State Policy/Initiative

Important Information for Veterans Receiving Payments Under the Compensated Work Therapy Program

~~“The Internal Revenue Service has announced that payments made under the Department of Veterans Affairs Compensated Work Therapy (CWT) program are no longer taxable by the federal government, and that veterans who paid federal income tax on these benefits may claim a refund for tax years 2004, 2005, or 2006. As a result, these benefit payments are no longer taxable by New York State.“