This Is How All 50 States Tax Your Retirement Income

retirement
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Texas

The Lone Star State doesn’t have state income taxes.

Utah

Utah taxes Social Security benefits.

The individual income tax rate is flat at 4.95 percent. Even so, Utah offers a retirement credit of up to $450 for taxpayers born on or before December 31, 1952, as the state confirmed.

Vermont

Vermont taxes Social Security benefits. However, because of a state law enacted in 2018, the state allows for an income tax exemption for beneficiaries who have an income below a specific amount.

The individual state income tax rates range from 3.35 to 8.75 percent, which is a very fair range, given the area and how demanded it is.

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2 thoughts on “This Is How All 50 States Tax Your Retirement Income”

  1. I understand that the Maryland Legislature just changed how much retirees pay in income taxes. I have not been able to find out the specifics of the new law. When does it take effect? What are the income limits? Can I now reduce the State witholding from my Minimum Required Diatributions?

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