Military Spouse Exempt Pay

[ChEAr$]

Our own TheTAxbook (tm) put out an ectra blurb on this situation maybe two years ago when federal law decided to supercede state law.
Check the update service for it. It's on second page, last column as I recall.

[Possi]

From all over the US

I live in a large military area, and I get them from all over. Although the Federal law is the same for military spouses, the states all demand different methods to file for the exemption. Finding these obscure lines, obscure rules and necessary attachments to each state is extremely stressful, especially in the thick of the season.

Taxea, let's say the military spouse's home of record is the same as the servicemember, that spouse's income is not taxable to HI.

[JoshinNC]

True

It is helpful, but seems like most of the military returns I see the military taxpayer met their spouse while stationed outside their domicile, so the spouse doesn't share the same domicile. Really hate those returns...

Those are the most complicated ones in this realm

[taxea]

It is helpful, but seems like most of the military returns I see the military taxpayer met their spouse while stationed outside their domicile, so the spouse doesn't share the same domicile. Really hate those returns...

As soon as the spouse becomes the spouse she/he should change residency to that of the person he/she married if it is to his/her benefit. He/she will, most likely, be moving there when the spouse in the service is done with his/her tour of duty.

If the spouse works in Hawaii his/her income is taxable.

[David1980]

See the explanation here:

http://www.jag.navy.mil/organization/documents/tax/TIM%2002-10%20Encl%202.pdf

Provided a spouse meets the requirements for the application of MSRRA, then their residency status for tax purposes follows that of their active duty spouse, and each state has promulgated regulations in accordance with MSRRA.

It is helpful, but seems like most of the military returns I see the military taxpayer met their spouse while stationed outside their domicile, so the spouse doesn't share the same domicile. Really hate those returns...

[JoshinNC]

Federal Law now dictates pay for military spouses

See the explanation here:

http://www.jag.navy.mil/organization/documents/tax/TIM%2002-10%20Encl%202.pdf

Provided a spouse meets the requirements for the application of MSRRA, then their residency status for tax purposes follows that of their active duty spouse, and each state has promulgated regulations in accordance with MSRRA.

[Possi]

It sure would be nice if we had a "go-to" place for military spouses' exempt income. It seems to me that every single state does it differently, and it requires a phone call and a monumentous amount of time to get it right.

I just did a LA one, and if we had one place to document the way to handle it, I'd sure put my information there.

For LA, go to http://www.revenue.louisiana.gov/for...s/RIB10005.pdf

bam