Internal Revenue Service United States Department of the Treasury
Level Basic Advanced Military International

Military Income

Includible and Excludible Income

Types of Income

Members of the Armed Forces receive many different types of pay and allowances. Some are includible in gross income while others are excludible from gross income.

  • Includible items are subject to tax and must be reported on the tax return
  • Excludible items are not subject to tax, but may have to be shown on the tax return

Refer to the Volunteer Resource Guide, Income tab for detailed lists of these types of military pay and to determine if they are included in gross income, or excluded.