Income & Retired-Pay Tax Exemption

There are no individual income taxes in Alaska. Distributions received from the Thrift Savings Plan (TSP) are not taxed.

Pay received in a designated combat zone is exempt from Alabama income tax. Who is eligible for the Alabama Income Tax Exemption for Military Combat Pay? Service members receiving pay for service in a combat zone that has been designated by the President of the U.S. are eligible for the exemption.

Military pay received by service members serving in an active or reserve component of the U.S. Armed Forces is exempt from Arkansas income tax.

Military retired pay is exempt from Arkansas income taxes.

Military disability retirement pay received as a pension, annuity or similar allowance for personal injury or sickness resulting from active service in the U.S. Armed Forces should not be included in taxable income. Some of the payments which are considered disability benefits include:

The Arkansas Military Family Relief Act provides the following exemptions:

Eligible disabled Veterans do not have to pay taxes on specially adapted vehicles or equipment that are purchased with assistance from the VA.

Arkansas does not tax Social Security benefits.

All military retired pay is exempt from Arizona income taxes.

Military disability retirement pay received as a pension, annuity or similar allowance for personal injury or sickness resulting from active service in the U.S. Armed Forces should not be included in taxable income. Some of the payments which are considered disability benefits include:

Income earned in Arizona by a nonresident spouse of a nonresident active duty service member is not taxed in Arizona if all the following apply:

Arizona does not tax Social Security benefits.

Arizona offers deployed service members a one year exemption on vehicle license tax and registration fees, once per deployment for up to two vehicles. This exemption can be claimed during the deployment and for up to one year after the service member redeploys or is released from active duty.

Beginning in tax year 2025 (taxes filed after 1 January 2026, and before January 1, 2030), California has authorized a tax exclusion of $20,000 of military retired pay.

A nonresident service member's spouse may be exempt from paying California taxes on income earned while stationed in California.

Military pay received by a resident service member serving on active duty in a combat zone, or Qualified Hazardous Duty Area (QHDA) that is excluded from their federal adjusted gross income is also exempt from California income tax.

California does not tax Social Security benefits.

May claim a military retired pay subtraction up to the following amounts:

Former Colorado resident service members who reacquire Colorado residency can claim an income tax subtraction for military pay (included in their federal taxable income) they received for active duty service in the U.S. Armed Forces after reacquiring Colorado residency.

Nonresident active duty service members are exempt from the Colorado Specific Ownership Tax on their vehicles. Service members must be the owner or co-owner of the vehicle and complete the Colorado Department of Revenue, Nonresidence and Military Service Exemption from Specific Ownership Tax Affidav

For tax years beginning January 1, 2025, taxpayers age 55 to 64 at the end of the tax year may subtract the entire amount of Social Security income included in their federal taxable income if their adjusted gross income is less than the following thresholds:

Federally taxed military retired pay is not taxed by Connecticut.

Military disability retirement pay received as a pension, annuity or similar allowance for personal injury or sickness resulting from active service in the U.S. Armed Forces is not taxed in Connecticut. Some of the payments which are considered disability benefits include:

Service members have a 180 day extension to file and pay their Washington, D.C. taxes after they return from service in a combat zone or contingency operation. Spouses filing a joint return are also offered this extension. Washington, D.C. Tax Extension Forms (under Forms select Submit an Extension)

Military disability retirement pay received as a pension, annuity or similar allowance for personal injury or sickness resulting from active service in the U.S. Armed Forces should not be included in taxable income. Some of the payments which are considered disability benefits include:

Social Security benefits are exempt from Washington, D.C. income taxes.

Delaware does not have state or local sales taxes.

Delaware resident retired service members are eligible for a military retired pay income tax exclusion of $12,500 of their military retired pay.

Military disability retirement pay received as a pension, annuity or similar allowance for personal injury or sickness resulting from active service in the U.S. Armed Forces should not be included in taxable income. Some of the payments which are considered disability benefits include:

Delaware does not tax Social Security benefits.

There are no individual income taxes in Florida. Distributions received from the Thrift Savings Plan (TSP) are not taxed.

Florida offers an exemption from local business taxes and fees imposed under Florida Business Tax Statutes, Chapter 205 for eligible Veterans, their spouse or surviving spouse, and spouses of service members who are stationed in Florida.

