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As an Oklahoma resident, can I exclude any of my military wages from Oklahoma income tax? An Oklahoma resident who is a member of any component of the Armed Services may exclude the first $1,500 of his/her taxable active duty military pay. This includes Reserve and National Guard pay. (Form 511, Schedule 511-C, line 1 or Form 511NR, Schedule 511NR-C, line 1) Note: Any individual who is retired from any component of the Armed Forces may exclude the first $7,500 for tax year 2005 ($5,500 for tax years prior to 2005) of his/her military retirement pay. (Form 511, Schedule 511-A, line 3 or Form 511NR, Schedule 511NR-B) Tax Commission, Oklahoma - OTC
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