Georgia income exclusions

[fxstc9930635]

I am currently eligible for a $35000 georgia state income exclusion for a 100% va rated disability...I have also turned 62 which is also supposed to make me eligible for a $35000 exclusion...can I claim both exclusions in GA or am I limited to just $35000?

[ErnieS0 · Accepted solution]

No. You may be thinking of the same $35,000 exclusion. The Georgia Retirement Inclusion covers taxpayers who are 62 or older, or permanently and totally disabled regardless of age.

So prior to turning 62, you may have claimed the $35,000 exclusion due to 100% disability. Upon turning 62, the exclusion is available to all taxpayers. There is only one $35,000 exclusion per person.

The retirement exclusion is $65,000 if the taxpayer is 65 or older.

Eligible retirement income includes:

• Income from pensions and annuities
• Interest income
• Dividend income
• Net income from rental property
• Capital gains income
• Income from royalties
• Up to $4,000 of earned income

For married couples filing joint returns with both members receiving retirement income, the maximum adjustment for that year may be up to twice the individual exclusion amount. Retirement income exceeding the maximum adjustable amount will be taxed at the normal rate.

TurboTax will automatically calculate your exclusion if you qualify based on age. If you are disabled TurboTax will ask some questions to figure out if you are eligible.

[fxstc9930635]

Thank you for the clarification!

[tsfllmsb]

On what date do you have to be 62 to receive this credit?   No where in the GA tax booklet does it cover this and no where does it discuss if you can prorate if you turn 62 at some point during the year? 

Thanks

[DoninGA]

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@tsfllmsb wrote:

On what date do you have to be 62 to receive this credit?   No where in the GA tax booklet does it cover this and no where does it discuss if you can prorate if you turn 62 at some point during the year? 

Thanks

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You have to be age 62 on or before 12/31/2021 to be eligible for the Retirement Income Exclusion on the 2021 Georgia state tax return.