Military Spouse Residency Relief Act

Good news on the homefront!  The Military Spouse Residency Relief Act was passed by Congress last week and is awaiting the President's signature.

Here is the body of the press release:

Washington, DC –Tuesday, November 3, 2009. A comprehensive military family legislation, the Military Spouses Residency Relief Act (S 475 and HR 1182), which will legally recognize military spouses by providing them the option to claim the same state of domicile as their active duty spouse, passed through the House and Senate with strong bipartisan support, and is now being brought before the President to become a law.

The bill was introduced by Congressman John Carter (R-TX), who represents Fort Hood, the largest military installation in the country. “This is fantastic news for our service families worldwide,” says Carter, who has been pushing the legislation for the last three years.

Senators Richard Burr (R-NC) and Dianne Feinstein (D-CA) introduced the companion bill into the Senate, which passed unanimously in August. The legislation will amend the Servicemember’s Civil Relief Act (SCRA) of 1940 allowing military spouses to share a home state with their spouse, the service member.

Currently, military spouses experience impediments in voting and property ownership as well as deterrents in employment and education. The bill offers fair treatment of the military spouse and improves the quality of life for military families by allowing the stability of a single state of domicile to call home.

Over 8,000 military spouses, friends and family members united to support the Military Spouses Residency Relief Act on Facebook. http://www.facebook.com/pages/Military-Spouses-Residency-Relief-Act/51457362877 They shared their individual stories as they contacted Congressional representatives to ask for support. Initially, Army Spouse, Rebecca Poynter and Navy Spouse, Joanna Williamson, approached Congressman Carter with their request to petition. “It has been a grass roots effort by thousands of spouses across the country, who have campaigned to get this passed, by telling their stories,” explains Poynter.

“The support from Military Officers Association of America (MOAA) and the Veterans Service Organizations who testified in our support is greatly appreciated,” said Williamson, “and together we claim this victory for all military families.”

This is exciting news for military spouses and will undoubtedly save us all time and possibly even money.

More info on how the MSRRA impacts your income taxes.

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Comments

[Laura B]

Yeah for common sense finally prevailing!

[anonymous]

I recently had an unfortunate encounter. I was a banking center manager while being stationed in Virginia and my husband received orders to transfer to Kansas. I immediatly started sending resumes out to every bank and even other employers. The bank that I was working for didn't have any positions open in Kansas. Even after moving to Kansas, every reply that I got back was that I was over qualified for their positions. I then applied for unemployment and was turned down. The response that I got back from unemployment was because I willingly quit my job I wasn't eligible for unemployment. I asked to rep what I was supposed to do, stay in Virginia while my husband lived in Kansas? She appologized and said she didn't agree with this either. Why hasn't the government reviewed this policy for military spouses and their families? We relocate because the government gives us orders to do so. So, I don't feel that I willingly quit my job. I have since accepted a much lower paying bank job.

[Felicia]

I experienced having to get my license renewed in a state that we currently live in. One of their laws are if you have resided here for more than 30 days they consider to be a legal resident. I gave up my home state of residence in order to comply. I definitely didn't want to but had no other choice. The sad thing about it is that in less than 4 months we will be transfering to another duty station. When this law is passed I would had to agree with the other ladies. It will definitely save us money, time and alot of frustration.

[Stephen Desrosier]

This is great news!!

[Christie]

How do we apply for this? Or show proof to our employment?

[Kate]

The details haven't yet been worked out. If you are on Facebook, I recommend that you link up with the FB group. That is the best way to stay up to date as it is interpreted and implemented.

[NBostic]

Laura:
We must have spoken to the same Virginia unemployment rep. I was told the same thing by three different rep’s. One told me, I should have stayed in Virginia and let husband go one without our family. At least, the other two were sympathetic to my situation, but I was still denied. I worked at the Veteran’s Hospital in Richmond, VA for an year. I loved my job, the people were great. I was really starting to jump start my career when I got the news it’s time to go again. That really needs to be address with military spouses that work and have to leave due to a military move. I am still looking for a job and I have been at our new duty station since August. I can work at the VA again, but unfortunately, it’s an hour from our house. Being the only parent here that is mom and dad because my husband is deployed makes it kind of hard to want to commute two hours away with three small children. I understand about my husband’s career and I support him 100%, but when it comes to my career. There is the understanding that I know I will never have a retirement or stability as long as my husband is a career soldier, but please give the spouse’s what we are entitle to whether it is un-employment or whatever. We have to sacrifice a great deal for our country, as well, so let us have our unemployment!!!!!!!!!!!!!!!!!!!!!!!!

[Brian]

It is a testament to the lousy care that military people still actually get from the government that this kind of thing is still happening. They pass stupid bills about saluting but don't take care of the spouses. Wait until you retire if you think you get treated bad now.

