Why sign in to the Community?

  • Submit a question
  • Check your notifications
Sign in to the Community or Sign in to TurboTax and start working on your taxes
New Member
posted Jun 14, 2020 6:20:04 PM

Is military basic quarters and subsistence automatically deducted or do I enter that in the nontaxable income section and how is that calculated?

0 2 823
2 Replies
Level 15
Jun 15, 2020 6:17:34 PM

Yes, it's entered as non-taxable income. It's calculated based on what you would be paid for BAQ if you were living in non-military housing.

But you BAS, which is tax free and included in your pay regardless of where you live, I would expect to be shown on your LES (not necessarily the W-2). If I recall correctly, I think the LES also shows a "Year to Date" total for BAS too, but my memory could be faltering on that.

Assuming your rank did not change in 2019, pick any month's LES, multiply the BAS by 12 and that's included in your tax free income.

Since housing was contracted out 10 years ago after my time, I don't know how they show your tax free BAQ on your LES, or if they even do any more. I know they most certainly did in my day. But my bet is they still show all of your entitlements, including the tax free stuff in box 10 of the LES.

 

Level 15
Jun 15, 2020 6:18:49 PM

Oh, I "THINK" I just realized what you were asking. Be aware that your tax free entitlements are *NOT* included in box 1 of your W-2. That box only includes your taxable income, and that's it.