Nonresident military spouses do not have to pay Georgia income tax when they are stationed in Georgia. Who is eligible for the Georgia Income Tax Exemption for Nonresident Military Spouses? To be eligible nonresident military spouses must meet the following requirements:

The tax filing deadline for service members deployed to a combat area is extended until 180 days after their deployment ends.

Retired service members are eligible for the following state tax exemptions on military retired pay:

Georgia provides a tax credit for resident National Guard service members serving on active duty, or active duty for training in the U.S. Armed Forces for more than 90 consecutive days.

Service members who die as a result of wounds, disease, or injury they received while serving in a combat zone while serving in the U.S. Armed Forces, are exempt from all Georgia income taxes for the taxable year of their death.

A disabled Veteran who receives a VA grant for the purchase and modification of a specially adapted vehicle to accommodate their disability is exempt from paying the state sales tax on the vehicle (only on the original grant). Georgia Code 48-8-3

National Guard and U.S. Armed Forces Reserve members may exclude their drill and annual-training pay from Hawaii income tax, up to the amount an E-5 with eight years of service receives for 48 drills (12 weekends) plus 15 days of annual training. The exempt amount is adjusted each year; see the Hawaii Department of Taxation.

Military retired pay is exempt from Hawaii Income taxes.

Military disability retirement pay received as a pension, annuity or similar allowance for personal injury or sickness resulting from active service in the U.S. Armed Forces should not be included in taxable income. Some of the payments which are considered disability benefits include:

Specially adapted vehicles that have been provided to service-connected disabled Veterans by the VA are exempt from Hawaii county vehicular taxes.

Nonresident service member s serving on active duty in the U.S. Armed Forces who are stationed in Hawaii are exempt from the Hawaii vehicle weight tax for one vehicle they own.

Military retired pay, that is included in federal gross income, is exempt from Iowa income tax.

Military student loan repayments included in federal adjusted gross income are exempt from Iowa income tax for active and reserve component service members who are serving in an active duty status.

All tax is forgiven if a service member who was married at the time of death and a joint return or a married filing separate return was filed for the year prior to death.

Military pay that is included in a service member's federal adjusted gross income (AGI) may be subtracted from their Illinois gross income, including:

Illinois does not tax military retired pay. Illinois Department of Revenue Publications

Illinois does not tax government disability plans. Illinois Department of Revenue, Publication 120 Illinois Department of Revenue Publications

Illinois does not tax Social Security benefits that are federally taxed.

Indiana resident service members serving in an active or reserve component of the U.S. Armed Forces are exempt from Indiana taxes on their military pay.

Military retired pay is exempt from Indiana Income tax.

Military disability retirement pay received as a pension, annuity or similar allowance for personal injury or sickness resulting from active service in the U.S. Armed Forces should not be included in taxable income. Some of the payments which are considered disability benefits include:

Indiana does not tax Social Security benefits.

Military retired pay that is included in federal adjusted gross income is not taxed in Kansas.

Military pay received by resident service members that is federally taxed is also taxable by Kansas.

Veterans who have service-connected disability rating may be eligible for an additional Kansas state tax exemption of $2,250. For tax year 2025 and after this exemption increases to $2,320.

A nonresident Service member's Spouse may be exempt from paying Kansas taxes on income earned while stationed in Kansas. Who is eligible for Kansas Income Tax Exemption for Nonresident Military Spouses? A nonresident military Spouse must meet the following requirements to be exempt from Kansas incom

Social Security benefits that are included in federal adjusted gross income are not subject to Kansas income tax.

Beginning on 1 July 2026, honorably discharged Veterans who have a 100% service-connected total and permanent disability rating, or are declared unemployable, are exempt from paying Kansas sales tax on purchases up to $24,000 per year.

Kansas offers a motor vehicle tax exemption on two vehicles for Kansas Resident Service members serving in an active or reserve component of the U.S. Armed Forces. For more information Service members should contact the county treasurer in their county of residence.

All military pay received for service in the U.S. Armed Forces is exempt from Kentucky income tax.

The military retired pay of Service members who retired before January 1, 1998, is completely exempt From Kentucky income taxes. Service members who retired from the U.S. Armed Forces after December 31, 1997, may exclude up to $31,110 of their military retired pay from Kentucky income taxes.

