Trump's $1,776 'Warrior Dividend' for Troops Declared Tax-Free by IRS
The IRS has confirmed that a one-time $1,776 'Warrior Dividend' for approximately 1.45 million troops is tax-free. The dividend was ordered by former President Trump and paid to service members in December 2025.
The Internal Revenue Service (IRS) has confirmed that the one-time $1,776 'Warrior Dividend' paid to over 1.45 million US troops in December 2025 will be completely tax-free, providing a financial boost to service members. The dividend was ordered by former President Donald Trump in an effort to reward his supporters ahead of the 2024 elections. The IRS has confirmed that this payment is exempt from taxation under Section 132(e) of the Internal Revenue Code. As a result, troops will not have to pay income tax on their share of the $1,776 dividend.
