(a) Concurrent receipt generally
Section 1414(b) of title 10, United States Code, is amended by striking paragraph (2) and inserting the following new paragraphs:
(2) Combat-related disability retirees
(A) In general
A member retired under chapter 61 of this title with a combat-related disability who is entitled for any month to retired pay under chapter 61 of this title and is also entitled for that month to veterans’ disability compensation under title 38, is entitled to be paid both without regard to sections 5304 and 5305 of title 38, as provided by subparagraphs (B) and (C).
(B) Career retirees
In the case of a member retired under chapter 61 of this title who has a combat-related disability that is not a qualifying service-connected disability (as defined in subsection (a)(2)) and who, at the time of the member's retirement, had 20 years or more of service otherwise creditable under section 1405 of this title or at least 20 years of service computed under section 12732 of this title, the member may receive, without regard to sections 5304 and 5305 of title 38, both—
the amount of retired pay to which the member would have been entitled under any other provision of law based on the member’s service in the uniformed services if the member had not been retired under chapter 61 of this title; and
veterans’ disability compensation under title 38.
(C) Disability retirees with less than 20 years of service
In the case of a member retired under chapter 61 of this title with a combat-related disability and who, at the time of the member's retirement, had less than 20 years of service otherwise creditable under section 1405 of this title or less than 20 years of service computed under section 12732 of this title, the member may receive, without regard to sections 5304 and 5305 of title 38, the lesser of—
both—
both—
(D) Combat-related disability defined
In this paragraph, the term combat-related disability has the meaning given that term in subsection (e) of section 1413a of this title and as determined under the criteria and procedures used for purposes of such section.
(3) Exclusion of other retirees
Subsection (a) does not apply to a member retired under chapter 61 of this title if the member is not covered by paragraph (1) or (2).
(b) Technical and conforming amendments
(1) Coordination with combat-related special compensation program
Section 1414(d) of title 10, United States Code, is amended by striking qualified retiree under this section and inserting qualified retiree under subsection (a) or is entitled to a payment under subsection (b)(2) .
(2) Amendments reflecting end of concurrent receipt phase-in period
Section 1414 of title 10, United States Code, is further amended—
in subsection (a)(1)—
by striking the second sentence; and
by striking subparagraphs (A) and (B);
by striking subsection (c) and redesignating subsections (d) and (e) as subsections (c) and (d), respectively; and
in subsection (d), as redesignated, by striking paragraphs (3) and (4).
(3) Section heading
The heading of section 1414 of such title is amended to read as follows:
1414. Members eligible for retired pay who are also eligible for veterans’ disability compensation: concurrent receipt
(4) Conforming amendment
Section 1413a(f) of such title is amended by striking Subsection (d) and inserting Subsection (c) .
(c) Effective date
The amendments made by this section shall take effect on January 1, 2027, and shall apply to payments for months beginning on or after that date.