topic Maryland excludes up to 29000 of pension income from state taxes. How do I identify pension income that may be excluded from MD income tax? in Retirement tax questions

Maryland excludes up to 29000 of pension income from state taxes. How do I identify pension income that may be excluded from MD income tax?

klemfamily — Tue, 04 Jun 2019 22:51:31 GMT

Maryland excludes up to 29000 of pension income from state taxes. There was no way to indicate this when I entered the 1099-R. Where do I do this in Turbotax Permier?

In preparing your MD tax return, TurboTax goes by the fac...

dmertz — Tue, 04 Jun 2019 22:51:32 GMT

In preparing your MD tax return, TurboTax goes by the fact that the Form 1099-R has code 7 and not code D in box 7 and does not have the IRA/SEP/SIMPLE box marked.

Note that your exclusion amount is $30,600 minus whatever amount of Social Security income you received. If you received $30,600 or more of Social Security income, you receive no pension exclusion. ($29,900 was the maximum pension exclusion for 2017.)

Re: In preparing your MD tax return, TurboTax goes by the fac...

mpeterson14 — Thu, 27 Feb 2020 16:29:29 GMT

My USG 1099-R has distribution code 7. Are Code 7's excluded from the pension exclusion?

Re: In preparing your MD tax return, TurboTax goes by the fac...

KrisD15 — Sun, 01 Mar 2020 02:54:37 GMT

Code 7 means it is a normal distribution.

Can you explain what you mean by "pension exclusion"?

Is this for your Maryland state return?

Re: In preparing your MD tax return, TurboTax goes by the fac...

Holman94 — Mon, 23 Mar 2020 03:19:57 GMT

On my 1099-R, if there is a 7 in the box rather than a D, does that meant that the turbo Tax program will automatically do the right pension exclusion or do I need to do something to ensure that it is done properly?

Re: In preparing your MD tax return, TurboTax goes by the fac...

DMarkM1 — Mon, 23 Mar 2020 15:50:32 GMT

No. You got it. Enter the 1099-R information from your form with code 7. When you go through your MD interview you will see the pension exclusion.