Armed Forces Tax Information
I Am Serving In The Armed Forces Outside A Combat Zone. Is Any Part Of My Military Pay Excluded From Gross Income?
Payment for service outside a designated combat zone is not excluded from income unless the pay is hostile fire/imminent danger pay for serving an area in direct support of military operations in the combat zone. The Department of Defense certifies areas that meet these requirements. Hostile fire/imminent danger pay received for service in a non-certified area is taxable. Generally, hostile fire/imminent danger pay is included on Forms W-2 for persons who do not qualify for the exclusion and not included on Forms W-2 for persons who do qualify for the exclusion.
Note If you need professional help with "Armed Forces Tax Information" or have other tax questions, we can help you find a local licensed CPA for a free, no-obligation consultation.