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If you included U.S. military active duty pay in your federal taxable income, you may qualify for a subtraction on your Oregon return.
You can subtract all active duty pay earned outside Oregon during the year plus up to $3,000 active duty pay earned in Oregon. Note: Your total subtraction cannot be more than your total active duty pay income. Reserve summer camp is active duty. However, drills and weekend meetings of reserve units are not active duty. If you are in the Guard or the Reserves and your Form W-2 does not show a separate amount for active duty, contact your paymaster.
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