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February 20, 2025
Question

Why won't Turbo Tax report my Federal Retirement as non taxable on the state Form?

  • February 20, 2025
  • 2 replies
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The state of Kansas does not tax federal retirement and all previous years Turbo Tax does it correctly but this year it is saying it is taxable even thought the help box says it isnt

    2 replies

    February 20, 2025

    Federal Civil Service Retirement or Disability Fund payments and any other amounts received as retirement benefits from employment by the federal government or for service in the United States Armed Forces including Thrift Savings Plans. are not taxed by Kansas;  however, the retirement benefits must be included in your federal adjusted gross income before it can be subtracted on your Kansas return. Retirement benefits taxed on your Federal return must be entered on Kansas Schedule S, Part A.  They are subtracted from your Federal Adjusted Gross Income on line A13 of Schedule S, Kansas Supplemental Schedule.  

     

    As you work through your Kansas return, there will be an adjustment screen for subtractions.  On that screen you enter the amount of your federal retirement benefit amount to subtract it from your Federal AGI so it won't be included in Kansas taxable income.  

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    SteamTrain
    Employee
    February 20, 2025

    Not sure what KS software is doing this year...

    BUT...

    in prior years, you made the selection in the Federal area, on a page after the main CSA-1099-R form.

    Should look something like the following (Desktop vs Online TTC displays can loo somewhat different) 

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    ____________*Answers are correct to the best of my knowledge when posted, but should not be considered to be legal or official tax advice.*