Here's a list of the general types of income that aren't taxable to members of the military:
- Combat pay
- Basic Allowance for Housing (BAH)
- Basic Allowance for Subsistence (BAS) living allowances
- Housing and cost-of-living allowances while living abroad
- Family allowances
- Death allowances
- Dislocation allowances
- Temporary housing allowances
- Travel allowances
- Moving allowances
- Uniform allowances
- Education allowances
Details regarding the exceptions and specific rules of nontaxable income can be found through the
Armed Forces' Tax Guide .
The wages shown in Box 1 of your Form W-2 from the military shouldn't include any military pay that is excludable from income. If nontaxable income has been included in Box 1 of your Form W-2, you need to ask the payroll office for a corrected Form W-2.