How Do I report Retired Military Pay (Federal) and Virginia? Are there and tax breaks for a Veteran with 80% disability?

[thamantolook4]

As I look into TT, I don't see where to go after selecting that my retired military pay falls under non-qualified plan. Is it a non qualified annuity?

[ToddL]

Your retired military pay is a non-qualified plan. 

For federal and state purposes, just enter the DFAS Form 1099-R in the "IRA, 401k and Pension Plans (1099-R)" interview under "Retirement Plans & Social Security". 

The tax break you get for an 80% VA Disability award is that it doesn't get reported as income anywhere on your tax return, federal or state.