Military disability retirement pay received as a pension, annuity or similar allowance for personal injury or sickness resulting from active service in the U.S. Armed Forces should not be included in taxable income. Some of the payments which are considered disability benefits include:

Service members serving in the U.S. Armed Forces who are deployed to an area designated as a combat zone are not required to file an income tax return and pay the taxes until 12 months after they return from deployment. IRS Combat and Hazardous Duty Areas for Tax Purposes

Kentucky does not tax Social Security benefits.

Nonresident military spouses do not have to pay income tax in Louisiana for wages earned in Louisiana. Who is eligible for the Louisiana Nonresident Military Spouse Income Tax Exemption? To be eligible nonresident military spouses must meet the following requirements:

Military disability retirement pay received as a pension, annuity or similar allowance for personal injury or sickness resulting from active service in the U.S. Armed Forces should not be included in taxable income. Some of the payments which are considered disability benefits include:

Military pay received for service in a combat zone that is excluded from a service member's federal adjusted gross income is also exempt from Louisiana income tax.

Louisiana does not tax military retired pay. Retirement benefits received for service in the U.S. Armed Forces are excluded from Louisiana individual income tax.

Military retired pay is not taxed in Massachusetts.

Military disability retirement payreceived as a pension, annuity or similar allowance for personal injury or sickness resulting from active service in the U.S. Armed Forces should not be included in taxable income. Some of the payments which are considered disability benefits include:

Massachusetts offers a motor vehicle excise tax exemption for eligible Service members, disabled Veterans, former POWs and their Surviving Spouses.

Disabled Veterans who suffered the loss of, or permanent loss of the use of, both legs or both arms or one leg and one arm or has been approved for a Massachusetts Disabled Veteran license plate are eligible for a motor vehicle sales tax exemption for one motor vehicle for personal, non-commercial u

Massachusetts does not tax Social Security benefits.

Maryland lets Veterans subtract military retirement income before determining Maryland tax: up to $12,500 for those under age 55, and up to $20,000 for those at least age 55 on the last day of the tax year. Claimed on Maryland Form 502.

Maine does not tax military retired pay.

Military disability retirement pay received as a pension, annuity or similar allowance for personal injury or sickness resulting from active service in the U.S. Armed Forces should not be included in taxable income. Some of the payments which are considered disability benefits include:

Maine follows many of the federal tax rules for pay received by a service member who is serving in a combat zone (receiving hostile fire and imminent danger pay).

Maine does not tax Social Security benefits.

Military retired pay is exempt from Michigan individual income tax.

Active duty military pay is exempt from Michigan individual income tax.

Michigan provides a state retirement benefit for former Michigan National Guard Service members who served a minimum of 19 years, 6 months and 1 day of active service.

Minnesota does not tax military pay received by resident service members who are serving in an active or reserve component of the U.S. Armed Forces.

Minnesota provides tax relief to the family of a service member who died while serving on active duty in the U.S. or United Nations Armed Forces. Taxes are forgiven under the following circumstances:

Minnesota does not tax military retired pay. Retired service members who claim t his subtraction may not claim the nonrefundable credit for past military service.

Minnesota resident Veterans of the U.S. Armed Forces who have a n adjusted gross income that is less than $37,500 may qualify for a nonrefundable tax credit up to $750. Part-year or nonresidents may qualify for the credit based on the percentage of their income that is taxable in Minnesota.

Wages earned in Minnesota by a nonresident military spouse are not taxable by Minnesota if they meet the following requirements:

Military disability retirement pay received as a pension, annuity or similar allowance for personal injury or sickness resulting from active duty service in the U.S. Armed Forces should not be included in taxable income. Some of the payments which are considered disability benefits include:

Reserve component service members called to federal active duty in the U.S. Armed Forces are eligible for a six month extension to file and pay their taxes. Service members serving outside the U.S.

Service members who are serving on active duty in the U.S. Armed Forces are eligible for a vehicle registration tax exemption until 90 days after they are released from active duty service.

Resident service members serving in an active or reserve component of the U.S. Armed Forces can deduct their military pay from their Missouri taxable income as long as their military pay is included in their federal adjusted gross income.

A nonresident spouse of a nonresident service member, who is stationed in Missouri under military orders, is exempt from income taxes on wages earned in Missouri. The nonresident spouse must pay taxes (if required) to their state of residence.

Military disability retirement pay received as a pension, annuity or similar allowance for personal injury or sickness resulting from active service in the U.S. Armed Forces should not be included in taxable income. Some of the payments which are considered disability benefits include:

Military retired pay is exempt from Mississippi income tax. Mississippi Individual Income Tax Instructions

Mississippi does not tax Veteran disability pensions. Military disability retirement pay received as a pension, annuity or similar allowance for personal injury or sickness resulting from active service in the U.S. Armed Forces should not be included in taxable income.

