Committee hears case to exempt military retirement and survivor benefits to recruit retirees to Vermont

At a Senate Economic Development, Housing and General Affairs committee hearing, business owners, veterans’ family members and economic advocates urged lawmakers to exempt military retirement pay and Survivor Benefit Plan (SBP) payments from Vermont income tax as a tool to recruit and retain military retirees and their families.

Brian Carpenter, a retired brigadier general and owner and general manager of Champlain Valley Equipment, told the committee that many military retirees seek second careers in the trades or start small businesses and that Vermont is at a competitive disadvantage without a retirement-income tax exemption. "Without the carrot of, the retirement exemption, I just don't see us being an attractive place for retirees to move," Carpenter said. He noted the average age of military retirees is about 47 and cited Fort Drum, N.Y., as a…