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Can you tell me why my PA state return says all my annuity income is taxable in PA after I paid fed tax?

 
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4 Replies

Can you tell me why my PA state return says all my annuity income is taxable in PA after I paid fed tax?

Is it a qualified annuity (IRA, 403(b)) or a nonqualified one?

Can you tell me why my PA state return says all my annuity income is taxable in PA after I paid fed tax?

To determine if a 1099R income is taxable by PA, consult this guide:  https://revenue-pa.custhelp.com/app/answers/detail/a_id/1470/~/how-do-i-know-if-the-amount-on-my-109...


Note that if box 7 of the 1099R contains a D, it is taxable by PA to the same extent as on the federal return.  The amount in box 2 of the 1099R will be reported as interest on the PA return.

Can you tell me why my PA state return says all my annuity income is taxable in PA after I paid fed tax?

"after I paid fed tax"
Are you saying that the annuity was funded with post tax dollars?  Even so, the gain is taxable.

Can you tell me why my PA state return says all my annuity income is taxable in PA after I paid fed tax?

If the annuity is part of an employer plan, is it not taxable.

But from PA dept of revenue's web site: "If you invest in a retirement annuity that is not part of an employer-sponsored program or a commonly recognized retirement program, you may have PA taxable income when you begin receiving annuity payments."

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