Does the Georgia Retirement Income Exclusion apply to Non-Residents?

[Kh52]

My question is: Does a non-resident qualify for the retirement exclusion if the only income attributable to George is a partner’s distributive share of rental income?

In 2024, we acquired a partnership interest, and the partnership reported our distributive share of Georgia-apportioned and allocated income on the Federal Schedule K-1. I have read Georgia’s tax return instructions for part-year and non-residents, and I am still unclear about them. We are retired in Nevada. Are we eligible to include this exclusion adjustment on the Georgia state return?

[DoninGA · Accepted solution]

The retirement income exclusion for nonresidents is prorated based on the ratio of Georgia-source retirement income to their total retirement income (as if they were a Georgia resident for the entire year). This means that the amount of the exclusion they can claim is reduced proportionally based on the amount of their retirement income that is considered to be from Georgia sources.

[Kh52]

I agree that the exclusion should be proportionately adjusted based on the reported Georgia source. I needed reassurance that I was on the right track.  Thank you for your quick response!