17132.9.
(a) For taxable years beginning on or after January 1, 2020, and before January 1, 2030, gross income shall not include retirement pay received by a taxpayer from the federal government for service in the uniformed services during the taxable year in an amount equal to the following:(1) For the first taxable year in which the exclusion provided by this section is allowed to the taxpayer and the first following taxable year beginning before January 1, 2030, 50 percent of the amount of retirement pay received by a taxpayer from the federal government for service in the uniformed services during the taxable year.
(2) For the second and third taxable years beginning before January 1,
2030, following the taxable year in which the exclusion provided by this section is first allowed to the taxpayer, 75 percent of the amount of retirement pay received by a taxpayer from the federal government for service in the uniformed services during the taxable year.
(3) For the fourth taxable year following the taxable year beginning before January 1, 2030, in which the exclusion provided by this section is first allowed to the taxpayer, 100 percent of the amount of retirement pay received by a taxpayer from the federal government for service in the uniformed services during the taxable year.
(b) For purposes of this section, “uniformed services” means Armed Forces of the United States of America, the Army National Guard and the Air National Guard when engaged in active duty for training, inactive duty training, or full-time National Guard duty, and the commissioned corps of
the United States Public Health Service.