Active Pay Exemption

See if you qualify for the State Active Military Pay Tax Exemption:

Alabama
No. Active military pay is not tax exempt.  However, military allowances paid to active-duty military, National Guard, and active reserves for quarters, subsistence, uniforms, and travel is exempt.  Also, compensation received from the United States for active service as a member of the Armed Forces in a combat zone designated by the President of the United States is exempt.

Alaska
Yes. Alaska does not have a personal income tax.

Arizona
Yes.

Arkansas
Yes.

Florida
Yes.  Florida does not have a personal income tax.

Hawaii
Yes. Partially. Residents may exclude up to $8,082 of HI National Guard or Reserve duty pay from income beginning tax year 2023.

Idaho
Yes.

Illinois
Yes.

Iowa
Yes.

Kansas
Only pay received while serving in a designated combat zone or while hospitalized due to an injury received in a combat zone; officer exclusion amount limited.

Kentucky
Yes.

Louisiana
Only Combat pay and hazardous duty pay is exempt.

Maine
Yes. But only if you’re a Maine resident who is stationed outside of Maine.

Massachusetts
Yes.  Only $8,000 is exempt.

Michigan
Yes. 

Minnesota
Yes.  Minnesota residents may exclude active-duty military pay for services performed in Minnesota.

Mississippi
Yes.  Partial. Up to $10,000. Guard & Reserve up to $15,000 exempt. Combat pay exempt.

Missouri
Yes. 

Montana
Yes. 

Nevada
Yes.  Nevada does not have an income tax.

New Hampshire
Yes.  New Hampshire has no income tax.

New Jersey
Yes. 

New Mexico
Yes. 

New York
Yes. 

Ohio
Only pay earned while mobilized and stationed outside the U.S. is exempt.

Oklahoma
Yes.

Oregon
Yes.  Partial.  Only up to $6,000 is exempt.

Rhode Island
Yes.

South Dakota
Yes.  South Dakota has no income tax.

Tennessee
Yes.  Tennessee does not have an income tax rate.

Texas
Yes.  Texas does not have a personal income tax.

Washington
Yes.  Washington state does not have an income tax.

Wyoming
Yes.  Wyoming does not have a state income tax.