Rhode Island Tax Div. Issues Advisory for Individual Income Taxpayers on Retirement Income Changes

The Rhode Island Division of Taxation Aug. 31 issued an advisory informing individual income taxpayers that for tax years beginning Jan. 1, 2023, military service pensions will be exempted. The information includes: 1) R.I. Gen. Laws allow for a modification reducing federal adjusted gross income for taxpayers receiving military service pensions; 2) taxpayers may subtract the amount of the military service pension benefits that were included in their federal adjusted gross income, when they file their state taxes; 3) an amendment relating to private sector pensions, government pensions, 401(k) plans, 403(b) plans, and other such sources was also enacted and ...