Active Duty Military Pay
If you are a New York resident, military pay is taxed to the same extent it is taxed federally, including pay earned while stationed outside New York. Combat-zone pay is not taxed. Being stationed elsewhere does not by itself end New York domicile. For tax years 2023 and after, New York follows the federal Servicemembers Civil Relief Act election: you and your spouse may each choose your own domicile, your spouse's domicile, or the permanent duty station. If you elect a state other than New York, file Form IT-203 and enter the special condition code on the Department of Taxation and Finance military page. A nonresident's military pay is not subject to New York income tax.