Not as bad as it seems...
Stolen Valor really pisses me off, so if the SV Facebook page is okay with it, I am too.
If you didn't click the link, the kid is an officer's son. He wore part of his dad's uniform for Halloween and made a bad joke with the text in that pic. Didn't really try to portray himself as a military member. He also apologized and reached out to SV personally.
TL;DR - dumb kid, stupid mistake, not SV, no biggie.