topic What is the US Uniformed Services retirement benefit deduction? What amount to I place in the box? in Retirement tax questions

What is the US Uniformed Services retirement benefit deduction? What amount to I place in the box?

mlapanne — Mon, 23 Feb 2026 13:26:52 GMT

Re: What is the US Uniformed Services retirement benefit deduction? What amount to I place in the...

DawnC — Sat, 04 Feb 2023 01:04:47 GMT

Are you preparing a state return? If so, which state?

Re: What is the US Uniformed Services retirement benefit deduction? What amount to I place in the...

mlapanne — Sat, 04 Feb 2023 01:08:09 GMT

North Carolina

Re: What is the US Uniformed Services retirement benefit deduction? What amount to I place in the...

ErnieS0 — Sat, 04 Feb 2023 01:29:13 GMT

It is a deduction for military retirement.

In November 2021, North Carolina enacted legislation that allows eligible retired members of the Armed Forces of the United States (“Armed Forces”) to deduct certain military retirement pay when calculating North Carolina taxable income beginning tax year 2021.

The law also allows eligible beneficiaries of the Survivor Benefit Plan (“SBP”) to deduct certain SBP payments beginning tax year 2021.

You can deduct your retirement if you meet the qualifications of 20 years of service or are medically retired or the spouse of a qualifying retiree.

Learn more at Important Notice: North Carolina Enacts New Deduction For Certain Military Retirement Pay and Survivor Benefit Plan Payments

Re: What is the US Uniformed Services retirement benefit deduction? What amount to I place in the...

mlapanne — Sat, 04 Feb 2023 02:00:03 GMT

That part I understand. Is the amount I enter the money received during the year from the military pension? For example, if $5000 was received is that the amount I put?

Re: What is the US Uniformed Services retirement benefit deduction? What amount to I place in the...

MaryK4 — Sat, 04 Feb 2023 02:09:44 GMT

Yes, that is correct, you enter the amount for pensions so it can be deducted. @mlapanne

Re: What is the US Uniformed Services retirement benefit deduction? What amount to I place in the...

13579www — Thu, 29 Feb 2024 18:07:32 GMT

My husband is medically retired from US Army and we moved to NC in June. For the benefit deduction, how do we calculate the amount? The total disability payments received from June 1- 12/31?

Re: What is the US Uniformed Services retirement benefit deduction? What amount to I place in the...

DMarkM1 — Thu, 29 Feb 2024 19:25:11 GMT

Yes, first you will allocate to NC in the income section the pension income amount received from 1 Jun - 31 Dec (7 months) (since it is typically received at the end of the month). Later in the interview you will then be able to exclude that amount from NC taxation as military retirement.

Re: What is the US Uniformed Services retirement benefit deduction? What amount to I place in the...

calderad07 — Fri, 19 Apr 2024 05:28:55 GMT

North Carolina

Re: What is the US Uniformed Services retirement benefit deduction? What amount to I place in the...

CatinaT1 — Fri, 19 Apr 2024 12:48:08 GMT

Did you have a question that hasn't been answered in this thread?