Retirement income in Utah
Varies
Does Utah Tax Retirement Income?
Short answer: Yes. Pensions and 401(k)/IRA withdrawals are taxed at Utah's flat rate. A retirement credit of up to $450 is available only to taxpayers born on or before December 31, 1952, and phases out above $25,000 single / $32,000 joint modified AGI. Classified as taxed because the small credit is limited to older, lower-income filers.
Pensions, traditional IRA and 401(k) withdrawals are taxable federally either way; Roth withdrawals after 59½ (5-year rule met) are tax-free.
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.
Retirement income in Utah
Varies
Individuals / Personal Taxes
Yes. Pensions and 401(k)/IRA withdrawals are taxed at Utah's flat rate. A retirement credit of up to $450 is available only to taxpayers born on or before December 31, 1952, and phases out above $25,000 single / $32,000 joint modified AGI. Classified as taxed because the small credit is limited to older, lower-income filers.
Business justification
Yes. Pensions and 401(k)/IRA withdrawals are taxed at Utah's flat rate. A retirement credit of up to $450 is available only to taxpayers born on or before December 31, 1952, and phases out above $25,000 single / $32,000 joint modified AGI. Classified as taxed because the small credit is limited to older, lower-income filers. Pensions, traditional IRA and 401(k) withdrawals are taxable federally either way; Roth withdrawals after 59½ (5-year rule met) are tax-free.
Category
- Personal Tax Deductions