Congresswoman Elaine Luria Demands Answers from IRS Commissioner About Gold Star Families’ Delayed Refunds

October 19, 2020
Press Release

WASHINGTON, D.C. – Last week, Congresswoman Elaine Luria sent a letter to IRS Commissioner Charles P. Rettig to relay concerns that Gold Star Families are still waiting to receive refunds from their amended 2018 tax returns. Congresswoman Luria urged IRS to quickly process all outstanding refund requests, especially amended returns for 2018.  

“Gold Star families are counting on prompt receipt of their refunds to help make ends meet in this time of economic uncertainty,” said Congresswoman Luria. “I am proud of my work to fix the shameful tax hike on Gold Star Families, and now the IRS must do its part to make things right for these families that have sacrificed so much.”

Relatives of fallen service members receive two forms of compensation to help them cope in the aftermath of their loss. In order to ensure that the family receives all the benefits they have earned, spouses of the fallen sometimes sign over one of the benefits to their children.

The 2017 Republican tax law changed how children’s assets are taxed, causing Gold Star Families’ tax rates to jump to 37 percent, according to the Tragedy Assistance Program for Survivors.

Following passage of Congresswoman Luria’s Gold Star Family Tax Relief Act as part of the Fiscal Year 2020 Consolidated Appropriations Act (H.R. 1158), the “kiddie tax” was repealed and Gold Star Families were able to submit amended tax returns for 2018. Despite having filed amended returns in January or February, most families are still waiting to receive the refund or even an acknowledgement of receipt.

In her letter, Congresswoman Luria urged IRS to investigate the delays and take all actions necessary to quickly process all outstanding refund requests, especially amended returns for 2018.

Click here to read the letter.

Congresswoman Elaine Luria represents Virginia’s 2nd Congressional District. She serves on the House Armed Services Committee, where she is the Vice Chair of the Seapower and Projection Forces Subcommittee, and the House Committee on Veterans’ Affairs, where she serves as Chair of the Disability Assistance and Memorial Affairs Subcommittee.