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Sunday, June 08, 2008

Is John McCain really 100% disabled?

John McCain gets tax-free disability pension
The disclosure of the Navy benefit for injuries incurred as a Vietnam POW may raise fitness questions.
By Ralph Vartabedian, Los Angeles Times Staff Writer April 22, 2008 Sen. John McCain has long said he is in robust health and is strong enough to hike the Grand Canyon, but he also is receiving what his staff Monday termed a "disability pension" from the Navy.
When McCain released his tax return for 2007 on Friday, he separately disclosed that he received a pension of $58,358 that was not listed as income on his return.
On Monday, McCain's staff identified the retirement benefit as a "disability pension" and said that McCain "was retired as disabled because of his limited body movements due to injuries as a POW."
McCain campaign strategist Mark Salter said Monday night that McCain was technically disabled. "Tortured for his country -- that is how he acquired his disability," Salter said.
Certain types of military and veterans pensions are either partially or completely tax-exempt, depending on the seriousness of the disability. In McCain's case, the exemption is 100%.
If McCain had to pay taxes on the full amount of the pension, it would have increased his tax bill by about $18,000 based on the percentage of his income he paid to the federal government.

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