If you are a military servicemember, you may be subject to special tax reporting regulations.
- Moving Expenses If you are an active duty military servicemember and you move because of a permanent change of address (military orders), you can deduct reasonable unreimbursed expenses incurred for moving you and members of your household to your new home.
- Combat Pay Military pay received for military service in a combat zone as an enlisted person or warrant officer is not taxable. The exclusion is capped for officers.
- Extension of Deadlines Filing deadlines, tax payment due dates, deadlines for claiming refunds and certain other actions are automatically extended for qualifying military servicemembers.
- Uniform Cost and Upkeep Generally, you cannot deduct the cost of your uniform or upkeep. However, you can deduct unreimbursed expenses for the cost and upkeep of uniforms that you can't wear when off duty.
- Joint Returns If one spouse is unable to sign a return due to military duty, a power of attorney may be used to file the return.
- Travel to Reserve Duty Unreimbursed travel expenses to perform reserve duties more than 100 miles may be deducted on your return.
- ROTC Students Students in advanced training that receive subsistence allowances do not need to claim the income.
- Transitioning Back to Civilian Life You might be able to deduct costs that were incurred while looking for a new job. Expenses can include travel, fees for resume preparation, and outplacement agency fees. Moving expenses may be deductible if your move is closely related to the start of work at a new job location, and you meet certain tests.
- Tax Help A majority of military installations offer free tax filing and preparation assistance during the filing season.
- Tax Information IRS Publication 3, Armed Forces’ Tax Guide, summarizes many important military-related tax topics.
Additional information may be found in IRS Publication 3, or may be ordered by calling 1-800-TAX-FORM (800-829-3676)