[Mike]

first let me start with. I agree that spouses are treated bad. My wife has had to leave two jobs at the bank due to my transfers. I have been in for seven years six months and have moved four times already and they just give us these little raises. With a spouse that can not work because unemployment is rediculous now. I'm frustrated for my wife. But what can I say, I know better then that. So who stands up for our families when we really can not do it . The stress that the military puts on a person with the stupid games that are played at each command don't help. The spouse should get a special pay for putting up with the military. Hahaha!!! Look at the divorce rate in the military and you would think that taking care of personnel would be a priority so we can all focus on our jobs better.

[bigbluewolf]

Employee Withholding Exemption Certificate, Form VA-4

[bigbluewolf]

see Tax Bulletin 09- 10

[Francis Parks]

I'm so sorry this happen to you,I to are a spouse of a military man, and hade no luck in finding a job here in Kansas after we move here.The only good thing came out of this was i got my unemployment, from the state of NC. I work for CFVHS for 5 years on to different tours to fortbragg, they have that set up for the military there, I got it for 2 years off and on.I hope more states take a page out of NC book on how to service us to.

[princessj]

I totally agreed with all the spouses that posted. I am a military female, and my husband has to give up every job that he every had to move with me because the military says that I have to go. It is very hard and frustrated even for me (the wife) being the one who gets the orders to move. I have seen how hard it is for spouses to get a new job, benefits like unemployment. It disrupts the family, not forgetting moving the children away from their friends every three years or so. It is taking a toll not only on the spouse, the children and also the member it self. It is hard for some people to cope with, but what can we do, we sign up for this. It would not be so bad, if the military tries harder to work with the military member of trying not to move so often, there are times that they can stay put, but they have to move sometimes across the country. With the way the economy is, people have to give up their home, put ir up for sale or worst lose it to the bank, then you have to deal with the issue of finding another place to live. Spouses, i really feel your pain. all an all, this bill came too late for a lot of people, including my hushand.

[Kathryn Grau]

As a navy wife and also an accountant/tax preparer working in Virginia I can say from experience that there are two sides to every situation. It would be great for military spouses to qualify for unemployment when they transfer, however, in VA an unemployment claim against an employer causes an increase in unemployment insurance rates for that company. Unless that also changed, a bill that made navy spouses eligible for unemployment benefits after a transfer would make employers understandably reluctant to hire military spouses in the first place.

[Kathryn Grau]

I also think that there will be some unpleasant surprises for military spouses who stop having state tax withheld for the state where they are working and then file jointly with their active duty spouse in a state that has an income tax. Texas, where this bill originated, and some other states do not have an income tax, so active duty members who have maintained their Texas residency, (or other states with no income tax) will benefit from not having to change residency or have tax withheld for the state in which they live.

[Amanda]

Yes, you'll generally still have to pay state taxes in the state where you work. But not having to change license plates, driver's licenses, voter registration, etc. with every PCS will be a huge relief!

[Rod Adams]

how about making it easy for military spouses to get jobs on military installation. military spouse preference is a joke.

[Janet]

My issue as a military spouse deals more with the county taxes. We live on base and when it’s time for my state taxes I get deducted an arm and a for county “services” when in reality I live on base and only use base services (emergency, library, park, etc.). I don’t agree on paying taxes for services I don’t even use. I highly agree with military spouses getting preferences to work on base, there is no such thing as preference.

[margaret]

Alaska - Once we got orders I had to quit my job because our landlord sold the house we were renting and had to move into a hotel for a month. Their unemployment office told me I could have left my daughter alone in the hotel room until my husband could get off from work - Who does that!!

[Cedric]

All of these comments are just complaining about how much more the military should be doing for familie or what about this.How about a thank you I appriciate what you guys did for us. The amount of family care in the military today is hundred times better than it was just 10yrs ago, free education for your spouse, free money for education for your spouse and you, the pay is better, they are keeping you on an installation longer. Yes I know some of you will not agree with that part. The military isnt a job to get rich and if you have a degree of any kind you can always become an officer which pays a lot better than enlisted. If you are blaming the military for your divorce you marriage probably wasnt that strong to begin with. People stop complaining and take advantage of all of the benifits, a lot that are free, that the military has to offer.

[Donna]

I think this new law is wonderful. Thank you to everyone that worked so hard to get this passed. Being a military spouse is frustrating. Having to start over at every new duty station is hard, and it is almost impossible to get a job on base. But this is a step in the right direction.

[JulieDB]

Hmmm... This wouldn't work well for me. We own a house in WA and when husband retires in less than 3 years, he plans to be a resident here. We've been married for almost 15 years and I've maintained my WA residency. He is a PA resident. I don't want to be a PA resident. I want to stay as a PA resident.

[JulieDB]

I guess I don't preview well. That should read, "I want to stay as a WA resident." Dangit.

