I am 57 years old and am qualified to retire because of my 38 years of government service. Is my retirement income taxable in Pennsylvania?

by Larry M. Carroll, CPA | Jul 12, 2016
askacpaicon

I’m retiring with 38 years of government service. I am 57 years old and am qualified to retire because of my years of service. Is my retirement income taxable in Pennsylvania?

Distributions from retirement plans before age 59 1/2 are taxable unless they are with respect to death, disability, or retirement. So, based upon the facts you presented, your distribution would not be taxable.  For more information, consult the Pennsylvania Personal Individual Income Tax Guide.

Answered by: Larry M. Carroll, CPA, is individual practitioner with Larry M. Carroll CPA PC in Blue Bell, Pa.

Disclaimer
The responses are based on the limited information provided by the questioner and apply the laws and regulations at the time of posting. Other options could arise as rules and regulations may change over time, including but not limited to the passage of the Tax Cuts and Jobs Act of 2017. They are intended to provide general information, not specific accounting or tax advice; they are not intended or written to be used and cannot be used for the purpose of avoiding or evading taxes or penalties under the IRS code or regulations. Views expressed do not imply an opinion of the PICPA, its officers, directors, employees, or members.
Financial FAQs

Search the most frequently asked finance and accounting questions and read the responses from PICPA members. Always consult a CPA before taking action.

Search