Military service members: Be sure to claim your 2016 military combat zone tax credit
Over 1,400 military service members still eligible to claim expiring 2016 tax credit
ST. PAUL, Minn. - The Minnesota Department of Revenue is reminding Minnesota service members to take advantage of a refundable military tax credit before it expires
The Credit for Military Service in a Combat Zone for service in 2016 will expire October 15, 2020, for most qualifying service members.
The 2016 credit is $120 per month or partial month served.
“Minnesota recognizes the sacrifice our military service members make when they leave their families and go overseas in service of our country,” said Revenue Commissioner Cynthia Bauerly. “This tax credit is just one of the ways the state acknowledges these service members and we want to ensure they claim the 2016 credit before it expires in October.”
To qualify for the credit, service members must meet each requirement below:
- They were a Minnesota resident during the time of service
- They served in a combat zone or qualified hazardous duty area during 2016
- They received combat pay that is exempt from federal and Minnesota income tax
Find more information on combat zone locations approved for tax benefits from the Internal Revenue Service.
To receive the credit, service members must send the following documents, postmarked by October 15, 2020:
- For active duty members: A copy of your Leave and Earnings Statement for each month of qualifying service
- For National Guard, reservists, and retired or discharged active duty members: A copy of your Form DD-214 for each period of qualifying service.
The department recently sent letters to more than 1,400 service members on how they may qualify for and claim the credit. Service members have already claimed more than $600,000 in refunds for the 2016 credit, with an average refund of $674. Tax credits for service in a combat zone are also available for 2017, 2018, and 2019.
Check out and share our video explaining who qualifies and how to claim the Credit for Military Service in a Combat Zone. For more information, visit the Military Service Members page on our website. You can also sign up for email updates by entering your email address and selecting “Military Information” under Individuals.