Connecticut taxes on retirement

[kbennett42]

Connecticut does not tax Social Security or pensions if your Adjusted Gross Income is below 75,000 if filing Single and 100,000 if filing Married Filing Jointly. If my AGI is $109,000 and I am filing jointly do I have to pay taxes only on the $9,000 I am over or on the entire $109,000?

Thank you!

[KrisD15]

For Tax Year 2023, Connecticut exempts retirement income for taxpayers with income under 75,000 Single and 100,000 Joint.  If the taxpayer is over that limit, their retirement is subject to tax, with only 25% guaranteed to be exempt from tax.

Starting tax year 2024, the taxable portion of retirement income will be on a sliding scale. 

For Tax Year 2024, with an income of 109,000 Married Filing Jointly, you can exempt 70% of your retirement income. 

{Edited 04/02/2024 I 2:48 pm PST]

Click here for more information 

[kbennett42]

70% for 2023?

[KrisD15]

I stand corrected, the chart I was referring to does not take effect until tax year 2024. 

It seems that for tax year 2023, there is no sliding scale and if over the 75,000/100,000 income limit, the pension will be subject to tax with 25% exempt on IRS distributions.  

Link

@kbennett42