I am active duty military stationed outside the Commonwealth of Pennsylvania (my home of record) by law, I don't have to pay state taxes. How do I report that?

[Phillip1 · Accepted solution]

You will need to report state taxes as a resident of Pennsylvania. However, you will not need to file or pay taxes in the state where you are stationed.

As you enter your personal information into TurboTax, you will need to do the following:

1. Answer yes to being a member of the military on the screen labeled Your Personal Info.
2. In line 2 of the same screen, indicate PA as your state of residence.
3. Answer no in the next question on whether you lived in another state.
4. If you have already gone through the entire program and have a return for the state where you are stationed, delete that return by doing the following:

• Click on My Account at the top of the TurboTax window.
• Click on Tools in the dropdown menu.
• Click on Delete a Form in the Tools Center box.
• In the list of forms that can be deleted, delete all forms related to that state.
• If the state doesn't delete, you need to go to your W-2 screen and make sure you have PA as your state in the W-2.