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Thursday, September 09, 2010
Army Reserve Family Programs
Tax Information and Preparation Assistance
There are a number of special tax situations for service members.  Siutaions that provide extensions for filing taxes when Soldiers are mobilized and serving in a combat zone, what geographic areas are considered combat zones as well as other areas that qualify for the tax benefits due to their direct support of Operation Enduring Freedom and Operation Iraqi Freedom.

Other benefits include exemptions on federal excise taxes for telephone calls that originate in combat zones and options for treating excludable military combat pay that may help some Soldiers qualify for the Earned Income Tax Credit (EITC).  Learn more on www.irs.gov

Military OneSource - Free Tax Prep and E-Filing for Service Members  
Help with taxes is on the way. Starting January 15, 2007, www.militaryonesource.com brings you H&R Block TaxCut Basic Online -- free to Service Members.

TaxCut Basic FAQs through Military One Source  

Q1: What can I do with TaxCut Basic Online?

A: Complete a federal and state tax return, using a simple interview process to quickly walk through the return process, electronically file a tax return, print and file a tax return, check e-file status, rest easy knowing H&R Block is by your side in the rare event of an audit, and experience 100 percent accurate calculations or H&R Block pays penalties and interest.

Read More Frequently Asked Questions


New Tax Benefits for Reserve Soldiers  
On Aug. 17, 2006, President Bush signed into law the Pension Protection Act of 2006.  The act provides a tax benefit to reservists, strengthens pension funds, and provides important tax law changes.

The act creates an exception for reservists called to active-duty service — for more than 180 days or an indefinite period between Sept. 11, 2001 and Dec. 31, 2007 — to make early withdrawals (prior to age 59 ½) from certain retirement plans without triggering the 10-percent penalty tax imposed on such withdrawals under IRS Code Sec. 72(t).  The withdrawal exception specifically applies to Individual Retirement Accounts (regular and Roth), 401(k) plans, and 403(b) tax-sheltered annuities.  It is important to recognize that the withdrawals will constitute taxable income to the account owner.

Read More on Military.com


Military.com Tax Guide  

IRS Info For Military Personnel  

The IRS website has a special section designed to help military personnel with filing taxes. Current tax law provides some special benefits for active members of the U.S. Armed Forces and those serving in combat zones. The site includes information about deadline extensions, tax exclusions for personnel in combat zones, and the Military Family Tax Relief Act of 2003. Visit the IRS website to learn more: http://www.irs.gov/newsroom/article/0,,id=97273,00.html


How the Tax Code Rewards the Soldier - MSN.com  

If you're in our armed forces, the Internal Revenue Service is your friend -- especially for those in combat.  If you or your family were involved in the Iraq war, here’s what you should know.  By Jeff Schnepper

Even the feared forces of the Internal Revenue Service stand in shock and awe before our military forces.  Congress has shown its respect and appreciation for the troops by providing lots of special tax breaks for military families.

Learn more at msn.com by looking closer at some of the benefits.

  • Compensation
  • Exclusions
  • Allowances
  • Extensions
  • Death
  • Examinations

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