As a retired Louisiana state employee, I am exempt from paying state income taxes. Where do I enter this info on my returns?

[Cindy0H]

Lousiana does not tax you on retirement income as a state employee. This is how you enter the 1099R:

• Federal
• Income & Wages
• Retirement & Social Security
• Pension Plans (1099-R)..start or update
• Enter or edit your 1099R
• Make sure Box 13 has LA in it...continue
• Where this Distribution is from (see screenshot)..check the correct one
• Answer the rest of the questions

If you have other questions about this, ask in the comment box below.

[bobbie-deloney]

Thank you Cindy

[ZZ_Blonde]

I am trying to enter income from the Municipal Police Employee's Retirement System in the turbo tax software so that it is exempt on the LA tax return.  I have entered all the information straight off the 1099-R and in the state section I have entered La as the issuing state, LA as the state number (none is shown on the 1099-R form) and 0. as the taxable income for LA.  These are all blank on the 1099-R.  On the LA form in turbo tax it is showing this as taxable income just as it is on the federal form.  What do I need to do differently?  I tried the turbo tax chat online and the guy was not helpful.  Not sure he understood what I was asking.

[DaveF1006]

First of all, don't enter any information in the State section of the 1099R if nothing is  listed. If they are blank, leave blank. To exclude it as taxable income, you will need to do this in the state portion of your return.

1. Log into Turbo Tax
2. If online, select state in the left pane of your return, and begin working on your Louisiana state return. if using the software, just select the state tab and begin working in your LA return.
3. As you scroll through the screens, the program will ask if there are any other income exclusions. Here you will select the drop-down and make a selection and then the full taxable amount of the 1099R. Here is a screenshot what that screen looks like.
4. Note, read the selections in the drop-down carefully to determine which retirment income you are excluding are most applicable to you.

[Williatj1962]

When I enter the income exclusion as Louisiana employer retirement benefit it says it was already deducted and takes the amount away.  Still not giving me the exemption

[DaveF1006]

If possible, can you send us a diagnostic so we can see how this is treated in your return? The diagnostic will send us a "sanitized" version of your return, which removes all personal identifying information and all we see are numbers in the forms in your return.

To send if you are using Turbo Tax online, go to tax tools>tools>send tax file to agent. When you select that, it will give you a token number to give to us. Tell us what that token number is.

If you are using Windows Desktop, select the online button at the top>send tax file to agent.  This will also bring up a token number. 

Once you receive your token number, please let me know @DaveF1006 so we can look at your return in detail.

[Williatj1962]

I have a ticket # but will not let me reply directly to DaveF1006

# is 1008876

[FangxiaL]

When you entered your 1099-R, make sure the IRA/SET/SIMPLE box is not checked, in Box 15, enter Louisiana as the state. You should come to a screen as shown below. It should be state income tax exempt.

@Williatj1962

[lwalden]

You can also use item 24 for the exclusion

[PDaddy]

Box 13 is a date box.

[JamesG1]

When the IRS form 1099-R is entered, you should see this screen.  Select the appropriate code for the distribution.

Learn more states:

If you are age 65 or older, Louisiana deducts up to $6,000 ($12,000 if Married Filing Jointly and both of you qualify) of your other taxable retirement income. 

[PDaddy]

The retirement pension was entered properly in the federal return but not deducted from the AGI in the Louisiana return.

[BillM223]

@PDaddy 

Did you read James' answer? Did you see the screen he pointed out? This is how you remove the pension from Louisiana state income.

[PDaddy]

Yes I did. The software did not work as shown or advertised. I had to revise my 2022 and 2023 LA income tax because of this software glitch. I also had to correct LA tax return for a family member as well. The aggravating thing is that TurboTax verified the problem but would not correct my returns.