Soto Just Killed the 6 Year CRSC Deadline

If you receive Combat-Related Special Compensation — or you think you should — the Supreme Court just changed the rules in your favor. In Soto v. United States (June 2025), a unanimous Court eliminated the 6-year cap on CRSC back pay, and for thousands of military retirees that can mean a lot of extra tax-free money. In this video I break down what the case held, whether it applies to you, and what to do next. ▶️ Related: CRSC vs. CRDP — Which Is Better?    • CRSC vs CRDP: Which Is Better?   I'm Kevin Courtney, a former Marine Corps Judge Advocate and founder of Courtney Military Law Group. I help military retirees with CRSC questions and appeal CRSC denials. WHAT SOTO CHANGED CRSC (10 U.S.C. § 1413a) is tax-free pay that restores the VA offset for combat-related disabilities, for retirees with 20+ years or a medical retirement. Before Soto, back pay was capped at 6 years under the Barring Act (31 U.S.C. § 3702). On June 12, 2025, the Supreme Court unanimously held that the Barring Act's 6-year limit does not apply to CRSC, because the CRSC statute has its own settlement mechanism. HOW FAR BACK CAN YOUR PAY GO? A May 14, 2026 Pentagon memorandum rescinded earlier guidance that had limited newer applicants to their application date. Under the current rule, the effective date for CRSC — no matter when you file — reaches back to the first date you were eligible for retired pay, had your retired pay reduced by a VA waiver, and met the combat-related criteria, subject to the program's historical start dates (June 1, 2003; January 1, 2004; or January 1, 2008, depending on your retirement type). The memo also directs the services and DFAS to review impacted recipients and pay what's owed. WHO THIS MATTERS FOR Current CRSC recipients whose back pay was previously capped at 6 years — your case should be reviewed and recomputed, so check that DFAS follows through. Combat retirees who qualify but never applied — you may be able to reach all the way back to your eligibility date, which for some retirees is over a decade of tax-free back pay. CHAPTERS 0:00 The Supreme Court changed the CRSC rules 0:48 CRSC refresher — what it is and where it comes from 1:19 What Soto actually held 1:42 What it means for your back pay 1:51 The historical backstop (2003 / 2004 / 2008) 2:14 Do you need to act? The two groups 2:24 Group 1 — current CRSC recipients 2:55 Group 2 — never applied for CRSC 3:18 Who benefits most from Soto 3:51 What to do next Think you're owed CRSC back pay, or never applied and want to now? Book a consultation and we'll help you figure out whether CRSC is right for you. 🔗 Learn more: https://courtney.law/practice-areas/c... https://courtney.law/practice-areas/b... 📺 Subscribe: @CourtneyMilitaryLawGroup This video is general information, not legal advice, and does not create an attorney-client relationship.