Military Retirement Pay Tax Exemption
Full exemption of military retirement pay from Michigan individual income tax.
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Apply directly through the official Michigan agency.
About this benefit
Eligibility
Any military retiree receiving retirement pay from any branch of the U.S. Armed Forces (including Reserve and National Guard retirement). No disability rating required. Must file Michigan state income taxes.
Active-duty military pay is also exempt.
How to claim
Deduct on Schedule 1 of Michigan income tax return; report on Schedule W.
Verified against official source
Last checked 2026-05-05 against www.michigan.gov. Always confirm current rates and rules with the Michigan state agency before applying.
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