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Military Retirement — Subtracted Since 2019

Military retirement benefits are subtracted from North Dakota taxable income — since tax year 2019, surviving spouses included.

Verified August 19, 2026

What this benefit is

Military retirement benefits are subtracted from North Dakota taxable income — since tax year 2019, surviving spouses included.

What it's worth: Military retirement benefits, subtracted in full

  • The saving is your marginal state rate on the amount excluded, so it depends on your bracket.

Who is entitled to it

  • You receive military retired pay.
  • Your home is in this state.

Not sure whether that describes you?

Answer a few questions about this benefit specifically — we only ask what this one actually depends on, and we stop as soon as we know.

How to claim it

Deadline: With your return
  1. 1Subtract military retirement benefit payments on the North Dakota return — Reserve and Guard retirement count.
  2. 2A surviving spouse subtracts the same way.
File with
The state revenue department, on your annual return
Annual
Claimed once a year.
Worth knowingResident ACTIVE-duty pay is a different story on the Commissioner’s page — a resident with a permanent North Dakota home is taxed on all income including military pay, so do not read the retirement subtraction as covering serving members.

Sources

Why only one source type: The Tax Commissioner's page states the subtraction for retired members, Reserve and Guard, and surviving spouses, from 2019.

This finder provides an informational match, not a government eligibility determination. The responsible agency decides your application.