Military Retirement Pay Income Tax Exemption
100% exemption of military retirement pay from Connecticut state income tax.
At a glance
- Benefit type
- Tax Benefits — Connecticut
- Who it's for
- Veterans, Survivors
- VA rating needed
- No rating requirement
- Estimated value
- Full exemption of military retirement pay
- Where it applies
- Connecticut
- Last verified
- May 12, 2026
What is Military Retirement Pay Income Tax Exemption?
Military Retirement Pay Income Tax Exemption is a Connecticut tax benefits benefit for veterans, survivors. 100% exemption of military retirement pay from Connecticut state income tax. The listed value is Full exemption of military retirement pay.
Who qualifies
- Available to any veteran
- Connecticut residency
Who is eligible
Eligibility
Retired member of the U.S. Armed Forces or National Guard receiving military retirement pay includible in federal AGI. Survivor beneficiaries receiving payments under an option or election made by a deceased retired military member (e.g., SBP) also qualify. Must file CT income tax return.
What Military Retirement Pay Income Tax Exemption covers
Covers
Full subtraction of military retirement pay from CT adjusted gross income, claimed on Schedule 1, Line 44 of Form CT-1040 (per 2025 CT-1040 line instructions).
Important to know
Per the 2025 CT-1040 instructions, payments received by a former spouse of a retired military member under a final decree of divorce, dissolution, annulment, or legal separation (or a court-ordered property settlement dividing military retirement pay) do NOT qualify for the exclusion.
How to apply for Military Retirement Pay Income Tax Exemption
How to apply
Claim the subtraction on Schedule 1, Line 44 of Form CT-1040 (Connecticut Resident Income Tax Return).
Verified information & sources
Last verified: May 12, 2026
Official source: portal.ct.gov
Compiled and fact-checked against the official source linked above. Benefit rules and dollar amounts change over time — always confirm current details at the official source before applying. A county Veterans Service Officer (VSO) is a free, accredited advocate who can review your eligibility and help you file at no cost.
Frequently asked questions about Military Retirement Pay Income Tax Exemption
Who qualifies for Military Retirement Pay Income Tax Exemption?▾
How much is Military Retirement Pay Income Tax Exemption worth?▾
How do I apply for Military Retirement Pay Income Tax Exemption?▾
Where can I verify Military Retirement Pay Income Tax Exemption?▾
Other Connecticut Tax Benefits
Veteran Property Tax Assessment Exemption (Disabled)
Basic veterans property tax exemption (CGS 12-81(19)/(20)) plus an income-qualified Additional Veterans exemption.
Varies by rating, income, and local mill rate
Full Property Tax Exemption (100% P&T)
Complete property tax exemption on primary residence (or one motor vehicle) for veterans with permanent and total disability.
100% property tax exemption
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