Mississippi does not tax Social Security benefits.

The following military pay can be excluded from Montana Income tax:

Montana resident retired service members who are working in the state may be eligible for an exemption of part of their military retired pay.

Military disability retirement pay received as a pension, annuity or similar allowance for personal injury or sickness resulting from active service in the U.S. Armed Forces should not be included in taxable income. Some of the payments which are considered disability benefits include:

Property owned by a Veteran's organization that is used primarily for educational, fraternal, benevolent, or purely public charitable purposes rather than for gain or profit, and any personal property used in the building, is exempt from taxes.

Military retired pay received for 20 or more years of service in the U.S. Armed Forces or by service members who are medically retired can be deducted from North Carolina adjusted gross income.

Military disability retirement pay received as a pension, annuity or similar allowance for personal injury or sickness resulting from active service in the U.S. Armed Forces should not be included in taxable income. Some of the payments which are considered disability benefits include:

Any state taxes that are owed by a resident service member who was killed in a combat zone or due to wounds, disease, or injury they received in a combat zone will be forgiven.

Social Security benefits that are taxed on a North Carolina resident's federal income tax return may be deducted from their state income tax return.

Military pay received by resident active and reserve component service members that is federally taxable is exempt from North Dakota income taxes.

Military retired pay is not taxed in North Dakota.

North Dakota offers the same extension to file state income tax that is offered under IRS regulations to service members who are serving in a combat zone or in support of a contingency operation.

Military disability retirement pay received as a pension, annuity or similar allowance for personal injury or sickness resulting from active service in the U.S. Armed Forces should not be included in taxable income. Some of the payments which are considered disability benefits include:

Military retired pay that is included in a retired service members federal gross income is exempt from Nebraska income tax.

Nebraska follows federal guidelines for tax filing extensions and tax exempt military pay received by a service member while serving in a designated combat zone, contingency operation, or in a qualified hazardous duty area.

Income earned by a nonresident military spouse is exempt from Nebraska income tax if they meet the following conditions:

Nebraska offers the Nebraska Disabled Veteran Motor Vehicle Tax Exemption for one motor vehicle owned and used for personal transportation by a disabled or blind Veteran of the U.S. Armed Forces.

Social Security benefits that are included in federal adjusted gross income are excluded from Nebraska State Income taxes .

A nonresident Military spouse who lives in New Jersey does not have to pay state income tax on wages earned in New Jersey.

U.S. Armed Forces pensions are exempt from New Jersey income tax.

New Jersey does not tax VA disability income. New Jersey, Military Personnel and Families Understanding Income Tax

Veterans are eligible for a $6,000 exemption on their New Jersey income tax return if they are a Veteran of the U.S. Armed Forces who was honorably discharged or released under honorable circumstances from active duty service any time during the last tax year.

New Jersey will not tax the income of a resident service member who dies while serving in a combat zone or qualified hazardous duty area , or who dies as a result of wounds, disease, or injuries received in a qualifying area in the year of their death.

New Mexico offers a partial tax exemption of military retired pay up to $30,000.

Nonresident military spouses do not have to pay income tax for wages earned while they are stationed in New Mexico. Who is eligible for a New Mexico Tax Exemption for Nonresident Military Spouses? To be eligible nonresident military spouses must meet the following requirements:

Military disability retirement pay received as a pension, annuity or similar allowance for personal injury or sickness resulting from active service in the U.S. Armed Forces should not be included in taxable income. Some of the payments which are considered disability benefits include:

Certain disabled Veterans are eligible for an exemption from registration fees and excise taxes for one vehicle. Who is eligible for the New Mexico Disabled Veterans Exemption from Vehicle Registration Fees? Honorably discharged resident Veterans who have lost or lost the use of one or both arms (at

There are no individual income taxes in Nevada. Distributions received from the Thrift Savings Plan (TSP) are not taxed.

Military retired pay received by retired service members is exempt from New York State, New York City, and Yonkers income taxes.

A nonresident spouse of a noresident service member stationed in New York under military orders is exempt from New York income taxes on wages earned in New York. The nonresident spouse must pay taxes (if required) to their state of residence.

