itonewbie
Level 15

No, you don't report the income on the PA return, if your client qualifies.  Reading instructions from the DOR always helps whenever you have state-related questions.  See these links for the details:

https://revenue-pa.custhelp.com/app/answers/detail/a_id/266/~/should-i-report-my-active-military-pay...

https://revenue-pa.custhelp.com/app/answers/detail/a_id/564/~/i-am-a-pa-resident%2C-on-military-acti...

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