Military Spouse Residency Relief Act

Seriously, what Military Spouse normally gives two seconds of thought to the Defense Authorization Bill?  Well..this year we may all want to pay a bit more attention.  Sen Richard Burr (R-NC) has sponsored the Spouse Residency Provision under legislation approved July 23 by the Senate.  This could have multiple benefits for all military spouses in everything from driver's license renewal, property ownership, voting rights, property privileges and income and property tax!

Moving from state to state often means a great deal of paperwork, hassles and shifting of residency issues for military spouses, from which our military spouses are exempt.  This proposal could but us on equal footing. 

On taxes:  We would not lose or gain residency in a state as a result of a military-ordered move.  We could pay income tax in another state, which is a huge benefit if the chosen state of residence has low or no state income tax!  It also applies to personal property.  The law would apply to the tax returns beginning in the year the bill becomes law - which means that, if this passes, it would apply to 2009 taxes being filed in 2010!

On driver's licenses:  We could keep and renew driver's licenses and vehicle registrations from a state we've previously lived.  Oh, not to have to take the driver's test....AGAIN! 

Unfortunately, the House version of the defense authorization bill doesn't include any military spouse residency provision...yet.  On the hopeful side of things, the House Veteran's Affairs Committee has endorsed similar legislation in the past, so perhaps they would not be adverse to adding it to the defense bill.

We've all noticed the military members with 'out of state' plates.  Those who've elected to chose residency in state's with no state income tax - Alaska, Florida, Nevada, Texas, New Hampshire, South Dakota, Tennessee, Nevada, Washington and Wyoming.  It's how we know a military family is moving into our neighborhood!  This bill gives spouses the same rights and privileges under law to chose residency.  Burr's provision reaffirms that spouses who move on military orders deserve the same treatment.  We'll keep an eye on this and see if the provision is included in the Defense Bill....it gives us all a reason to follow the Bill this year!

Comments

[Xtna]

Maybe I have been living illegal for the past two years, but as a Texas resident residing in Colorado these issues have not been an issue for me...perhaps these issues are per state?

[RedLegMeg]

Xtna, it depends. Are you employed in CO? If so, then you are required to pay income tax to CO. As for your driver's license, I checked out the CO website for you:

"If you are a Colorado resident who operates a motor vehicle or motorcycle on public streets and highways in Colorado, you must have the appropriate valid driver's license. A resident is defined as a citizen who has lived in Colorado for 90 continuous days; or upon becoming employed, whichever occurs first. Non-residents do not have to register their car in Colorado and may drive using their current, valid driver's license issued by their state or country of residence."

As for license plates, as long as your spouse is a resident of TX, you can keep your TX plates. Hope this info helps.

[LAW]

There is a facebook site for the group that has been working to pass the MSRRA.

http://www.facebook.com/home.php?ref=home&__a=1#/pages/Military-Spouses-Residency-Relief-Act/51457362877?ref=ts

[Kanr]

Most states will allow you to keep your license from your state of residence, as long as the active-duty military member maintains their state of residence there. If they change theirs, you have to follow suit. We've lived in many states in the past 15 years and I've never changed mine and I check with each state we move to. The not having to pay state taxes on my payroll would be nice though - it's a large chunk here in NC>

[ArmyReserveWife]

Same here in the past 12 years I had kept my IN license until July when I broke down and got AL licenses, our new state of legal residence since we own a home and will be retiring there. I have never had a problem with anyone. Granted I am a stay at home mom and I don't work outside the home. And since we are in the land of the blackhole (DC) unless the servicemember is the only one on vehicle loan/registration you have to tag and pay property tax in VA.

[Michigan resident]

I have retained my Michigan residency for 23 years as an Army spouse. I renewed several times by mail. My issue is now that my son wants to go to college in MI, my husband(not a resident) must be the resident to get in-state tuition.

[brwnidgrl70]

While I understand that these tiny little issues are important to some, the hubs and I have been in 12 kinds of hell with his ex-wife because of money so until someone in the state he was divorced in and Washington wakes up and changes things these tiny little issues mean nothing!

[me]

I agree with brwnidgrl these tiny issues.. I'v been an illegal California resident for years... It's not a huge deal. I think it's great that they are thinking about us spouses but bwnidgrl is right congress needs to be fixing the economy and until they do these are just tiny issues... that is what she meant right...
or did her babbling, inconclusive rant leave anyone else confused.

[army_wife]

"me"... I was a bit confused, too, but I thought maybe it was just because I'm ill at the moment and not feeling tip-top. I feel better that I'm not the only one. :-)