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In NC what is the allowable US armed forces retirement benefit deduction?

 
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5 Replies
PattiF
Expert Alumni

In NC what is the allowable US armed forces retirement benefit deduction?

The new laws passed in North Carolina allow for the deduction of all retirement pay for the Armed Forces member who served for at least 20 years or was medically retired. This also applies to a beneficiary of a retired member. 

 

See Military Retirement for North Carolina.

 

 

 

 

 

 

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In NC what is the allowable US armed forces retirement benefit deduction?

Thanks Patti. Do I use the total amount received for the year on the 1099 or the withholding that was taken out for NC? It’s not very clear. 

PattiF
Expert Alumni

In NC what is the allowable US armed forces retirement benefit deduction?

You would deduct the total amount that was received as long as you were in the service for at least 20 years or were medically retired.

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AY87
Returning Member

In NC what is the allowable US armed forces retirement benefit deduction?

Good evening.  I would like to know which amount I should enter, gross distribution or state tax withheld?

 

I have more than 20 years of military service

BillM223
Expert Alumni

In NC what is the allowable US armed forces retirement benefit deduction?

Enter your gross distribution, on the assumption that it was 100% taxable on the federal return (only the amount taxable on the federal return can be removed on the NC return).

 

 

@AY87

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