A bill to amend the Internal Revenue Code of 1954 to allow a deduction to enlisted members of the Armed Forces not entitled to severance pay on their involuntary release from the Armed Forces, and for other purposes.

Amends the Internal Revenue Code to allow members of the Armed Forces who are released from active service involuntarily an income tax deduction equal to the amount of severance pay which such members would have received if they had completed their tour of duty.