News Release from the Minnesota Department of Revenue

ST. PAUL, Minn. – The Credit for Military Service in a Combat Zone for service in 2012 will expire for most qualifying service members on October 15, 2016. The Minnesota Department of Revenue is reminding Minnesota service members to take advantage of the refundable tax credit before it expires. The 2012 credit is $120 per month, or partial month served.

The department recently sent letters explaining how to claim the credit to over 2,400 service members who may qualify. Service members have already claimed more than $2.4 million in refunds for the 2012 credit, with an average refund of $600.

“The expiring credit could be worth hundreds of dollars to Minnesota service members and their families, and we want to remind them to claim the credit before the mid-October deadline,” said Revenue Commissioner Cynthia Bauerly.

To qualify for the credit, service members must have:

• served in a combat zone or qualified hazardous-duty area anytime on or after January 1, 2012,
• been a Minnesota resident during the time of service, and
• received combat pay which is exempt from federal and Minnesota income tax.

To receive the credit, service members must:

• file Form M99, Credit for Military Service in a Combat Zone, and
• attach corresponding Form DD-214 for each period of qualifying service.
• If still on active duty, attach Leave and Earnings statements for each month of qualifying service.

For more information on the military tax credit and to fill out the form, visit our website at www.revenue.state.mn.us. Applications must be postmarked by October 15, 2016.

Check out and share our video which explains who qualifies and how to claim the Credit for Military Service in a Combat Zone.

Tax credits for service in a combat zone are also available for 2013, 2014 and 2015. For more information, visit the Members of the Military page on our website and sign up for email updates on military credits, application deadlines, and tax law changes.

For information on combat zone locations that qualify for the tax credit, visit the IRS website at www.irs.gov.

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