(MONEY Magazine) – Five days after the Persian Gulf war began on Jan. 16, President Bush officially declared the Arabian peninsula and its surrounding waters a combat zone. The formal pronouncement triggered a number of special tax breaks for the 500,000 men and women of Operation Desert Storm -- regular troops and reservists alike -- and their immediate families. Enlisted personnel, whose monthly base pay ranges from about $700 to $2,900, will not owe federal tax on military pay earned while serving in the gulf after Jan. 17. Officers, who earn from $1,300 to $8,500 a month, receive their first $500 a month tax-free. In addition, members of the armed forces will have 180 days after leaving the combat zone to file and pay their income taxes. No request for the extension need be sent to the IRS, and no interest or penalties will be imposed on personnel who bypass the traditional April 15 tax-filing deadline. The 43 states that levy income taxes are expected to adopt the federal practice on extensions and exemptions.