There is a federal law passed in 1995 directly addressing state taxation of retirement income for non-residents. The Pension Income Taxation Limits Act "PITLA" states:
No State may impose an income tax on any retirement income of an individual who is not a resident or domiciliary of such State (as determined under the laws of such State).
(b) For purposes of this section—
(1) The term “retirement income” means any income from—....
(F)
an eligible deferred compensation plan (as defined in section 457 of such Code)
