Military Combat Zone Pay Exclusion in El Paso, TX 2026
Calculate your military combat zone pay exclusion tax savings in El Paso, Texas. Texas has no state income tax, so savings come from the federal level.
Texas Tax Context
No state income tax; border city; very affordable
Military Combat Zone Pay Exclusion Savings Calculator for El Paso
Federal Savings
$1,100
22% bracket
Texas State
$0
0% rate
Local Tax
$0
0% rate
Total Savings
$1,100
22.0% combined
At a 22.0% combined tax rate in El Paso, every $1,000 in deductions saves you $220 in taxes.
Savings by Tax Bracket in El Paso
Includes 0% Texas state tax on top of federal savings.
Eligibility Requirements
Military personnel serving in designated combat zones
- 1Must serve in a combat zone designated by Executive Order
- 2Enlisted members: all compensation is tax-free
- 3Officers: exclusion capped at highest enlisted pay plus hostile fire pay
Common Mistakes to Avoid
- !Not extending filing deadlines for combat zone service
- !Forgetting that combat zone extends to qualifying hazardous duty areas
- !Missing the option to include combat pay for EITC calculation
Required Tax Forms
File these forms with your federal tax return to claim the military combat zone pay exclusion.
Other Tax Deductions in El Paso, TX
Tax Preparation Fees Deduction
Other
AMT Credit Carryforward
Other
Hobby Loss Rules & Deductions
Other
Federally Declared Disaster Loss
Other
Professional Gambler Business Deduction
Other
Innocent Spouse Relief
Other
Estimated Tax Penalty Waiver
Other
Mortgage Interest Deduction
Housing
Military Combat Zone Pay Exclusion in Other Texas Cities
Houston, TX
0% state tax
San Antonio, TX
0% state tax
Dallas, TX
0% state tax
Austin, TX
0% state tax
Fort Worth, TX
0% state tax
Arlington, TX
0% state tax
Corpus Christi, TX
0% state tax
Plano, TX
0% state tax
Calculate Your Full Tax Savings in El Paso
Use our free tax calculators to optimize your entire tax return for Texas.
Frequently Asked Questions
How much can I save with the Military Combat Zone Pay Exclusion in El Paso, TX?
In El Paso, Texas, the military combat zone pay exclusion can save you an estimated $1,100 per year. This includes $1,100 in federal tax savings. The national average savings is $8,000/year.
What is the Texas state income tax rate for El Paso residents?
Texas has no state income tax, which means the military combat zone pay exclusion only provides federal tax savings for El Paso residents. No state income tax; border city; very affordable
Who qualifies for the Military Combat Zone Pay Exclusion in El Paso?
Military personnel serving in designated combat zones. The eligibility requirements are the same whether you live in El Paso or elsewhere in the U.S., as this is a federal tax deduction. However, your savings amount will vary based on Texas's 0% state tax rate.
What tax forms do I need to claim the Military Combat Zone Pay Exclusion in Texas?
To claim the military combat zone pay exclusion, you need to file Form W-2 and Form 1040 with your federal return. Filing status affects your deduction limits and tax bracket.
Is the Military Combat Zone Pay Exclusion better in El Paso than in states without income tax?
Since Texas has no state income tax, the military combat zone pay exclusion only reduces your federal tax bill. Residents in states with income tax get additional state-level savings. However, El Paso residents often benefit from lower overall tax burden (Low).
Related Calculators
Tax Preparation Fees Deduction in El Paso
Avg savings: $400/year
AMT Credit Carryforward in El Paso
Avg savings: $3,000/year
Hobby Loss Rules & Deductions in El Paso
Avg savings: $0/year
Federally Declared Disaster Loss in El Paso
Avg savings: $8,000/year
Professional Gambler Business Deduction in El Paso
Avg savings: $5,000/year
Innocent Spouse Relief in El Paso
Avg savings: $5,000/year