[Angie]

I have had the same unfortunate situation with my husband being transferred and having to look for new employment and being denied unemployment. My husband got orders overseas. I was told that I didn't qualify for unemployment because I was overseas. Here's where I'm confused - if I start working here on base - my state's tax would be deducted from each check. Why are they entitled to tax money but I'm not entitled to unemployment? I attempted to file an appeal - gave them my appeal statement and had given the unemployment office my stateside online number. I received a letter stating that I would get a letter detailing the appeal meeting. I never received a thing! Then a few weeks later I received a letter telling me that I failed to contact them for the appeal meeting and that I did not provide a number for contact and that my appeal was denied. I am never going to have the opportunity to stay with a good company unless it's a national company with several locations and we happen to move to where another location may be. So much consideration goes to the active duty member but I can't help but feel like major issues for spouses such as transfers/employment are slighted. I have been unemployed for nearly six months and ineligible for unemployment. Something has to change and I'm surprised this issue still exists for all the boasting that is made to help support our troops and their FAMILIES!

[Robyn]

Laura B, with all do respect you need to fight that finding for not qualifying for unemployment, military spouses qualify as long as you give prior employer proper notice you get it. I am a Marine wife and after 2 months of not getting work I filled, you will have to send your spouses orders but you qualify " to maintain family unity" is the reason you qualify. take care and Semper Fi

[kathy]

Unintended conquences. Will we still get in state tution if we keep home state residency? Not to mention how do u comply with home stae rules? Delaware requires an inspection at DMV to renew regristration. how does thids workin the real world? 8000 is NOT a smaple of the entire military community!

[Tunisha]

I think the key part of the bill is that it is an option. If you are happy with your "home" state, no need to change. As for the comment made about appreciating the military is a bit misguided. I'm sure there isn't a single military spouse who doesn't appreciate it and all it provides in terms of housing and opportunities to see new places, and community building. That said, it is difficult to uproot a job, school, community and feel no support or sympathy in the new location, to struggle with rebuilding. It's a tough life that we didn't necessarily choose. We chose our spouses and it comes with territory, so we just try to cope. I'm glad that this bill is up for approval. It makes a step in a more spouse/family-friendly direction.

[Tracy]

Robyn--not every military spouse who leaves a job due to PCS qualifies for unemployment. Unfortunately, whether a spouse is eligible is left up to each state, so there are those of us out there(myself included) who are denied because the state we live in doesn't extend unemployment benefits to a spouse who "voluntarily" leaves a job. My denial letter said that although my reason for leaving my job was a good one, I didn't qualify since I was not laid off, and my appeal was subsequently denied because of the way state law is written in Louisiana.

I don't understand why people continue to believe that any discussion of military life amounts to complaining, or that as a spouse, we get free everything(I don't get money handed to me for school)--it is a unique situation with unique challenges. I am glad the law is finally a reality, but it doesn't help me, and likely won't, since my spouse and I do not currently have the same state of residence. I have no way to get residence in his state because we don't live there, so our taxes will continue to be a mess.

[Donna]

It's about time! Over the past 17 years, in addition to the problems encountered by other spouses, I have lost several THOUSAND dollars in employer contributions to retirement plans because we never stay in one place long enough for me to be vested. Perhaps Congress should look into some type of waiver for that.

[michelle]

replying to the comment by Janet above, I am quite sure you drive on county, city and state roads which are all maintained by those funds, no one can survive on a military base alone. Most bases don't offer Jr. high and high schools thus kids are attending schools supported by that community.

[Heather]

If we are earning money in a new state but maintain residency in a different state, are we going to be excused from paying taxes to that state? If not, I don't see how this will benefit me.

On the job front, I would like to see a movement of spouses join together. I have faced much discrimination in CA, VA and now TX. We moved to TX in July and I have been told by several employers here that they do not hire military. I worked with a placement agent who was shocked that employers were so brash to make such a comment. I went to school for an advanced degree and earned a specialized certification to try and eliminate this problem. I am sad to say that now I have a lot of education and no job due to employers being so discriminatory. Most states are "Right to work states" which means ANY employee can leave at any time without a reason. My experience is that most military spouses tend to stick with jobs for the entire portion of their time in a location. Civilian workers tend change jobs more frequently. I wish employers would see how much military spouses have to offer and stop being so short sighted.

[Mark Mitchell]

This is great news and I hope the President signs this soon. I am what seems to be few, a male military spouse. My wife is active duty army and I too feel that we should be able to claim the same HOR home of record, especially since we are from the same state.

[MJ]

This has been a hassle every time I try to do our taxes ourselves. Moving mid year and having to pay state taxes for two states for myself and a different one for my husband was confusing and the programs didn't know how to keep up! It'd be great to file in the same state.

