Bloomberg Tax
March 1, 2023, 5:00 AM

Iowa DOR Releases Updated Tax Guidance on Retirement Income

The Iowa Department of Revenue March 1 issued updated guidance on the exclusion of retirement income from Iowa taxable income for eligible individual income taxpayers for tax years beginning on or after Jan. 1. To qualify for the exclusion, a taxpayer must be 55 years or older on Dec. 31 of the tax year, disabled, or a surviving spouse or other survivor with an insurable interest in an individual who has qualified for the exclusion based on age or disability. The guidance also includes: 1) the retirement income exclusion covers governmental or other pension plans, including defined benefit plans and ...