benefit
For purposes of this section—
I.R.C. § 134(b)(1) In General
The term “qualified military benefit” means any allowance or in-kind benefit (other than personal use of a vehicle) which—
I.R.C. § 134(b)(1)(A)
is received by any member or former member of the uniformed services of the United States or any dependent of such member by reason of such member's status or service as a member of such uniformed services, and
I.R.C. § 134(b)(1)(B)
was excludable from gross income on September 9, 1986, under any provision of law, regulation, or administrative practice which was in effect on such date (other than a provision of this title).
I.R.C. § 134(b)(2) No Other Benefit To Be Excludable Except As Provided By This Title
Notwithstanding any other provision of law, no benefit shall be treated as a qualified military benefit unless such benefit—
I.R.C. § 134(b)(2)(A)
is a benefit described in paragraph (1), or
I.R.C. § 134(b)(2)(B)
is excludable from gross income under this title without regard to any provision of law which is not contained in this title and which is not contained in a revenue Act.
I.R.C. § 134(b)(3) Limitations On Modifications
I.R.C. § 134(b)(3)(A) In General
Except as provided in subparagraphs (B) and (C) and paragraphs (4) and (5), no modification or adjustment of any qualified military benefit after September 9, 1986, shall be taken into account.
I.R.C. § 134(b)(3)(B) Exception For Certain Adjustments To Cash Benefits
Subparagraph (A) shall not apply to any adjustment to any qualified military benefit payable in cash which—
I.R.C. § 134(b)(3)(B)(i)
is pursuant to a provision of law or regulation (as in effect on September 9, 1986), and
I.R.C. § 134(b)(3)(B)(ii)
is determined by reference to any fluctuation in cost, price, currency, or other similar index.
I.R.C. § 134(b)(3)(C) Exception For Death Gratuity Adjustments Made By Law
Subparagraph (A) shall not apply to any adjustment to the amount of death gratuity payable under chapter 75 of title 10, United States Code, which is pursuant to a provision of law enacted after September 9, 1986.
I.R.C. § 134(b)(4) Clarification Of Certain Benefits
For purposes of paragraph (1), such term includes any dependent care assistance program (as in effect on the date of the enactment of this paragraph) for any individual described in paragraph (1)(A).
I.R.C. § 134(b)(5) Travel Benefits Under Operation Hero Miles
The term “qualified military benefit” includes a travel benefit provided under section 2613 of title 10, United States Code (as in effect on the date of the enactment of this paragraph).
I.R.C. § 134(b)(6) Certain State Payments
The term “qualified military benefit” includes any bonus payment by a State or political subdivision thereof to any member or former member of the uniformed services of the United States or any dependent of such member only by reason of such member's service in a combat zone (as defined in section 112(c)(2), determined without regard to the parenthetical).
(Added by Pub. L. 99-514, title XI, 1168(a), Oct. 22, 1986, 100 Stat. 2512, and amended Pub. L. 100-647, title I, 1011B(f)(1), (2)(A), (3), Nov. 10, 1988, 102 Stat. 3489, 3490; Pub. L. 108-121, title I, Sec. 102(b), 106, Nov. 11, 2003, 117 Stat. 1335; Pub. L. 108-375, Sec. 585(b), Oct. 28, 2004, 118 Stat. 1811; Pub. L. 110-245, Sec. 112(a), June 17, 2008, 122 Stat. 1624; Pub. L. 115-141, Div. U, title IV, Sec. 401(a)(39), Mar. 23, 2018, 132 Stat. 348.)
BACKGROUND NOTES
AMENDMENTS
2018 — Subsec. (b)(6). Pub. L. 115-141, Div. U, Sec. 401(a)(39), amended par. (6) by substituting “a combat” for “an combat”.
2008 — Subsec. (b)(6). Pub. L. 110-245, Sec. 112(a), amended subsec. (b) by adding par. (6).
2004 —Subsec. (b)(3)(A). Pub. L. 108-375, 585(b)(2)(A), amended subpar. (A) by substituting “paragraphs (4) and (5)” for “paragraph (4)”.
Subsec. (b)(5). Pub. L. 108-375, 585(b)(1), amended subsec. (b) by adding par. (5).
2003 — Subsec. (b)(3)(A). Pub. L. 108-121, 102(b)(2), amended subpar. (A) by substituting “subparagraphs (B) and (C)” for “subparagraph (B)”.
Subsec. (b)(3)(A). Pub. L. 108-121, 106(b)(1), amended subpar. (A) by inserting “and paragraph (4)” after “subparagraphs (B) and (C)”.
Subsec. (b)(3)(C). Pub. L. 108-121, 102(b)(1), added subpar. (C).
Subsec. (b)(4). Pub. L. 108-121, 106(a), added par. (4).
1988 — Subsec. (b)(1). Pub. L. 100-647, 1011B(f)(2)(A), inserted “(other than personal use of a vehicle)” after “in-kind benefit" in introductory text.
Subsec. (b)(1)(B). Pub. L. 100-647, 1011B(f)(1), substituted “,regulation, or administrative practice” for “or regulation thereunder”.
Subsec. (b)(3)(A). Pub. L. 100-647, 1011B(f)(3), struck out “under any provision of law or regulation described in paragraph (1)” after “September 9, 1986,”.
EFFECTIVE DATE OF 2018 AMENDMENT
Amendment by Pub. L. 115-141, Div. U, Sec. 401(a)(39), effective March 23, 2018.
EFFECTIVE DATE OF 2008 AMENDMENT
Amendment by section 112(a) of Pub. L. 110-245 effective payments made before, on, or after the date of the enactment of this Act [Enacted: June 17, 2008].
EFFECTIVE DATE OF 2004 AMENDMENT
Amendment by section 585(b) of Pub. L. 108-375 effective for travel benefits provided after the date of the enactment of this Act [Enacted: Oct. 28, 2004].
EFFECTIVE DATE OF 2003 AMENDMENTS
Amendments by section 102(b) of Pub. L. 108-121 effective with respect to deaths occurring after September 11, 2001.
Amendments by section 106 of Pub. L. 108-121 effective with respect to taxable years beginning after December 31, 2002.
Section 106(d) of Pub. L. 108-121 provided that:
“(d) No INFERENCE-No inference may be drawn from the amendments made by this section with respect to the tax treatment of any amounts under the program described in section 134(b)(4) of the Internal Revenue Code of 1986 (as added by this section) for any taxable year beginning before January 1, 2003.”
EFFECTIVE DATE OF 1988 AMENDMENT
Section 1011B(f)(2)(B) of Pub. L. 100-647 provided that: “The amendment made by subparagraph (A) [amending this section] shall apply to taxable years beginning after December 31, 1986.”
Amendment by section 1011B(f)(1), (3) of Pub. L. 100-647 effective, except as otherwise provided, as if included in the provision of the Tax Reform Act of 1986, Pub. L. 99-514, to which such amendment relates, see section 1019(a) of Pub. L. 100-647, set out as a note under section 1 of this title.
EFFECTIVE DATE
Section 1168(c) of Pub. L. 99-514, as amended by Pub. L. 100-647, title I, 1011B(f)(4), Nov. 10, 1988, 102 Stat. 3490, provided that: “The amendments made by this section [enacting this section] shall apply to taxable years beginning after December 31, 1984.”
PRIOR PROVISIONS
A prior section 134 was renumbered section 136 of this title.