I was active duty(AD) military in 2023. My state (KY) doesn't tax AD military pay. My state form in Turbo Tax it's not exempting my military pay. How can I fix this?

Forum|Forum|1 year ago
April 15, 2024
1 reply
0 views

I have additional W-2's that are not exempt. Last year it asked me which amount of my total was exempt ( Active Duty Pay). I have confirmed with my state (KY) that AD military pay is still exempt. How can I correct this.

TurboTax Deluxe Online

DaveF1006

It depends. I checked my program and the military pay is being properly excluded from Kentucky income. When you entered your military W2 in the federal return and answered the follow-up questions, did you check the box indicating this was active military pay? See the screenshot below.

if this was answered correctly, military pay will be excluded on Line 13 of Schedule M in your return and included as a subtraction in line 8 in Kentucky 740.