New York State Retirement

Forum|Forum|5 years ago
February 8, 2021
4 replies
42 views

Our New Your State Retirement distributions are being treated as taxable on our New York State Tax return. It should be NYS Tax exempt. How do we correct this?

DaveF1006

Level 15

If your income has not be excluded in your return, try these steps.

Log into Turbo Tax
Select the State Taxes tab on the left side of your screen.
As you navigate through the screens, you will see a screen that says changes to federal income.
Look under the heading Wage and Retirement Adjustments
The first entry below that will say Received Retirement income.
You will make entries in this section that will determine the full taxability of your NY pension.
Answer the questions on each screen
On the screen titled Governmental Pension Exclusion enter the taxable amount to exclude from the NY return. Here is where you would enter the full amount of your retirement distribution.
The next screen will show you the Pension Deduction Summary

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12aug72Author

Level 2

Thank you for the guidance. The issue has been resolved.

Nancy61

Level 2

I am having the same problem. Not sure what to do.

ToddL99

Level 13

First, to get the exclusion to work correctly, select US Government (Including Military ) instead of New York State and Local Retirement System (NYSLRS). Other posters have had the same issue and this option worked for them.

Alternatively, see @DaveF1006 post immediately above:

If your income has not be excluded in your return, try these steps.

Log into Turbo Tax
Select the State Taxes tab on the left side of your screen.
As you navigate through the screens, you will see a screen that says changes to federal income.
Look under the heading Wage and Retirement Adjustments
The first entry below that will say Received Retirement income.
You will make entries in this section that will determine the full taxability of your NY pension.
Answer the questions on each screen
On the screen titled Governmental Pension Exclusion enter the taxable amount to exclude from the NY return. Here is where you would enter the full amount of your retirement distribution.
The next screen will show you the Pension Deduction Summary