DanaB27
Expert Alumni

Tax help for military filers

It depends on the kind of self-employment you had in Virginia if your self-employment income is taxable in VA and you have to file a VA state tax return.

 

From VA Tax Military Spouses FAQ:

 

A spouse's income from self-employment may or may not qualify for the exemption, depending on the type of business in which the spouse is engaged.

 

Income you earn from self-employment is exempt from Virginia income tax if the primary source of income from your business is derived from your performance of a service. If your business employs others and/or utilizes significant capital (equipment, vehicles, etc.), then the income you derive from the business will not be exempt from Virginia income tax. For additional information, see Tax Bulletin 10-1.

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