The Short Answer
Active-duty base pay is generally exempt for Mississippi residents, and combat-zone pay is excluded; pay otherwise is taxed at the 4.4% flat rate. Your base pay is set by the federal pay table — identical to every other state for your rank and years of service. What actually changes in Mississippi is your BAH (averaging $1,100/mo without dependents and $1,400/mo with dependents) and how Mississippi treats the taxable portion of your pay.
State tax status: ✓ TAX EXEMPT
2026 Worked Example — E-5, 6 Years, With Dependents in Mississippi
Here is how the math actually lands for a mid-career enlisted member stationed in Mississippi, built the way I read my own LES. Base pay and BAS are federal; the Mississippi BAH figure is the state average.
| Monthly line item | Amount | Taxable? |
|---|---|---|
| Base pay (E-5, over 6 yrs) | $3,874 | Yes (federal + state) |
| BAH with dependents (Mississippi avg) | $1,400 | No — tax-free |
| BAS (enlisted) | $476.95 | No — tax-free |
| Gross monthly entitlements | $5,750.95 | — |
| Taxable income (base pay only) | $3,874 | — |
| Est. Mississippi state income tax | varies — see notes | — |
Only the $3,874 of base pay is taxable — the $1,876.95 of BAH + BAS is completely tax-free. Run your exact rank, ZIP, and dependency status in the Military Pay Calculator for a precise estimate.
How Mississippi Taxes Each Type of Military Pay
Active-Duty Base Pay
Active-duty base pay is generally exempt for Mississippi residents, and combat-zone pay is excluded; pay otherwise is taxed at the 4.4% flat rate.
Guard & Reserve Drill Pay
The first $15,000 of National Guard or Reserve compensation is exempt from Mississippi income tax.
Military Retirement Pay
Military retirement pay is fully exempt from Mississippi income tax.
VA Disability Compensation
VA disability compensation is exempt federally and is not taxed by Mississippi.
SCRA & Residency in Mississippi
A nonresident airman at Keesler AFB who is a legal resident of another state owes no Mississippi tax on military pay under SCRA.
This is the single most misunderstood rule in military pay. Your home of record / state of legal residence — not your duty station — generally determines who can tax your military pay. Changing it is a deliberate act, not something that happens automatically when you PCS.
Major Military Installations in Mississippi
- Keesler Air Force Base
- Naval Construction Battalion Center Gulfport
- Columbus Air Force Base
- Naval Air Station Meridian
BAH is set by the Military Housing Area covering your duty ZIP. Verify your exact rate at the official DoD BAH lookup.
Official Sources
FAQ — Military Pay in Mississippi
Does Mississippi tax my military base pay?
Active-duty base pay is generally exempt for Mississippi residents, and combat-zone pay is excluded; pay otherwise is taxed at the 4.4% flat rate.
Is my BAH taxed in Mississippi?
No. BAH is federally tax-free and is never counted as income for Mississippi state income tax, regardless of how Mississippi treats base pay.
Does Mississippi tax military retirement pay?
Military retirement pay is fully exempt from Mississippi income tax.
I'm stationed in Mississippi but my home of record is elsewhere — who taxes me?
A nonresident airman at Keesler AFB who is a legal resident of another state owes no Mississippi tax on military pay under SCRA.