Form W-2 - Non-Taxable Combat Pay
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Code Q is nontaxable combat pay. In TaxAct®, this is entered in box 12 of the W-2.

To enter military wages reported on a W-2:

  1. From within your TaxAct return (Online or Desktop) click Federal. On smaller devices, click the menu icon in the upper left-hand corner, then select Federal
  2. Click Wages and Salaries in the Federal Quick Q&A Topics menu to expand the section and then click Wage income reported on W-2
  3. Click New Copy of Form W-2 (Desktop users click Add) to create a new copy of the form or click Review to review a form already created 
  4. Enter the Employer's ID number and click Continue
  5. Click Quick Entry or Step-by-Step Guidance to enter or review. If you select Quick Entry be sure to scroll down to answer all applicable questions. 
  6. If you select Step-by-Step Guidance, the program will proceed with the interview questions. Continue to the screen titled Enter any information listed in boxes 12-13 containing fields for box 12 and box 13 entries. Select Q-Nontaxable combat pay from the drop-down menu and enter the amount reported.