Question on income taxes, though - AZ has income tax, which would be our legal state of residency. KY, where I work and TN, where I'm currently living, do not. Would I still pay AZ income tax or am I exempt b/c I work in a state without it?

[Jamie]

I too had to leave a good job because my husband was deployed to Korea. I really liked my job!! Us spouses get pulled everywhere the soldiers do. I had to move back to Arkansas just to get by. My family has had to cushion us from this deployment. Our soldiers don't get paid enough, yet it's next to impossible for us spouses to get jobs and keep them! I'm not even talking about a career, just a simple job for extra income! I didn't even try for unemployment because I knew I would be denied. It's absolutely ridiculious how much is being done to our soldiers and our families and the public thinks we are making it up. Well no we're not. We are seriously treated horribly, and it's about time we got a good deal! Thank you Congressman Carter!!!!

[John]

I am a CPA and am married to a retired military officer.

I have made inquiries of income tax authorities from several states in the aftermath of learning that this bill passed.

The affected state tax authorities are meeting to develop a consistent policy as to how to implement the law; this meeting is sponsored by their organization, the ATA.

The law's wording leaves much to be desired and is subject to much interpretation. The ATA hopes to provide formal guidance to folks before the end of this year.

[Jon Jones]

Military Spouse Preference for getting a job is rediculous. What was the point of having that? My wife has applied to 25 jobs on usajobs and havent herd a thing back?

[Amelia]

I like this. I don't want to give up NC residency for TX. I came here to be with my husband! (I've never lived anywhere else than NC and plan on going back when my husband gets out.) I can't drive anymore because I can't afford to go home just to go to the DMV and have my name changed. I wish I could just mail in the documents and drive. I can't vote either since my ID doesn't have my address and my DL has my maiden name. I miss my freedom....

[DD]

The bill has passed and was signed by President Obama on November 11,09.

[jenna]

i think that this will help out the familys .. alot more than what has been done my husband cant even afford for me to move with him because if i go then i cant have a job waiting knowing i would be going i quit a job that paid the bills no problem just to get a job that when it was time for me to go that i wouldnt miss he can bearly afford to send money to help when needing it . so maybe this will help and then i can finally be with hubby ... and and he can have his family besides the army ...

[Rhonda]

I think this is wonderful..we were stationed in VA for 3 years and each year I had to pay a $300 property tax for my vehicle, now we are in MA and having to do it again each year. My husband residency is in FL and they don't have this tax. this will save us money each year...also the employment issues from above. I also was in banking and was a level 2 in FL making $35,000 and when I moved to VA they had to make me a level 4 (higher) just to make the same money as I did in FL. I could go no higher in my position in VA...they do need to recognize that when spouses apply of unemployment...Good luck to you Jenna. Its tough being away from the hubby. Mine is Navy and goes on deployments 6 months at a time.

[Laura Roberts]

Ok so we transfered from GA to AZ. I don't have to change my drivers license or tags?

[Tom L (retired)]

I am retired military, 20 y3qrs. I
too went thru this transfer headache, I am extremely thankful foe the change for current military families. Patience does work if given enough time .

[Andrea]

I agree that spouses who transfer with their active duty member should be eligible for unemployment benefits, at least temporarily. I had to leave a great hospital pharmacy job recently, and have had trouble getting a comparable job. I finally got another job, but had to accept a >$10/hr pay cut. By the time I can start this new job, I will have been unemployed for 4 months. That's a huge amount of money we have lost, and if I could have gotten even a little compensation for that time, it would have been a big relief to us.

[John Moore]

We are stationed in Maryland but live in Virginia. With out vehicles we have to pay a property tax. The active military member is exempt but since my wife is on the title we have to pay the tax anyway. Will this bill make it so we do not have to pay that property tax if her home of records is another state?

[maggie]

This is for Cedric - are you a military spouse I think not. We are not complaing this is our life and stuff we have to put up with. And where is all that free stuff. We pay for alot of things Especially if you are an Officer - education is not free, child care is not free, groceries are not free, Dental is not free believe it or not we pay a premium along with a portion of the bill, Eye care not free, housing not free, utilities are not free, we usually have to pay a large deposit for most of them. I can go on...I am a grateful spouse - my husband works long after closing time and weekends as a Nurse Practioner and he does not get paid overtime or comp time. Then when his patients see him in public and start asking for refills and about their pain. Please....Nope not complaining just dealing...

[Petra]

I think this is great and yes, many miss the point of this being OPTIONAL, it doesn't mean you HAVE to change your HOR, but you CAN claim your husband's. As for the lady who had to go live with her parents while her husband got deployed and thus had to quit her job? I do not quite understand the why behind this. The last two times my husband deployed, I stayed put and kept doing whatever it was I did. I am excited to be able to claim my husband's HOR instead of having to change mine all the time, so thanks to everyone who worked for this!