Disabled Veterans Tax Termination Act

Disabled Veterans Tax Termination Act - Amends federal military retired pay provisions to: (1) permit veterans with a service-connected disability of less than 50% to claim both retired pay and disability compensation; (2) eliminate provisions requiring a phase in between January 1, 2004, and December 31, 2013, of concurrent receipt of retired pay and disability compensation; (3) provide a special reduction rule with respect to the concurrent receipt of retired pay and disability compensation in the case of disability retirees with less than 20 years of creditable service; and (4) extend combat-related special compensation to certain veterans with less than 20 years of service who have a combat-related disability.