According to Military.com and the Washington DC filing Instructions, active duty military residents of Washington DC are required to file a resident return and include all of their income earned in Washington DC.
If you are a resident of Washington DC, you are required to file a resident return and include all of your income earned in DC.
If you are a nonresident of Washington DC stationed in DC, you are not required to pay state income tax on your active duty military pay. Please keep a copy of your legal residence form with your taxes in case it is requested.
- State Section
- Nonresident DC Return
- Basic Information
- Enter the abbreviation for your domiciliary or legal state of residence
If one spouse is a resident of Washington DC and the other is not, you may wish to file a married filing separate return. You can choose to file Married Filing Separate on separate returns or married filing separate on the same return, whichever is more beneficial for you.