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drandle3
New Member

How to view my $5000 military retirement tax credit on my maryland state tax return

 
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3 Replies
IreneS
Intuit Alumni

How to view my $5000 military retirement tax credit on my maryland state tax return

On the MD return, there is not a tax credit on military retirement, but there is a deduction from your taxable income.  According to the instructions for MD Form 502:

Up to $5,000 of military retirement income received by a qualifying individual during the tax year if the taxpayer has not yet attained the age of 65; or up to $10,000 of military retirement income received by a qualifying individual if the taxpayer is age 65 or over.

TurboTax will take care of including this deduction. 

  1. Go back to the information from your 1099-R. 
  2. After a few screens you will see Where Is This Distribution From?  Mark the radio button next to Active duty military retirement[See Screenshot #1, below.]
  3. Also enter the MD distribution amount, withholding, and Payer's MD State ID and click Continue.
  4. Continue through the rest of the screens, entering the requested information.

When you go into your MD return, you will see a screen, Here's the income that Maryland handles differently.  You will see the MD Pension exclusion at the top of the screen.  [Screenshot #2]




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How to view my $5000 military retirement tax credit on my maryland state tax return

I do not have any of the options shown for the Maryland pension screen after the 1099-R info has been entered. After selecting the None of the above check off, what do I enter into the Maryland Distribution Amount field?

DMarkM1
Employee Tax Expert

How to view my $5000 military retirement tax credit on my maryland state tax return

You can put the 1099-R distribution amount minus the exclusion amount according to your age in that box and it will be deducted from your Maryland return.  

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