I'm not aware of any exclusion for pay regarding non military personal working in a combat zone, but you can exclude a portion of your foreign earned income:
If your tax home is in a foreign country and you meet the bona fide residence test or the physical presence test, you can choose to exclude from your income a limited amount of your foreign earned income.
You also can choose to exclude from your income a foreign housing amount. This is explained later under Foreign Housing Exclusion. If you choose to exclude a foreign housing amount, you must figure the foreign housing exclusion before you figure the foreign earned income exclusion. Your foreign earned income exclusion is limited to your foreign earned income minus your foreign housing exclusion.
If you choose to exclude foreign earned income, you cannot deduct, exclude, or claim a credit for any item that can be allocated to or charged against the excluded amounts. This includes any expenses, losses, and other normally deductible items allocable to the excluded income.
Limit on Excludable Amount
You may be able to exclude up to $92,900 of your foreign earned income in 2011.
You cannot exclude more than the smaller of:
I have enclosed more information on this in the link below. It looks like based on your 12 month engagement, you might be able to exclude a portion of that income.
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