topic I've always filed nonresident of NY for military income and resident of VA for our other income, but it seems that it is including all of our income in the VA return? in State tax filing

I've always filed nonresident of NY for military income and resident of VA for our other income, but it seems that it is including all of our income in the VA return?

thekarenguerra — Mon, 03 Feb 2020 16:31:22 GMT

Re: I've always filed nonresident of NY for military income and resident of VA for our other income, but it seems that it is including all of our income in the VA return?

Hal_Al — Mon, 03 Feb 2020 17:02:51 GMT

It's not clear what all that means.

You do not report your military pay to the state you are a stationed in. If your SLR/HOR is NY, you file a resident return.

If VA is your resident state, you include your military pay.

Re: I've always filed nonresident of NY for military income and resident of VA for our other income, but it seems that it is including all of our income in the VA return?

thekarenguerra — Mon, 03 Feb 2020 21:29:37 GMT

Ok, well I guess I've never noticed that VA includes all of my income, including my military pay. NY is my SLR, but their provision is that I'm a nonresident since I meet these requirements:

You did not maintain any permanent place of abode in New York State during the tax year; and
You maintained a permanent place of abode outside New York State during the entire tax year; and
You spent 30 days or less (a part of a day is a day for this purpose) in New York State during the tax year.

That means that my military pay is not taxed by NY, but it is taxed by VA instead since I'm a resident of VA. So now I'm wondering what the point is of not just changing my SLR to VA! Seems like extra paperwork for no reason and VA tax rates are lower anyway.

Am I missing something??

Re: I've always filed nonresident of NY for military income and resident of VA for our other inco...

DanaB27 — Mon, 03 Feb 2020 21:50:56 GMT

You said your home of record/state of legal residence is NY and you are only stationed in VA, correct? Then you will enter NY in the "My Info" area to the question where you lived. Your military pay will not be taxable in VA if you were only stationed there.

Nonresident Military Personnel

Members of the armed forces who are not Virginia residents are not subject to Virginia income tax on their military pay, or on interest received from accounts held in Virginia banks. However, if you have other income from Virginia sources, such as a part-time job, or a business or trade conducted in Virginia, you are subject to tax on this income. Virginia Tax

And yes, if you meet all the requirements then your military pay isn't taxable in NY as well.

Please see What is my military state of residence? for additional information.