The federal government is urging some 133,000 veterans who had money improperly withheld from their severance payments for combat-related injuries or other disability compensation to apply for tax refunds.
In some cases the improper withholding dates as far back as 1991. The Department of Defense (DOD) is sending letters to the eligible veterans this month, stating the amount of the disability payment and telling them what to do to receive a refund. Survivors of veterans who would have been eligible for this refund may also apply.
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