As a frequent contributor here, I must first apologize for my last response to a combat pay question. I messed that up bad. The whole military pay topic has many sub catagories like combat pay, which also has many subs and ifs...is a constantly changing tax world unto itself. There is certainly enough possibilities with this special income to either get software which probably leads you through it, or if using a service, try and chose one near a base that may deal with many of these. (Like a return with farm income & benefits is uncommon to the tax trade in a big city).
no state has the power to tax an active duty military pay all military pay of active combat personal can not be taxed All military pay is untaxed when deployed, however different states do tax a regular pay check of active duty military.Florida for sure does not and they allow people to change residency without ever living there.
Combat-Related Special Compensation (CRSC) is distinct from traditional military retirement pay. While both are forms of compensation for military service, CRSC is specifically designed for veterans with service-connected disabilities and is not classified as retirement pay for tax purposes. Therefore, it does not affect the amount of retirement pay a veteran receives.
The same as any other individual taxpayer using the 1040 federal income tax return with the exception that the military has an exclusion from income tax for income that is earned while deployed in a combat zone.
Tax payer..... Appropriations..... DOD....instillation
The government sets the pay for the military, the government pays the military and tax payers fund the government so that they can pay for the military. Keep in mind military members pay taxes as well so they themselves are paying a portion of their own pay checks.
massachusetts
Not if deployed to a combat zone as defined by federal law (i.e. Afghanistan). If they reenlist while in a combat zone, that bonus is tax free as well. They won't pay federal or state income taxes. If deployed to an area that is not a combat zone (i.e. South Korea), they will pay federal taxes and likely state taxes unless there's an exception offered under the state laws of their home state.
no u dont everything is tax free
yes
In the military you get paid by rank and if you are in a war zone the pay is a bit higher. When you first go into the military you are the lowest rank so you get the lowest pay.
Yes
Yes