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Combat pay is income earned while stationed in a designated combat zone in service to the U.S. military. Combat pay is nontaxable for most service members, and all service members can exclude at least some of their combat pay from their taxable income.
To qualify for combat-related tax benefits, you must be an eligible member who meets one of the following options with service in an area listed further below.
IF you received combat pay, it will be noted in box 12, of a Military/DFAS-issued W-2 with a Code "Q".
If the is no Code Q entry in box 12 of that military W-2, with an amount indicated....then you did not receive any combat pay.
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