Georgia Military Filing Information
Military personnel whose home of record is Georgia or who are otherwise residents of Georgia are subject to Georgia income tax on all income regardless of the source or where the income is earned, unless specifically exempt by Georgia law. Military personnel who serve outside of the continental U.S. may file their Georgia income tax return within six months after they come back to the continental U.S. No penalties or interest will accrue during this period.
Members of the National Guard or Air National Guard who are on active duty for a period of more than 90 consecutive days are allowed a tax credit against their individual income tax. The credit cannot exceed the amount expended for qualified life insurance premiums or the taxpayer's income tax liability and should be claimed on Form IND-CR.
Military personnel whose home of record is not Georgia and who are not otherwise residents of Georgia are only required to file a Georgia income tax return if they have earned income from Georgia sources other than military pay. If required, nonresident military personnel should file Georgia Form 500 and use Schedule 3 to calculate Georgia taxable income.
In order to create a Schedule 3 you will just select Part-Year or Nonresident as your filing status when creating the Georgia state return (specify any Georgia Source income within the Income Subject to Tax section).
Effective tax year 2003, military income earned by a member of the National Guard or any reserve component of the armed services while stationed in a combat zone or stationed in defense of the borders of the United States pursuant to military orders is not subject to Georgia income tax. The exclusion from income is only with respect to military income earned during the period covered by such military orders. A copy of the Federal return must be enclosed with the Georgia return to claim this exclusions. The exclusion is limited to the amount included in Federal Adjusted Gross Income.
If one spouse is a resident of Georgia and one is not (and Military Spousal Relief Act does not apply):
You can create a joint NonResident Georgia return and complete schedule 3 (to specify the Georgia Source Income) and calculate your Georgia Taxable Income.