Military retirement pay in Nebraska
Varies
Does Nebraska Tax Military Retirement Pay?
Short answer: No. Nebraska fully exempts military retired pay from state income tax (100% since tax year 2022). Other retirement income: Pensions and 401(k)/IRA withdrawals are taxed as ordinary income; Nebraska has no general pension or IRA exclusion.
Military retired pay is taxable federally; VA disability compensation isn't taxed federally or by any state.
Records to keep: Keep your state return, W-2s and 1099s (1099-R, SSA-1099), and any state credit worksheets. Check your state revenue department's current-year instructions before you file.
Military retirement pay in Nebraska
Varies
Individuals / Personal Taxes
No. Nebraska fully exempts military retired pay from state income tax (100% since tax year 2022). Other retirement income: Pensions and 401(k)/IRA withdrawals are taxed as ordinary income; Nebraska has no general pension or IRA exclusion.
Business justification
No. Nebraska fully exempts military retired pay from state income tax (100% since tax year 2022). Other retirement income: Pensions and 401(k)/IRA withdrawals are taxed as ordinary income; Nebraska has no general pension or IRA exclusion. Military retired pay is taxable federally; VA disability compensation isn't taxed federally or by any state.
Category
- Personal Tax Deductions