By Molly C. Herndon
Tax time for military families has special implications. Each year, the IRS releases updated information for the unique tax filing considerations of current and former military families.
Here are 5 considerations unique to military families during tax season:
Is your family eligible for military tax benefits?
Active duty, contracted, and recently separated members may be eligible for military tax benefits. Learn more at irs.gov
Did you move in 2019?
Permanent Change of Station moving expenses can be deducted as an adjustment. Figure out your moving expenses and find forms at https://www.irs.gov/taxtopics/tc455.
Do you qualify for a Tax Exclusion for Combat Service?
Check the specific rules for notifying the IRS of your service in a qualifying combat zone at www.irs.gov/newsroom/combat-zones.
Did you buy your first home in 2019?
Taxpayers who purchased their first home may be eligible for the First Time Homebuyer’s Credit, and military members have extended time to meet this requirement. Learn more at www.irs.gov.
Are there areas where you could use help?
Military taxes are complicated. To make sure your family gets all applicable deductions and benefits, seek the help of a professional. Service members can get free tax help in the form of free tax prep, software, or consulting.
For more considerations and updates to the filing process this year, watch the recording of our recent webinar with Andrew Zumwalt, “Tax Updates: New Year, New Forms, New Thresholds.” This 90-minute webinar is approved for 1.5 Continuing Education credits for Accredited Financial Counselors (AFCPE) and Certified Personal Finance Counselors (FinCert). Watch and earn CEUs!