State Tax on Retirement Checks

[svkatface]

Dealing with the issues concerning retirement. Do states withhold income tax from federal retirement checks if you don't live in any state? Get mailing address in FL? Anyone work this out already?

[skipmac]

There is no state income tax in Florida so if you establish legal residence here you will not have any state withholding.

[BandB]

Originally Posted by svkatface

Dealing with the issues concerning retirement. Do states withhold income tax from federal retirement checks if you don't live in any state? Get mailing address in FL? Anyone work this out already?

Living in a state isn't a legal status or lack of one. The question is do you have residency in a state. The answer is you have residency in the last state until you go through the steps to establish it in a new state.

37 states have no tax on social security benefits. The other states generally fall into two groups. One group taxes on the same basis the IRS taxes benefits, so may or may not be taxed. The other group generally has some sort of deductions or exclusions based on many factors.

Florida often comes up as a state of residency as it is one of the easiest to establish. Many use St. Brendan's. But till you must be sure to take all the actions that will eliminate your prior residency. You can't maintain a house in the old state and then just establish a box in Florida and expect the old state to let you off.