Active Duty Pay transferred to my PA return

Forum|Forum|1 year ago
March 25, 2025
1 reply
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I have all the boxes checked on the Federal side and once again, TT put the Active Duty Pay on the PA-40. TT even acknowledges the Active Duty status.

I read the entire Federal Info Worksheet and there is no place to designate Active Duty.

I checked the W-2 Summary--no place for military info.

Two years ago I had to file on my state website because I could not correct it in TT. Last year, it knew what to do. This year I'm back to square one.

The only thing I can do to stop it is to check a box on the PA-40 Gross Compensation Worksheet. It is a NT/TXBL column.

Is this the correct thing to do?

Am I missing something when I begin this return? I'd love to know for the future!

TurboTax Home & Biz Windows

IsabellaG

Employee

According to the State of Pennsylvania website, "Active duty military pay is not subject to PA personal income tax if earned by a PA resident serving full-time active duty or federal active duty for training outside the state. However, other income earned, received, or realized is taxable. Service members must submit copies of military orders assigning out-of-state active duty with tax returns."

After I enter my DFAS W-2 and check active duty military, on the state return I reach the screen Compensation Summary. That screen tells me that I need to edit that W-2 to mark it as non-taxable to PA.