Gunner Lee Thornton died after he was shot while out on patrol north of Basra.
His parents, Mick and Karen, were at the 22-year-old's bedside when he died at an army hospital in Germany where he had been flown for emergency treatment.
In a statement issued by the Ministry of Defence, Mr and Mrs Thornton, of Marton, said they were devastated by the death of their eldest son.
They said: "We are immensely proud of Lee's achievements. He lived life to the full and packed a lot in during his time.
"Through the Army he managed to fulfil many goals in his life.
"He was a keen and great sportsman and an avid supporter of Blackpool FC.
"Lee leaves behind his loving fiancee, Helen, and three younger brothers, Ryan, 19, Sean, 15 and Jake, 13."
Blackpool FC today paid their own tribute to Gunner Thornton.
A spokesman for the Seasiders said: "We would like to send our condolences to Lee's family. It is devastating for them and everyone at the club would like to send their sympathy at this sad time."
Known to his friends as "Thorny", Gunner Thornton was on patrol near a building in the town of Al Qurna north of Iraq's second city when his patrol came under attack from insurgents.
Gunner Thornton was serving with 58 (Eyre's) Battery, 12th Regiment Royal Artillery, at the time of last Tuesday's attack as part of the patrol deployed to Iraq carrying out Operation Telec. It came 24 hours after two other soldiers from 58 Battery were killed when their Land Rover patrol was hit by a roadside bomb in Iraq.
Gunner Thornton suffered a single gunshot wound.
Commanding officer Lt Col Jon Campbell said: "It was typical of Gunner Thornton he volunteered to participate in the very next patrol. This gesture of defiance by Lee and his colleagues was aimed at the people who perpetrated the first attack. 12th Regiment has lost a fine man; popular and bright. The Battery, Regiment and the British Army have lost a soldier and a friend of the highest calibre.
"He was the epitome of the professional soldier; diligent, motivated, enthusiastic and tremendously fit. Thorny proved his credentials on numerous occasions during his career."
nick.hyde@blackpoolgazette.co.uk