Sponsors (8)
Introduced November 18, 2025 by Ryan Zinke · Last progress November 18, 2025
The bill offers targeted tax incentives to attract experienced retired military and law enforcement into SRO roles—potentially improving school security and retired officers' retirement income—while reducing federal revenue and adding administrative, compliance, and fairness concerns for governments and taxpayers.
Retired military members and former law enforcement officers who serve as school resource officers (SROs) can exclude retirement income from federal gross income while serving — and those who serve at least 10 years as SROs get a lifetime exclusion — reducing their federal tax bills and strengthening retirement income for long‑serving SROs.
Students, teachers, and school communities may gain greater access to experienced security personnel because the tax incentive is likely to encourage recruitment and retention of qualified retired military and law enforcement into SRO roles.
State and local law enforcement agencies will be required to report SRO start and end dates, creating an administrative record that helps ensure tax benefits are properly claimed and enables IRS compliance checks.
All taxpayers may face indirect effects because excluding SRO retirement income reduces federal tax revenue, which could increase budgetary pressure or reduce funding for other programs unless offset elsewhere.
Local and state law enforcement agencies will incur additional administrative burden and costs to comply with reporting requirements and associated penalties, diverting time and resources from other duties.
Taxpayers and agencies (and the IRS) may face compliance complexity because employers and individuals must track employment periods, satisfy background and state certification requirements, and navigate rules to claim the exclusion, increasing the risk of confusion or disputes.
Based on analysis of 2 sections of legislative text.
Excludes retirement income from gross income for eligible retired military and law enforcement personnel while they serve as school resource officers, with a lifetime exclusion after 10 years; requires agency reporting to the IRS.
Creates a new tax exclusion that lets certain retired military members and retired law enforcement officers exclude retirement income from gross income for the time they work as school resource officers (SROs), and provides a lifetime exclusion for those who serve as SROs at least 10 years. It also requires law enforcement agency heads to report SRO start and end dates to the IRS, expands penalties for failing to file that notice, and directs the Treasury to issue implementing guidance within 180 days. The changes apply to taxable years beginning after enactment.