Home  »  Military & Veteran Benefits   »   Supreme Court Hears Arguments in Incarcerated Veteran Benefits Case

Supreme Court Hears Arguments in Incarcerated Veteran Benefits Case

There is a Supreme Court case underway at press time that could determine the future of VA benefits for some incarcerated veterans. Combat veteran Floyd Johnson served in the Army and developed severe post-traumatic stress disorder. Florida courts sentenced him to 40 years behind bars for felony convictions in 2013, and now Johnson’s fight over VA disability compensation is before the Supreme Court.

In 1974, the Supreme Court ruled in Johnson v. Robison that federal trial courts possess authority to hear constitutional challenges against benefit laws passed by Congress.

Veterans Judicial Review Act

The Veterans Judicial Review Act of 1988 allowed veterans to take disputes from local regional offices to the Board of Veterans Appeals, then to the Court of Appeals for Veterans Claims, and finally to the U.S. Court of Appeals for the Federal Circuit. How does all this apply to the current Supreme Court case?

While incarcerated, Johnson applied for disability compensation. The Veterans Benefits Administration evaluated his record, linked his trauma to military service, and granted him a 70 percent disability rating. An administrative appeal pushed that rating to 80 percent.

But federal law says he can’t receive the pay.

>> Never miss benefits news and updates that are important to you.  Sign up today to receive the MyMilitaryBenefits newsletter free to your inbox.

Federal Law Versus Incarcerated Veterans

Under Title 38 Section 5313, the Department of Veterans Affairs caps disability compensation for any veteran imprisoned for more than 60 days on a felony conviction. Ratings of 20 percent or higher drop to a 10 percent payout rate.

And for those with a 10 percent VA disability rating? Those veterans lose half their benefit. There are approximately 100,000 military veterans in state and federal prisons, leaving thousands subject to these VA benefit reductions.

Johnson handwrote a complaint and sued in the U.S. District Court for the Middle District of Florida, demanding a policy change and back pay for all affected prisoners. A federal magistrate judge reviewed the filing and recommended dismissal on the merits. The district judge agreed and closed the case.

Appealing the Decision

Johnson appealed to the 11th Circuit, where judges tossed his case on jurisdictional grounds. The appeals court held that the 1988 act stripped regular trial courts of jurisdiction over veterans benefits fights, including constitutional challenges to federal statutes. The decision forced veterans into agency proceedings that hold no authority to strike down unconstitutional laws.

Johnson petitioned the high court to intervene. On Oct. 5, 2026, the Supreme Court began hearing arguments in Johnson v. United States Congress.

Johnson’s advocates stressed that Congress created the 1988 statute to expand protections for former service members, not eliminate a constitutional review.

They told the court that administrative review boards cannot override federal statutes, leaving imprisoned veterans trapped in a dead end. The outcome of this case could change how incarcerated vets are considered for VA compensation and how they are paid.

A final ruling by the Supreme Court is expected in 2027. This is an ongoing story.

>> Never miss benefits news and updates that are important to you.  Sign up today to receive the MyMilitaryBenefits newsletter free to your inbox.

About the author

Editor-in-Chief

Editor-in-Chief Joe Wallace is a 13-year veteran of the United States Air Force and a former reporter/editor for Air Force Television News and the Pentagon Channel. His freelance work includes contract work for Motorola, VALoans.com, and Credit Karma. He is co-founder of Dim Art House in Springfield, Illinois, and spends his non-writing time as an abstract painter, independent publisher, and occasional filmmaker.