Ohio State tax schedule A line 33...what is deductible? Wife receives SSA and FERS disability and survivor benefits.

[Hal_Al]

Social Security Disability Income (SSDI) is taxed the same as SS retirement. It is not deducted on line 33, but it is deducted on line 14 of Schedule A.

The FERS disability and survivor benefits, must have been included in the Federal AGI to be deductible. Form the instructions for line 33:

Deduct disability and survivor's benefits to the extent included in federal adjusted gross income. To determine if amounts are disability or survivor's benefits, you should refer to the terms of the plan under which the benefits are paid.

 You may not deduct: 

? Temporary wage continuation payments; 

? Retirement benefits that converted from disability benefits upon reaching a minimum retirement age; OR

 ? Payments for temporary illnesses or injuries (such as sick pay provided by an employer or third party). Additionally, any amounts payable, without the death of a covered individual as a precondition, are not survivor's benefits. 

See R.C. 5747.01(A)(4) and Ohio Adm. Code 5703-7-08. 

[mattg7890]

Thank you Hal. She has reached minimum retirement age but the 1099R for the FERS benefits have disability and survivor in box 7 distribution code. Are these deductible?

[Hal_Al]

No. Despite the box 7 code, for purposes of the Ohio deduction, the retirement has been converted