Do Military Spouses Pay State Taxes in Virginia?

Military income: Up to $15,000 of military basic pay received during the taxable year may be exempted from Virginia income tax.
Property Tax Exemptions for Veterans: Veterans with a 100% disability rating are fully exempt from property taxes up to $40,000 in Virginia.

Military spouses have specific tax considerations depending on their circumstances:

Military Spouses Residency Relief Act (MSRRA): Allows military spouses residing with their service member spouse stationed on military orders to keep their resident state for tax purposes.
Tax Exemptions: Military spouses may be exempt from state taxes depending on their residency status and the state’s tax laws.

Virginia State Taxes: Military income and income earned by military spouses may be exempt from taxation in Virginia under certain conditions.
Virginia State Residency: Several rules apply to determine Virginia state residency for tax purposes.

Sales Tax Exemptions: Customers exempt from paying sales tax under Virginia law must provide a valid exemption certificate.
Personal Property Tax Exemptions: Qualifying personnel, including active duty military with legal residence outside Virginia, may be exempt from personal property taxes.
Additional Exemptions: Individuals aged 65 or older or considered blind for federal income tax purposes may claim additional exemptions in Virginia.

Tax Exemptions: Several states exempt military retirement pay from state taxes, such as Alabama and Kansas.
Veterans Benefits: Veterans with a full disability rating are exempt from property taxes, and active duty personnel deployed out of state may also receive exemptions.
Overseas Service: Tax rules apply for military personnel serving overseas, with specific guidelines during deployments.
State Tax Exemptions: Employees can be exempt from Virginia state withholding under certain conditions per Form VA-4 or VA-4P.