NYS Retirement

24 replies
181 views

I was under the assumption that my NYS retirement is not NYS taxable yet it is not being deducted from the amount taxed by NY. Am I missing something? This is my first year filing my retirement.

Thank you

ThomasM125Answer

Alumni - Intuit

Your NYS retirement pension benefits are not taxable if you are 65 years old or older. When you enter your W-2 form in TurboTax, you need to indicate that you have New York government pension. You will see this form and must choose one of the options:

**Say "Thanks" by clicking the thumb icon in a post. **Mark the post that answers your question by clicking on "Mark as Best Answer"

ThomasM125Answer

Alumni - Intuit

**Say "Thanks" by clicking the thumb icon in a post. **Mark the post that answers your question by clicking on "Mark as Best Answer"

gho

Level 2

This option does not exist in Turbo Tax 2-27-21 updated

Donniemac

Level 3

TurboTax is having issues with the New York State retirement exclusion. They have issued the following statement. "New York customers are currently experiencing an issue in TurboTax causing their New York pension exclusions to be incorrectly calculated. We expect this issue to be resolved by 02/19/21."

lbillettsAuthor

Level 2

Thank you

Marcia7

Level 2

We are retired Teachers receiving a pension from New York State. Our income tax for the state was rejected. Perhaps I coded it inaccurately?

Irene2805

Alumni - Intuit

What was the reject message?

Please heck your entries and wait until tomorrow to e-file again.

@Marcia7

gho

Level 2

It's 2/27 and NYS retirement is still coming up as taxable - re-installed and re-did Turbo, still coming up with error on State form. Any further estimate when this will be resolved?

gho

Level 2

Re-installed/updated TT again. Made changes as per previous posts, TT seems to treat entire sum of pension as an IRA and taxes at a rate higher than Federal tax(!) on pension. made changes to Federal form (worksheet), checked qualifies for gov exclusion. On state, shows upp as IRA distribution (4B taxable) needs to be on 5A but can't move. Called TT help and the staff checked remotely -- told me NYS retirement is charged NYS State tax over 20% of pension (as per above, TT program charging more for state tax than for federal tax). And I thought this calculation was for Federal Social security. This is second year of doing retirement tax, did laws change from last year? Anyway, dead end for Turbo Tax. Searching for alternative program/tax consultant unless someone has a solution -- if none, goodbye TT after 20 years....