Soldiers and sailors from Minnesota who served recently in combat zones should keep Oct. 15 in mind. It’s the deadline for claiming a special state tax credit worth $120 for each month in harm’s way.
This year’s filing deadline is the last chance for armed forces members stationed in combat zones any time during 2010. Those serving from 2011 through 2013 still can apply on an ongoing basis, Minnesota Revenue announced.
The tax credit applies to both veterans and to service members on active duty. There are three main requirements:
• Minnesota is the soldier/sailor’s home of record.
• He/she must have served in a combat zone or hazardous duty area during the year of application. (The Internal Revenue Service lists eligible areas at http://www.irs.gov/uac/Combat-Zones.)
• The member must have received combat pay.
Applying takes a single form, M99 (Credit for Military Service in a Combat Zone), for the year involved. The form is available at the Minnesota Revenue Web site. The form asks for proof of service, which members already have or can obtain.
The 2010 credit is $120 for each month in the combat zone, and a partial month counts. So, even a day can qualify for a full month’s benefit! The tax credit can mean hundreds of dollars for active duty, Reserve, National Guard, retired and discharged military men and women from Minnesota. Survivors also can apply on behalf of deceased military members who qualify.
For a complete description of the combat zones tax credit, go to: http://www.revenue.state.mn.us/individuals/individ_income/Pages/Credit_for_Military_Service_in_a_Combat_Zone.aspx.
Minnesota Revenue also details other tax breaks for military on its Web site. .
EricJohn Ltd. can help both active duty members and veterans claim the tax gratitude Minnesota offers for their service.