Taxation - Military Retirement?

[Snaggletooth]

Are there any states which impose a state income tax on Military Retirement?

I'm not aware of any. Besides, was there not a supreme court ruling which prevented states from taxing retirement whose source was not from that state??

[erchess]

In a word no

Are there any states which impose a state income tax on Military Retirement?

I'm not aware of any. Besides, was there not a supreme court ruling which prevented states from taxing retirement whose source was not from that state??

NC is the only State I know well enough to comment. It taxes some Military Pensions but not others. Here's the history. State Employees were promised over the years that their retirement would not be subject to NC Tax and it wasn't. Then the State was sued by people whose retirements were Federal, Military, and Other State. They won a judgment to the effect that NC could not discriminate against other government pensions. So the State decided to tax all government pensions. But the State Employees sued and won a judgment to the effect that the pensions of State Employees vested as of some date in August of 1989 could not be taxed but the pensions of the rest could. Well you see where this is going. So now NC taxes all government pensions unless the worker was vested as of August the something 1989.

[travis bickle]

Several states

Are there any states which impose a state income tax on Military Retirement?

I'm not aware of any. Besides, was there not a supreme court ruling which prevented states from taxing retirement whose source was not from that state??

tax military retired income [at least partially].

Read the page at this url:

http://www.military.com/benefits/military-pay/retired-pay/state-retirement-income-tax

[Bonnie]

States- Military retirement

I know this is the first year that Ohio is not taxing military retirement. Not sure of the story on it but I have family there who asked me about it and in checking I found that as of this year it is not taxed.

Also Kentucky only taxes retirement above $41,110 (this amount adjusts every year). So rarely but sometimes part of the military retirement could be taxable in Kentucky. I have one customer who is a retired officer and his retirement pay is over that amount so the over and above amount is taxable to the state of Kentucky. In the past I also did a return for someone who was drawing two government retirement checks, one for military service and one for civil service. Their total for the two was over the limit so some of their retirement was taxable to Kentucky.

[ChEAr$]

Yes

Are there any states which impose a state income tax on Military Retirement?

I'm not aware of any. Besides, was there not a supreme court ruling which prevented states from taxing retirement whose source was not from that state??

Georgia does. HOW ever...... the retirement income exclusion, now at $35,000 per person
(up to $70,000 total on joint return) effectively takes care of any tax bite.

[Lion]

CT Taxes

CT taxes everything. Although, I don't have any retired military as clients so really haven't paid attention to that topic before.

[taxmandan]

Oregon taxes retirements including military. However, like someone posted about NC, we also have exclusion of federal government retirements earned prior to Oct 1991. Otherwise it's taxable like any pension.

[DaveO]

NE taxes any income

Reflected in Federal AGI. It doesn't matter where it's from. If you earned it in a state with no income tax or a lower tax than NE they will tax the difference.

[joanmcq]

CA, we tax everything too. except social security and unemployment.

[Lion]

Ct

CT taxes SS at 50% instead of the federal 85%. CT starts with AGI, so unemployment gets taxed, too.

[tpnl]

Ohio

This year Ohio is allowing a deduction for military retirement. Before it was taxed like any other pension.