TomK
Expert Alumni

Retirement tax questions

North Carolina exempts all Social Security retirement benefits from income taxes. Other forms of retirement income are taxed at the North Carolina flat income tax rate of 5.499%.  Unlike many other states, North Carolina does not allow deductions on any type of retirement income. However, the North Carolina standard deduction is fairly large.

Individual Income Tax: https://www.ncdor.gov/taxes-forms/individual-income-tax