This is a downloadable chapter from Effectively Representing Your Client Before the IRS, 7th Edition.

Military personnel and their families face tax issues unique to the military such as Combat Zone pay and nontaxable allowances. In addition, Combat Zone deployment can make compliance with standard filing and payment obligations difficult or impossible.

The U.S. Armed Forces participate in the Volunteer Income Tax Assistance Program (VITA). Additionally, the Servicemember’s Civil Relief Act (SCRA), 2006 Heroes Earned Retirement Opportunities Act (HERO Act), Military Spouses Residency Relief Act (MSRRA), Heroes Earnings Assistance and Relief Tax Act of 2008 (HEART Act), and Military Family Tax Relief Act of 2003, contain provisions that provide for unique treatment of military servicemembers in regards to taxation and procedural protections. Consequently, lack of familiarity with these issues can create an unnecessary disadvantage for the servicemember client and his or her family.

It is important to note that in addition to active duty servicemembers and their families, the Judge Advocate General (JAG) Corps also provides assistance to Reserve and National Guard servicemembers. Military regulations, however, restrict JAG Corps attorneys from representing servicemembers in matters against the federal government. This includes executing Form 2848 and assisting with a federal tax controversy. The JAG Corps, however, does administer a VITA program and may be able to assist a practitioner with preparing previous years' returns for a client.