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Is my qualified annuity (National Elecrical Annuity Plan) taxable in the state of Michigan?
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Is my qualified annuity (National Elecrical Annuity Plan) taxable in the state of Michigan?
Yes, it is. If it is a qualified distribution, however, some may not be taxable. Turbo Tax will figure that out for you, based on answers to questions on both the federal and state input.
This, from michigan.gov:
What are Qualified Distributions?A subtraction is allowed on the Michigan return for qualifying distributions from retirement plans. Retirement plans include private and public employer plans, and individual plans such as IRA's. To be considered a qualified distribution for the subtraction, several requirements must be met. For employer plans, an employee must have retired under the provisions of the plan, the pension benefits must be paid from a retirement trust fund, and the payment must be made to either the employee or a surviving spouse. (Payments made to a surviving spouse are only deductible if the employee qualified for the subtraction at the time of death.)
For qualifying distributions, there may be a limitation on the amount of the exemption that can be claimed.
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