Originally Posted by
SLXOwft
I believe in the US service(wo)men pay state income tax (where applicable) according to residence on top of federal income tax. Active duty pay etc. can be exempt when serving out of country or state. (Are any of our US members able to confirm or deny?)
The situation regarding US Active Duty military paying state taxes depends on their "state of legal residence" - ie the state they were in when they joined the military which they can choose to change by a variety of methods such as owning property, registering vehicles, obtaining a driving license etc - rather than where they are assigned by Permanent Change of Station (PCS) orders.
That's why US military are not required to change which state their vehicles are registered in and their driving license is issued in when they PCS.
There are huge differences in both state income tax rates and property tax rates.
For instance, there is no state income tax in NV - compared to 6% in CA for those earning $70K > $90K (GBP 56K > GBP 72K).
Property tax in NV on a $1M home is around $8K whereas it is $10K on a $450K home in NJ (the highest taxed in the USA). NJ also has a 1% "mansion tax" on purchasing homes.
So it's a lot more complex over here in the USA.
https://www.militaryonesource.mil/fi...-the-military/