WASHINGTON - As far as U.S. Rep. Ted Strickland is concerned, an outdated law is costing Ohio's veterans millions of dollars each year.

Strickland released a report earlier this week stating that 9,600 veterans across the state are losing $44.6 million annually in benefits because of the Disabled Veterans Tax.

This tax affects veterans who receive military retirement pension benefits and disability benefits from the Department of Veterans Affairs because of service-related disabilities.

A law passed in 1891 forbids "concurrent receipt" of both military retirement benefits and disability benefits. The military retirement benefits of those receiving both are reduced on a dollar-for-dollar basis.

"The president and the House leadership continue to callously force retired veterans to subsidize their own benefits through this ill-conceived tax. It's shameful," Strickland said in a written statement.

"This tax denies millions in benefits for disabled veterans who selflessly served our country.

It's long past time to put an end to it."

Prepared by the Minority Staff of the House Committee on Government Reform, the report details the impact on veterans across Ohio and in

the 6th Congressional District, which includes Lawrence County.

There are 41,092 veterans in Ohio who receive military retirement benefits. Of these veterans, 23 percent also receive disability benefits from the VA and are subject to the Disabled Veterans Tax, according to the report.

Across the state, the Disabled Veterans Tax costs veterans $3.7 million each month in lost disability benefits - totaling $44.6 million each year.

In the 6th Congressional district alone, there are 2,362 veterans who receive military retirement benefits. Of these veterans, 562

also receive disability benefits. The Disabled Veterans Tax costs veterans $236,000 each month in lost disability benefits. This is equivalent to $2.8 million annually.

Proctorville resident Dallas Crabtree, 76,

outlined his situation to Strickland in July at a meeting at the Lawrence County Court-house.

Crabtree served in three wars - World War II, Vietnam and Korea. His military pension is $1,000 a month, but because the VA increased the amount of his disability payments, he has continued to lose more and more of his military pension under this system.

Now, the VA has taken all of his military retirement, he said Tuesday.

"It don't make me feel good," he said.

"I am losing $1,000 a month. I should get both."

Needless to say, Crabtree said he feels like he is being cheated because if he had worked for any government agency and retired, he would receive both, but that is not how it works with military retirees, he said.

"Ever since I retired in 1967, they have been nipping at it. I would say I have lost $50,000 over the years," Crabtree said in July. "Why send all that money overseas and then let our own people suffer?"

Strickland, who serves on the House Committee on Veterans Affairs, cosponsored legislation that he hopes will eliminate the tax.

House Bill 303 is sponsored by 366 Members of the House, meaning that it would pass by a huge margin if it were allowed to the floor for a vote.

However, President Bush has threatened to veto any legislation that eliminates the Disabled Veterans Tax.

"This tax is being sustained by pure, unadulterated politics," Strickland said.

"President Bush and Congressional leaders continue to slash taxes for the richest among us, but they refuse to eliminate this hugely unfair tax on our nation's veterans.

"It's time for the President to show a little compassion for the heroes who have selflessly sacrificed their health and their bodies to defend our nation and allow them this tax relief."