https://ttlc.intuit.com/community/retirement/discussion/illinois-police-pension-taxable-on-alabama-state-income/01/3663284#M249952 <P>Last year I moved from Illinois to Alabama and now receive a pension from my former Illinois police department's plan. Prior to moving, I researched and saw multiple articles showing that police pensions are not taxed in Alabama. While completing Turbotax I checked the box that the police pension was received while an Alabama resident, but was not from the Retirement System of Alabama (RSA). My form then shows that I owe income tax on the pension received. The Alabama Department of Revenue website lists,&nbsp;</P><UL><LI>"All retirement compensation received by an eligible peace officer or a designated beneficiary from any Alabama police retirement system."</LI></UL><P>To clarify, did I miss this and I actually owe income tax to Alabama because my pension is not administered via the RSA? Thanks for any help in clearing this up.</P> Tue, 15 Apr 2025 18:42:15 GMT Mrbeetle 2025-04-15T18:42:15Z https://ttlc.intuit.com/community/retirement/discussion/illinois-police-pension-taxable-on-alabama-state-income/01/3663284#M249952 <P>Last year I moved from Illinois to Alabama and now receive a pension from my former Illinois police department's plan. Prior to moving, I researched and saw multiple articles showing that police pensions are not taxed in Alabama. While completing Turbotax I checked the box that the police pension was received while an Alabama resident, but was not from the Retirement System of Alabama (RSA). My form then shows that I owe income tax on the pension received. The Alabama Department of Revenue website lists,&nbsp;</P><UL><LI>"All retirement compensation received by an eligible peace officer or a designated beneficiary from any Alabama police retirement system."</LI></UL><P>To clarify, did I miss this and I actually owe income tax to Alabama because my pension is not administered via the RSA? Thanks for any help in clearing this up.</P> Tue, 15 Apr 2025 18:42:15 GMT https://ttlc.intuit.com/community/retirement/discussion/illinois-police-pension-taxable-on-alabama-state-income/01/3663284#M249952 Mrbeetle 2025-04-15T18:42:15Z https://ttlc.intuit.com/community/retirement/discussion/re-illinois-police-pension-taxable-on-alabama-state-income/01/3664815#M250095 <P>Correct, Alabama only exempt pension from the Alabama police retirement system. &nbsp;See <A href="https://www.revenue.alabama.gov/individual-corporate/income-exempt-from-alabama-income-taxation/" target="_blank"><U>Income Exempt from Alabama Income Taxation</U></A></P> Tue, 15 Apr 2025 23:07:09 GMT https://ttlc.intuit.com/community/retirement/discussion/re-illinois-police-pension-taxable-on-alabama-state-income/01/3664815#M250095 MaryK4 2025-04-15T23:07:09Z