If you’re a U.S. Veteran, you may have some unique tax considerations – military pensions, service-related disability payments, combat zone exclusions, GI Bill benefits, and more. If you have questions, there’s no shortage of available help. We’ll talk about:
3 Top Tax Season Resources for Veterans
Here are some great places to start when looking for information, resources, and support. The following sites are official U.S. Government websites, so you can be sure the information is trustworthy and accurate.
Military OneSource is primarily for active duty, National Guard, and Reserve members and their families, but Veterans have full access for 365 days after separation. Start here:
MyPay is a website maintained by the Defense Finance and Accounting Service (DFAS), an agency of the Department of Defense (DOD), for military members and retirees and DOD employees. This is where you can get information on earnings and retirement pay and find important tax documents like your W-2 and 1099-R.
The Internal Revenue Service has some resources for Veterans including helpful information, special considerations for Veterans, and options for filing for free.
Tax Preparation for Veterans
The Defense Department offers MilTax tax preparation software for free through Military OneSource. MilTax is available to Veterans for 365 days after separation.
MilTax not only provides free tax prep software that’s designed with military life in mind, but you can also access 24/7 live consultation services from tax professionals with special training in military-specific tax situations.
Veteran Tax Questions Answered
Is the GI Bill taxable?
According to the VA, “Payments from all GI Bill programs are tax-free. This is true for you, your dependents, and your survivors.”
For more on this topic:
Are VA disability benefits taxable?
According to the IRS:
Disability benefits received from the VA should not be included in your gross income. Some of the payments which are considered disability benefits include:
- Disability compensation and pension payments for disabilities paid either to Veterans or their families,
- Grants for homes designed for wheelchair living,
- Grants for motor vehicles for Veterans who lost their sight or the use of their limbs, or
- Benefits under a dependent-care assistance program.
If you are a military retiree and receive your disability benefits from the VA, see IRS Publication 525 for more information.IRS: Information for Veterans