An Act to amend section 112 of the Internal Revenue Code of 1954 to increase from $200 to $500 the monthly combat pay exclusion for commissioned officers serving in combat zones
PL 89-739 (H.R.17271), enacted 11/02/1966

80 STAT. ] 
PUBLIC LAW 89-739-NOV. 2, 1966 
1165 
Public Law 89-738 
AN ACT 
November 2, 1966 
For the relief of certain enlisted members of the military services who lost 
[H. R. 16394] ^ 
interest on amounts deposited under section 1035 of title 10, United States 
Code, or prior laws authorizing enlisted members' deposits, and for other 
purposes. 
Armed services. 
Enlisted men. 
70A Stat. 80. 
Be it enacted hy the Senate and House of Revresentatives 
of the 
United States of ATnerica in Congress assembled^ That the Secretary 
of a military department or his designee, shall adjust the deposit int'^'resT on de-
account of any enlisted member or former enlisted member of the posits. 
Army, Navy, Air Force, or Marine Corps, as the case may be, who, 
after July 14, 1954, and before the effective date of this Act, upon 
discharge and immediate reenlistment or retirement and immediate 
recall to active duty, continued, without withdrawal and redeposit, 
his account for deposits made under section 1035 of title 10, United 
States Code, or prior laws authorizing enlisted members' deposits, 
to show that his deposits and interest accrued thereon were withdrawn 
and redeposited on the date of such reenlistment or recall to active 
duty. 
SEC. 2. The Secretary of the military department concerned, or his 
designee, shall pay to a former enlisted member described in section 1 
of this Act any amount found due as a result of the adjustment pre-
scribed by that section if he submits an application within two years 
following the date of enactment of this Act. If the member is cur-
rently serving on active duty and has an active deposit account, the 
amount due him will automatically be credited to such account. In the 
case of a deceased member, application under this section shall be 
made within two years following the date of enactment of this Act 
by the person determined to be eligible under section 2771 of title 10, 
United States Code. 
_ 
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SEC. 3. All payments heretofore made which would, but for the 
fact of such payment, be payable under this Act are validated. 
How-
ever, if such a payment has been repaid to the United States, the fact 
of payment shall not affect entitlement under this Act. 
Approved November 2, 1966. 
Public Law 89-739 
AN A C T 
November 2, 1966 
To amend section 112 of the Internal Revenue Code of 1954 to increase from $200 
CH. R.1727I] 
to $500 the monthly combat pay exclusion for commissioned officers serving in 
combat zones. 
74 Stat. 47 3. 
Income taxes. 
Be it enacted hy the Senate and House of Refresentatives 
of the 
United States of America in Congress assembled, That subsection (b) 
of section 112 of the Internal Revenue Code of 1954 is amended by cius°"n^*in^^a'' 
striking out "$200" and inserting in lieu thereof "$500". 
'' 68A's'tat"''74!^^* 
SEC. 2. The amendment made by the first section of this Act shall 
^6 use 112. 
apply with respect to compensation received in taxable years ending 
after December 31, 1965, for periods of active service after such date. 
Approved November 2, 1966. 
65-300 0-67—76