Am I exempt from paying NJ state tax while in the military

[djricanmami]

Just to give you some background. My home of record is NJ. I haven't lived there since I enlisted nor do I intend to return. In addition, I have been stationed overseas for over a year.

[AnnS7]

If your home of record was New Jersey when you entered the military, you remain a resident of New Jersey for income tax purposes, unless you qualify for nonresident status by meeting all three of the following requirements:

1. You did not maintain a permanent home in New Jersey; and

2. You did maintain a permanent home outside of New Jersey (ships, barracks, billets, or bachelor officer quarters do not qualify); and

3. You did not spend more than 30 days in New Jersey during the taxable year.

If you meet the three conditions for nonresident status, file Form DD-2058-1, State Income Tax Exemption Test Certificate, with your payroll or finance officer to stop New Jersey income tax from being withheld from your military pay.

In Turbo Tax, as you work through the state return, watch for a page titled “Less Common Filing Situations”.  Check the second box, “I need to verify my main form or residency selection”.  Answer the questions related to military residency, then on a following page enter your non-military wages in the box titled “Wage Income Attributed to New Jersey”. (If your only wages were military wages, enter zero.)   This should exempt your military pay from NJ tax.  

[andenap]

If I qualify, how do I reclaim the money I have paid via tax return for previous years paid?

[TomD8]

If you previously filed incorrect NJ returns, your only remedy is to file an amended NJ return, NJ Form NJ-1040X, for each incorrect year.

But note that, in order to claim a refund, the amended return must be filed within three years from the original due date of the return, or two years from the time the tax was paid, whichever is later.

Amended returns must be printed and mailed; they cannot be e-filed.

https://www.state.nj.us/treasury/taxation/pdf/current/1040xi.pdf