Annuity Income

melopez63 — Sun, 21 Feb 2021 21:18:04 GMT

I received a one-time annuity distribution from the DC-37 union upon retiring from NYC service. I did not make any contribution towards this annuity.

Is the distribution I received subject to Federal and NYS taxes?

Re: Annuity Income

AmyC — Thu, 25 Feb 2021 00:52:41 GMT

Yes, your employer funded annuity is taxable to the federal government. See DC 37 Benefits: Annuity Fund Plan. Which states:

The Plan and the Annuity Fund are intended to satisfy the tax qualification requirements under sections 401(a) and 501(a) of the Internal Revenue Code as a governmental retirement plan.

For NY, your pension income is not taxable in New York State when it is paid by: New York State or local government. the federal government, including Social Security benefits. certain public authorities. See Information for retired persons - Department of Taxation for full details.

topic Annuity Income in Retirement tax questions

Annuity Income

Re: Annuity Income