I am a member of the U.S. Armed Forces stationed in a combat zone. Is any part of my military pay for serving in this area excluded from gross income?

Yes, if you serve in a combat zone as an enlisted person or as a warrant officer (including commissioned warrant officers) for any part of a month, all your military pay received for military service that month is excluded from gross income. For commissioned officers, the monthly exclusion is capped at the highest enlisted pay, plus any hostile fire or imminent danger pay received.