I think that as a military spouse, we would have to be sent to husband or wife’s duty station and you would have to do very hectic processes of relocation like get a new license, register to vote, and etc.  I, even myself ended up having lived in 6 states with 6 different official states driver’s licenses.

This was true across the board until President Obama signed in to the law the Military Spouse Relief Act in November of 2009.  Click here to learn more information about Military Spouse Residency Relief Act.

Now, spouses of active duty military can choose to change their state of residency for taxes and other purposes like voting and car registration.

This is, however, a very complicated law. Because it is left to the interpretation of each state, it is important to check with the state in question to understand the facts. Spouses are encouraged to contact the Installation Legal Office and the Personal Income Tax Site for the state in which you reside in order to determine how your current state interprets this law.

However, It is not always beneficial to change your state of residency because tax laws vary from state to state, so each couple will have to weigh the tax and filing benefits before choosing. According the Navy’s website, other things to consider when deciding where to declare residency is voter registration, auto registration, in-state college plans and in-state college tuition savings, car, home or other insurance, wills and estate plans and powers of attorney.

This law also does not allow a spouse to just pick and choose any state they want to and declare residency there. The spouse must have lived there and they must have set up contacts in that state.  According to the website regarding the Military Spouse Relief Act, examples of contacts with a particular state that help prove domicile  include: where one votes, owns property, holds professional licenses, registers vehicles, holds a driver’s license, accepts tax breaks for a declaration of homestead, or indicates where his or her last will and testament should be probated.

So, as the tax season is coming up shortly, we would have to make sure we follow the tax laws where we reside.