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February 7, 2022
Question

I’m active duty and lived and worked in a foreign country all of 2021 but my state tax bill is over $1,000. I think I did something wrong but it won’t let me amend it.

  • February 7, 2022
  • 1 reply
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Other members said they weren’t billed for state taxes

1 reply

February 7, 2022

It depends on your state how much of your military income is taxable. Also, if you are stationed aboard and not deployed in a combat zone your income can be still taxable in your state.  You stated you worked abroad,  where you deployed, and received combat pay? What state is your State of Legal Residence (Home of Record)?

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

 

If you filed your return and it has been accepted then you have to file an amended return (1040X) to make changes. The amended returns are not ready yet. Generally, it is best to wait until your refund or payment is processed. Please be aware that you can e-file your 2021 amended federal tax return, but most states require amendments to be printed and filed by mail. Please see How to amend a tax return and I need to amend my state return for instructions (this will be updated once the 2021 Form 1040-X is ready).

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