17140.7.
(a) For taxable years beginning on or after January 1, 2020, and before January 1, 2030, gross income shall not include active duty pay received by a servicemember, while on active duty in this state, in the United States Armed Forces, in the reserve components of the United States Armed Forces, or in the National Guard.(b) For taxable years beginning on or after January 1, 2020, and before January 1, 2030, gross income shall not include military retirement pay received during the applicable time period by a servicemember who has been honorably discharged from the United States Armed Forces, the reserve components of the United States Armed Forces, or the National Guard.
(c) For purposes of this section, “applicable time period” means the period of time beginning on the date a servicemember in the United States Armed Forces, in the reserve components of the United States Armed Forces, or in the National Guard is honorably discharged and ends after a period of time equal to that of the servicemember’s cumulative days of active duty service prior to the honorable discharge. The applicable time period shall be confirmed by the Secretary of Veterans Affairs.
(d) The Department of Veterans Affairs may adopt rules and regulations for the purpose of confirming the applicable time period pursuant to subdivision (c).
(e) This section shall be repealed on December 1, 2030.