If you’re a Minnesota resident when you join in military service, Minnesota remains your state of residence for tax purposes. This is true no matter where you’re stationed in the U.S., unless you take steps to establish a new residence in another state or change your residency with the military.
What if I lived in another state when I joined the military?
If you were a resident of another state when you joined, you remain a resident of that state This is true even when you’re stationed indefinitely in Minnesota, unless you take steps to establish a new residence here or change your residency with the military.
Does the 183-day rule apply to me if I am not a Minnesota resident?
Minnesota’s 183-day rule, which determines residency based on time spent in the state, does not apply to active-duty members of the military. You can’t be considered a Minnesota resident or part-year resident for tax purposes no matter how many days you spent in the state.
What steps are necessary to establish a new residency?
Changing legal residence requires the following:
- You must be physically present (live) in a new locality.
- You must express your intent to remain there permanently or indefinitely.
Actions that express your intent to change residency include:
- Changing legal documents, such as a will or insurance policies to reflect the new legal residence.
- Changing state of residence records with the military paymaster.
- Applying for homestead status.
- Applying for a driver’s license.
- Registering a car in the new state of residence.
- Registering to vote.
- Consistently using new permanent address on records and correspondence.
No single action determines your state of residence; all factors must be evaluated together. Some factors, such as where you make charitable contributions, play no part.