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ken126
New Member

If IRA withdrawals are prior to moving to Colorado, are those withdrawals taxable by Colorado State Income Tax?

The IRA withdrawals were not while a resident of Colorado. Moved to Colorado on April 1, 2024. The IRA withdrawal was while living in Texas
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Accepted Solutions
TomD8
Level 15
Intuit Approved! This answer has been verified for accuracy by an Intuit expert employee

If IRA withdrawals are prior to moving to Colorado, are those withdrawals taxable by Colorado State Income Tax?

IRA distributions that you received as a resident of Texas are not taxable by Colorado.

**Answers are correct to the best of my ability but do not constitute tax or legal advice.

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3 Replies
TomD8
Level 15
Intuit Approved! This answer has been verified for accuracy by an Intuit expert employee

If IRA withdrawals are prior to moving to Colorado, are those withdrawals taxable by Colorado State Income Tax?

IRA distributions that you received as a resident of Texas are not taxable by Colorado.

**Answers are correct to the best of my ability but do not constitute tax or legal advice.
ken126
New Member

If IRA withdrawals are prior to moving to Colorado, are those withdrawals taxable by Colorado State Income Tax?

Thank you.    But TurboTax is not deducting the IRA withdrawal that was made while in Texas.  It is passing the entire IRA withdrawal to the Colorado state income  tax forms where there doesn't appear to be a way to take it out.    It's making a several-thousand dollar difference in my Colorado tax liability that I believe is wrong.  

AnnetteB6
Expert Alumni

If IRA withdrawals are prior to moving to Colorado, are those withdrawals taxable by Colorado State Income Tax?

If you are filing a part-year resident return for Colorado (or any part-year resident return), there should be a chance to allocate income that is reported on your Federal return to that particular state.  

 

After several initial screens in the Colorado part-year return, you will start to see a new screen for each category of income items reported on your Federal return where you can see the amount that was reported on the Federal return and then enter the amount that corresponds to Colorado.  When you get to the screen asking about taxable IRA, pension, and Social Security benefits, be sure to only enter any benefits you received while a resident of Colorado.  Do not include the IRA withdrawal that was made when you lived in Texas.

 

@ken126 

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