The return I am having trouble with says that the military income received in New Mexico is not taxable, even though I am a resident of New Mexico. How do I fix this?
My active duty military income is taxable in the state of New Mexico, as I am a resident of New Mexico, but Turbo Tax says it is not.
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1 Replies
DanaB
Expert Alumni
Jun 3, 2019 12:15:34 PM
According to the New Mexico Taxation & Revenue website, active duty pay is not taxable in New Mexico.
"Does New Mexico offer tax breaks to active duty military members?
Yes. Active duty income earned by active duty members of the armed forces is exempt from New Mexico’s personal income tax. File a PIT-1 resident tax return and use a PIT-ADJ schedule to deduct any military active duty pay" (New Mexico Taxation & Revenue FAQ Active Duty Pay)