“Veterans Day is not only a reminder to all Minnesotans of
the sacrifices made by the men and women of our armed forces, but it is also a
reminder to us here at the Minnesota Department of Revenue that we need to
remain diligent in our efforts to bring awareness to the military credits and
refunds available to service members,” said Revenue Commissioner Myron Frans.
“The department takes pride in our efforts to reach out to service members and
we work closely with veterans groups to make sure our soldiers are getting
every penny they are entitled to.”
The Credit for Military Service in a Combat Zone is
available to members of the military who have recently served in a designated
combat zone or hazardous duty area. There is a credit of $120 for each month
served.
To claim the credit, members of the military should complete
and file Form M99, Credit for Military Service in a Combat Zone, for the
year(s) in which they served. The department will accept the combat zone
service performed in 2013 Form M99 beginning in January 2014. The Form M99 is
filed separately from Form M1, Minnesota Individual Income Tax Return.
Service members are eligible to receive a credit for
military time served in a combat zone if they meet all of the following
requirements:
They served in a combat zone or qualified hazardous duty
area anytime on or after January 1,
2010
The pay they received qualifies to be excluded as combat pay
from federal gross income under Internal Revenue Code Section 112
Their home of record during months of service was Minnesota
More than 3,100 service members have filed their 2012 M99
military credit, totaling $1.6 million in claims, for an average credit of $609
per claim.
Starting Jan. 1,
2013 , honorably discharged veterans who receive a pension or other
retirement pay for their service in the military may be eligible for a
nonrefundable tax credit of up to $750 even if they did not serve 20 years in
the military. Service members may qualify for the credit if they meet one or
more of the following requirements:
They served in the military for at least 20 years
They have a service-related disability rated by the U.S.
Department of Veterans' Affairs as being 100 percent total and permanent
They were honorably discharged and receive a military
pension or other retirement pay for their service in the military
Income qualifications do apply. For more information click here or search ‘Military Tax Credit” on our website.
Each year, thousands of Minnesota