Military pay received by an active duty service member serving in an area designated as a combat zone is exempt from New York taxes.

New York National Guard Service members called to state or federal active duty can subtract their military pay from their adjusted gross income. Service members can take this subtraction for the duration of their active duty service. Active duty for training does not qualify.

Military disability retirement pay received as a pension, annuity or similar allowance for personal injury or sickness resulting from active service in the U.S. Armed Forces should not be included in taxable income. Some of the payments which are considered disability benefits include:

New York State does not tax Social Security benefits.

New York offers a full exemption from New York sales and use tax on a motor vehicle purchased in another state by a New York resident service member serving in the U.S. Armed Forces.

New York resident service members who do not live in New York can defer their sales tax payment until they separate from the U.S. Armed Forces or return to New York. Who is eligible for the New York Vehicle Sales Tax Deferral? Service members must meet the following requirements to be eligible:

U.S. Armed Forces service members serving on active duty and stationed outside Ohio can deduct their military pay from Ohio Income taxes (military pay must be included in federal adjusted gross income). In addition, they are not required to pay Ohio school district income tax.

Military retired pay can be deducted from Ohio Income taxes. Ohio Revised Code 5747.01(23)

Military disability retirement pay received as a pension, annuity or similar allowance for personal injury or sickness resulting from active service in the U.S. Armed Forces should not be included in taxable income. Some of the payments which are considered disability benefits include:

A nonresident military spouse of a nonresident service member stationed in Ohio under military orders is exempt from Ohio income taxes and School District Taxes.

Ohio does not tax Social Security benefits.

Retired service members can subtract military retired pay earned for service prior to October 1, 1991, from their Oregon income taxes. Any military retired pay earned on or after 1 October 1991 may not be subtracted.

Oregon allows the same six-month extension for filing and paying state income taxes for service members (and their spouse when filing jointly) who are serving in a designated combat zone or hazardous duty area as allowed by the IRS.

Nonresident military spouses do not have to pay Oregon income taxes for wages earned in Oregon. Who is eligible for the Oregon Nonresident Military Spouse Tax Exemption: To be eligible nonresident military spouses must meet the following requirements:

Military disability retirement pay received as a pension, annuity or similar allowance for personal injury or sickness resulting from active service in the U.S. Armed Forces should not be included in taxable income. Some of the payments which are considered disability benefits include:

Oregon does not tax Social Security benefits.

Military retired pay is not taxable in Pennsylvania.

Pennsylvania taxes the difference between military pay and civilian wages when an employer compensates a reserve component service member. However, differential pay is not taxed for service members serving on active duty in a combat zone or hazardous duty area.

Military disability retirement pay received as a pension, annuity or similar allowance for personal injury or sickness resulting from active service in the U.S. Armed Forces should not be included in taxable income. Some of the payments which are considered disability benefits include:

A nonresident service member's spouse may be exempt from paying Pennsylvania taxes on income earned while stationed in Pennsylvania.

Pennsylvania does not tax Social Security benefits.

Military retired pay is exempt from Rhode Island personal income tax. Rhode Island General Laws 44-30-12 Rhode Island Division of Taxation Publications Thrift Savings Plan (TSP) does not withhold taxes for state or local income tax, but it is reported annually on IRS Form 1099-R.

Military pay received by a resident service member follows federal tax rules and is subject to Rhode Island income tax.

Military disability retirement pay received as a pension, annuity or similar allowance for personal injury or sickness resulting from active service in the U.S. Armed Forces should not be included in taxable income. Some payments considered disability benefits include:

Military pay received by a nonresident service member stationed in Rhode Island is not subject to Rhode Island income tax. If the service member holds a separate job, the income received from that job is subject to Rhode Island income tax.

South Carolina does not tax military retired pay.

Military disability retirement pay received as a pension, annuity or similar allowance for personal injury or sickness resulting from active duty service in the U.S. Armed Forces should not be included in taxable income. Some of the payments which are considered disability benefits include:

Income received by National Guard or U.S. Armed Forces Reserve service members for annual training, weekend drills, and other inactive duty training is generally exempt from South Carolina Income Tax.

There are no individual income taxes in South Dakota. Distributions received from the Thrift Savings Plan (TSP) are not taxed.

Tennessee does not have a general state income tax. Residents do not have to file an individual state income tax return.

There are no individual state income taxes in Texas. Distributions received from the Thrift Savings Plan (TSP) are not taxed.

