2026-00229Notice

VA Teams with IRS to Double-Check Veteran Earnings Data

Published Date: 1/9/2026

Notice

Summary

The VA is teaming up with the IRS to check veterans’ jobs and earnings using tax info, making sure health benefits go to the right people. This new program kicks in about a month after January 9, 2026, and lasts 18 months. Veterans applying for need-based benefits should know their info will be double-checked, but it helps keep benefits fair and accurate.

Analyzed Economic Effects

2 provisions identified: 0 benefits, 1 costs, 1 mixed.

VA will verify income for need-based care

If you apply for VA need-based health benefits, the VA will check your employment and earnings using IRS tax return data to decide eligibility and to adjust income-dependent benefit payments. VA will send the IRS a list of veterans who self-reported household income below the national HUD threshold so their tax data can be checked. This matching program becomes effective at least 30 days after January 9, 2026 and will run for 18 months.

Tax return details will be disclosed to VA

The IRS will disclose specific tax return information to VA for matched individuals, including Social Security number and name control, payee account number, payee name and mailing address, payee taxpayer identification number (TIN), payer name and address, payer TIN, and income type and amount. VA will use these records (from IRS Information Return Master File) to verify unearned income and household income for need-based benefit decisions during the matching program.

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Key Dates

Published Date
Effective Date
1/9/2026
2/8/2026

Department and Agencies

Department
Independent Agency
Agency
Veterans Affairs Department
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