State tax filing

 According to NYS Military and Veteran Benefits, you may exclude your military pay under these conditions:

Resident service member stationed and living outside New York:

• Did not maintain a permanent residence in New York State during the tax year, and
• Maintained a permanent residence outside New York State during the entire tax year, and
• Spent 30 days or less in New York State during the tax year

Now how to exclude your NYS military pay from the return in Turbo Tax if you fit the conditions listed above

1. Select State tab.  Select NYS
2. The first screen will suggest you file as a resident.  Here select change residency and declare yourself a non-resident
3. Answer the questions until the reach a screen that says New York Income Allocation. If it asks if your income was earned in NYS, say no.
4. Now it will give you a summary of all your W2's. Here you will select edit next to your military pay or for all other W2's entered in your return.
5. Next you should see a screen that is labeled Allocate Wages to New York
6.  Here select Allocate by percentage Record a 0 in this box.
7.  Now you should have a NYS that refunds your entire state withholding for 2024 as your entire military pay is excluded

Caution. Do not try to enter this information on the form itself. Use the procedure exactly the way it is outlined and you should have a tax return that can be electronically filed.