Utah provides a tax credit for military retired pay that is included in their federal adjusted gross income. The amount of tax credit is the product of the retired service members federally taxable military retired pay multiplied 0.0455.

The spouse or dependent child of a service member who died while serving on active duty in the U.S. Armed Forces or a reserve component service member who died in the line of duty while serving on inactive duty for training are eligible for a tax credit on their survivor benefits.

Military disability retirement pay received as a pension, annuity or similar allowance for personal injury or sickness resulting from active service in the U.S. Armed Forces should not be included in taxable income. Some of the payments which are considered disability benefits include:

Those filing taxes on behalf of a service member who died as a result of service in a combat zone may be eligible for a tax credit for the taxes owed in the year of the service member's death.

Resident service members serving on active duty for 90 or more days who earn less than $30,000 (base pay) can deduct up to $15,000 from their Virginia Income tax. For every $1 of income over $15,000, the maximum subtraction is reduced by $1.

Virginia National Guard Service members, in pay grades O-6 and below can deduct their National Guard pay that is received for up to 39 calendar days of service or $5,500, whichever is less.

Income earned by a nonresident military spouse, who is in Virginia only to be with their nonresident service member spouse who is permanently stationed in Virginia is exempt from Virginia Income tax. Virginia Department of Taxation, Service Members and Spouses Residency Frequently Asked Questions

Military pay that is received by a service member serving in a combat zone or hazardous duty is not taxed in Virginia.

Virginia offers an income subtraction of $40,000 for Veterans receiving military retired pay.

Military retired pay received by a Medal of Honor recipient is not taxed in Virginia. The subtraction does not apply to benefits received by a surviving spouse.

Military disability retirement pay received as a pension, annuity or similar allowance for personal injury or sickness resulting from active service in the U.S. Armed Forces should not be included in taxable income. Some of the payments which are considered disability benefits include:

Virginia offers extensions to file and pay Virginia income taxes for service members and their spouse. Service members must serve in one of the following situations to be eligible:

Veterans who served in the U.S. Armed Forces or the Virginia National Guard who have a service-connected, 100%, total and permanent disability rating from the VA are eligible for a Sales and Use Tax Exemption on the purchase of one vehicle.

Virginia does not tax Social Security benefits.

Military pay is exempt from Vermont income taxes for resident service members serving on full-time active duty in the U.S. Armed Forces when they are serving outside of Vermont.

Vermont offers a tiered tax exemption for military retired pay based on the Veterans Federal Adjusted Gross Income (AGI).

A nonresident military spouse stationed in Vermont may be eligible for an income tax exemption for wages earned in Vermont. To be eligible a military spouse must answer yes to the following questions:

Vermont offers a tax credit for low income Veterans who served on active duty in the U.S. Armed Forces. Veterans may be eligible for a tax credit based on their federal adjusted gross income (AGI):

Military disability retirement pay received as a pension, annuity or similar allowance for personal injury or sickness resulting from active service in the U.S. Armed Forces should not be included in taxable income. Some of the payments which are considered disability benefits include:

There are no individual income taxes in Washington.

Military pay received by resident service members serving on active duty in the U.S. Armed Forces may be subtracted from their Wisconsin taxable income.

Wisconsin resident service members serving outside the United States and Puerto Rico on the annual tax filing deadline are authorized a two month extension to file their Wisconsin income tax return.

Military retired pay is not taxed in Wisconsin.

Military disability retirement pay received as a pension, annuity or similar allowance for personal injury or sickness resulting from active service in the U.S. Armed Forces should not be included in taxable income. Some of the payments which are considered disability benefits include:

Wisconsin does not tax Social Security benefits.

West Virginia does not tax military retired pay.

Income earned by a nonresident spouse of a nonresident service member stationed in West Virginia is exempt from West Virginia income taxes.

Military disability retirement pay received as a pension, annuity or similar allowance for personal injury or sickness resulting from active service in the U.S. Armed Forces should not be included in taxable income. Some payments considered disability benefits include:

Service members who die while serving in a combat zone, or from wounds, disease, or injuries they received while serving in a combat zone will not owe taxes for the year of their death.

There are no individual income taxes in Wyoming. Distributions received from the Thrift Savings Plan (TSP) are not taxed.

The Wyoming Game and Fish Department offers free resident general elk, general deer, game bird/small game and daily fishing licenses to resident service members on leave during active duty service in a combat zone.