Retirees can deduct MORE pension income

January 8, 2021

Retirees in Connecticut are now able to claim a larger deduction on pension and annuity income. Thanks to a six-year plan that began with the 2019 tax year, seniors are seeing an increase in the percentage of pension and annuity income they can deduct from their annual tax returns. The deduction for 2019 was 14% and increases to 28% for 2020. By 2025, seniors will be able to deduct 100% of their pension and annuity income!

The deduction applies to pension and annuity income for individuals earning less than $75,000 annually or married couples earning under $100,000 per year.
 
I am proud to help our seniors on fixed incomes reduce their tax burden in appreciation for their years of service to the community.