eSmart Tax honors the heroes, service members, and family members that we lost on this day. For those that continue to help rebuild and make a difference in our communities or those that help our country fight back, the government offers special money-saving and tax benefits for you.
Public Service Loan Forgiveness
There is a high cost associated with higher education. The PSLF Program is intended to encourage individuals to enter and continue to work full-time in public service jobs in exchange for forgiveness of student loan debt. Under this program, student loan borrowers may qualify for forgiveness of the remaining balance of their Direct Loans after they have made 120 qualifying payments on those loans while employed full time by certain public service employers. Anyone who works for a federal, state, or local government agency, entity, or 501(c)(3) organization qualifies.
Travel expenses for reservists can be written off.
For military personnel in the reserves, if you travel more than 100 miles away from home in connection with your service, you can deduct your unreimbursed travel expenses on your return as a more generous adjustment to income rather than as an itemized deduction.
Moving Expenses Can Be Deducted
Active duty military personnel that move because of a permanent change of station, can deduct unreimbursed moving expenses.
Combat Pay Is Not Taxable
If you serve in a combat zone as an enlisted office or as a warrant officer (including commissioned warrant officers) for any part of a month, all your military pay received for military service that month is excluded from gross income. For commissioned officers, the monthly exclusion is capped at the highest enlisted pay, plus any hostile fire or imminent danger pay received.
Extension of Filing Deadlines for Those Serving in Combat Zones
Members of the military serving in combat zones get an automatic 180-day extension from the IRS for filing tax returns, paying taxes and filing refund claims.