Tax Tips for Military Members

Tax season has once again arrived, and military personnel should know several things to make their returns easier and more beneficial.

For example, Iraq, Afghanistan, Bosnia and Kosovo all qualify as combat zones where military income is tax exempt. For enlisted servicemembers, all income earned in a combat zone is exempt, but for officers, income is excluded up to a certain limit. For 2005, the limit for officers' tax-exempt income was $6,529 a month.