January 7, 2026
Mr. Rogers of Alabama introduced the following bill; which was referred to the Committee on Ways and Means
To amend the Internal Revenue Code of 1986 to exclude from gross income the earnings from certain overseas deployments of members of the Armed Forces.
Section 1. Combat zone exclusion expanded to include certain overseas deployments
(a) Enlisted personnel
Section 112(a) of the Internal Revenue Code of 1986 is amended by striking or
at the end of paragraph (1), by striking the period at the end of paragraph (2) and inserting , or
, and by inserting after paragraph (2) the following new paragraph:
(3)
served overseas.
(b) Commissioned officers
Section 112(b) of such Code is amended by striking or
at the end of paragraph (1), by striking the period at the end of paragraph (2) and inserting , or
, and by inserting after paragraph (2) the following new paragraph:
(3)
served overseas.
(c) Definitions added
Section 112(c) of such Code is amended by adding at the end the following new paragraphs:
(6)
The term
overseasmeans any area outside the United States.(7)
The term
served overseasdoes not include service during any month or portion thereof during which the taxpayer is overseas pursuant to permanent change of station orders.(8)
The term
United Statesincludes the territories and possessions of the United States.
(d) Conforming amendments
(1)
The heading of section 112 of such Code is amended by inserting and overseas
after combat zone
.
(2)
The table of sections for part III of subchapter B of chapter 1 of such Code is amended by striking the item relating to section 112 and inserting the following:
(e) Effective date
The amendments made by this section shall apply to taxable years beginning after December 31, 2025.