HPSP and Taxes

[jim85213]

This will be my first year doing taxes with military income. Any advice or deductions I should know of as a Navy HPSP student? Also, what's the deal with W-2's from the Navy? Do they send them in the mail or do I need to get them online somewhere?

Thanks.

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[JSQUARED]

Make sure you claim the income. I got nailed 2 yrs after the fact when the Navy sent in a W2, but I never got one. It took a lot of work to undo, but eventually I got my money back after I refiled.

I don't recall ever getting a W2 in the mail. You can get them online on mypay.dfas.mil, but I think this is only available when you are AD not IRR.
I ended up calling some number to get a W2 sent to me.

Good Luck.

This will be my first year doing taxes with military income. Any advice or deductions I should know of as a Navy HPSP student? Also, what's the deal with W-2's from the Navy? Do they send them in the mail or do I need to get them online somewhere?

Thanks.

 

[Aceofspades]

I thought the military will automatically deduct federal taxes from all your pay (bonuses included).

 

[jim85213]

I thought the military will automatically deduct federal taxes from all your pay (bonuses included).

They do but I still need to file.

I should add that I got my W-2 in the mail.

 

[Kokugeka Shiro]

Do they tax the stipend or is it tax-free like a BHA? I was kind of under the impression it would be treated the same, but i haven't read the contract yet...

 

[kalvydas]

Do they tax the stipend or is it tax-free like a BHA? I was kind of under the impression it would be treated the same, but i haven't read the contract yet...

This is form NAVMED student handbook: http://www.med.navy.mil/sites/navme...VMEDMPTE 1520.1B STUDENT PROGRAM HANDBOOK.pdf

2-5. Taxation of benefits.
1. Stipends are taxable. The amount of Federal tax withheld is based on number of exemptions claimes on Employee's Withholding Certificate (form W-4) submitted at the time of entrance into the program and placed in the student's service record. If no W-4 is received, the stipend is taxed at the rate of single individual with no dependents...

2. State Tax is currently withheld from stipend checks...