PICKETT SUBMITS TESTIMONY IN SUPPORT OF VSO SALES TAX EXEMPTION

Committee on Finance, Revenue and Bonding Committee

Public Hearing 

February 26, 2025

Testimony in Support of 

H.B. No. 5065 AN ACT EXEMPTING CERTAIN SALES TO MILITARY AND VETERANS-RELATED ORGANIZATIONS FROM THE SALES AND USE TAXES

Committee Co-Chairs, Senator Fonfara  and Representative Horn, and distinguished members of the Finance, Revenue and Bonding Committee, thank you for the opportunity to submit written testimony in support of H.B. 5065.

The VFW Department of Connecticut strongly supports H.B. No. 5065.

The citizens and leaders of Connecticut should consistently work to make our state increasingly attractive for returning service members, military retirees, and their families. We all should continue to work to reverse the migration of veterans leaving or not opting to make Connecticut their home because of a lack of opportunities or the steep cost-of-living. We all should continue to foster a society that addresses the unique challenges prior-service members face when they are done serving and demonstrate an appreciation for their service and sacrifice.

One small, but one important way to demonstrate this commitment to our veterans and their families is to exempt from the sales and use taxes the sale of and the storage, use or other consumption in this state of tangible personal property or services to certain military and veterans-related organizations described in Section 501(c)(19) of the Internal Revenue Code.

Supporting IRS Section Section 501(c)(19) veteran service organizations (VSOs), such as the American Legion and the Veterans of Foreign Wars (VFW), helps them carry out their mission, shepard their resources, and build community–a proven suicide provention strategy as VSOs continue to combat the ongoing veteran suicide epidemic in America. Additionally, VSOs are facing a demographic decline of prior-service members from the Vietnam-era generation (8.7 million) to the Global War on Terror (~3.5 million). For example, in the last decade 31 VFW posts in Connecticut have closed or consolidated while only one, VFW New Haven Post 12150, was chartered. Local posts and veteran support systems are declining; this legislation could help mitigate this trend.  Lastly, other states already offer an exemption from sales tax for Section 501(c)(19) veteran service organizations such as New York.

In summary, The VFW Department of Connecticut strongly supports H.B. No. 5065.

Charles M. Pickett

Senior Vice Commander, VFW Department of Connecticut

https://www.cga.ct.gov/2025/findata/TMY/2025HB-05065-R000226-Pickett,%20Charles,%20Senior%20Vice%20Commander-VFW%20Connecticut-Supports-TMY.PDF