Military Pay
Resident - If the taxpayer is a resident of West Virginia and physically present for more than 30 days they are subject to West Virginia income tax on all income regardless of the source. This includes active duty military pay.
West Virginia offers a subtraction for military income received for members of the National Guard or Armed Forces Reserves called by Executive Orders 13223, or any other current or future military operations deemed to be part of Overseas Contingency Operation (OCO), regardless of whether they are deployed overseas or stateside.
To subtract active duty military income in ProWeb, from the West Virginia Resident Tax Return menu select:
- Subtractions from Income
- Active Duty Military Pay - Enter the applicable wages as a positive number. Please note military orders will need to be attached if taking this subtraction.
If the taxpayer is a resident of West Virginia and was separated from active duty service, they are able to subtract their active duty military pay. Taxpayer must have been on active duty for 30 continuous days prior to separation. They must include a copy of their military orders, DD Form 214, and W-2 with the return.
To subtract active duty military income in TaxSlayer ProWeb, from the West Virginia Resident Tax Return menu select:
- Subtractions from Income
- Active Military Separation - Enter the applicable wages as a positive number. Please note military orders will need to be attached if taking this subtraction.
Nonresident - If the taxpayer is a nonresident of West Virginia stationed in West Virginia whose only source of income is active duty military pay, they are not required to file a West Virginia return.
One spouse is a resident of West Virginia and the other is not - A servicemember’s spouse may elect, for income tax purposes, to use the same state of residence as the servicemember. If a servicemember is not a West Virginia resident but is a resident of another state, his or her spouse can elect to also be a resident of the other state.
If the taxpayers do not elect to use the same resident state, West Virginia requires taxpayers who are not both residents of West Virginia to file a nonresident West Virginia return.
Spouse Income - Military Spouses Residency Relief Act (MSRRA)
The MSRRA allows military spouses who reside with their service member spouse stationed in a nonresident state on military orders to keep their resident state for tax purposes. This means if the spouse has income from the nonresident state, they are not required to pay taxes to the nonresident state but report this income on their resident state return.
In order to be eligible for the income exemption under the MSRRA in West Virginia, the following conditions must be met by the military spouse/employee:
- The service member is present in West Virginia in compliance with military orders.
- The spouse is in West Virginia solely to be with the service member.
- The spouse maintains domicile in another state.
If the military spouse meets the eligibility requirements, they can avoid West Virginia state tax from being withheld from their pay by providing their employer with Form IT-104 Employee's Withholding Exemption Certificate.
To claim a refund of taxes withheld in error from the West Virginia income in ProWeb, from the Nonresident West Virginia Tax Return menu select:
- Subtractions from Income
- Active Duty Military Pay - Enter the wages as a positive number. The military servicemember pay will also need to be subtracted if applicable. Please note military orders will need to be attached if taking this subtraction.
To mark the return for Special Nonresident Income in ProWeb, from the Nonresident West Virginia Tax Return menu select:
- Basic Information
- If your resident state is Active Military, attach Military Orders below - Attach PDF of Military Orders
Note: This is an article on reporting military pay and military spouse pay in the TaxSlayer ProWeb program. It is not intended as tax advice.
Additional Information:
WV TD: Personal Income Tax Forms & Instructions
WV TD: Personal Income Tax of Military Servicemembers
While TaxSlayer Pro strives to make the information and links contained on this page as timely and accurate as possible, TaxSlayer Pro makes no promise or guarantee about the timeliness, accuracy or completeness of the contents of this page. The information contained on this page is for general information and is not intended to be tax advice. The user is also encouraged to review the underlying state resources and publications.