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Originally posted by: motownbob
Hey BB ,
All but seven states tax pensions . And here is Michigan's pension tax information with all the exemptions and levels where the actual taxing of pensions begin .
Michigan has overhauled its income tax rules for retirement benefits.
For taxpayers born before 1946: Military pensions and federal, state and local government pensions are exempt. Private pension income is also exempt, up to $48,302 (single filers) or $96,605 (joint filers) for 2013. There’s also a deduction for interest, dividends and capital gains up to $10,766 (single) or $21,534 (joint).
For taxpayers born between 1946 and 1952: Military and Railroad Retirement benefits are exempt from state income tax. These taxpayers, however, may not deduct interest, dividends or capital gains. Other public and private pension income is exempt up to $20,000 (single filers) or $40,000 (joint filers). Once these taxpayers turn 67 years old, the deduction for pension/retirement benefits is replaced by a standard deduction against all income of $20,000 (single) or $40,000 (joint). The standard deduction is reduced by any deductions taken for military retirement benefits or Railroad Retirement income. Beginning in 2013, retirees with pension benefits from employment with a government entity that was exempt from the Social Security Act have higher deduction limits.
For taxpayers born after 1952: Military and Railroad Retirement benefits are exempt from state income tax. These taxpayers, however, may not deduct interest, dividends and capital gains. They also may not exempt other public and private pension income. Once these taxpayers turn 67 years old, they may either deduct Social Security, military and Railroad Retirement income or deduct $20,000 (single filers) or $40,000 (joint filers) from all income sources
Read more at https://www.kiplinger.com/tool/retirement/T055-S001-state-by-state-guide-to-taxes-on-retirees/index.php?map=&state_id=23&state=Michigan#T328RjkSccgPWKYp.99
As you can see many groups are exempt . You may want to rethink your statement , instead of spouting off your parties bullet points . A little self education goes a long way . Bob
Bottom line is retirees never paid state taxes on their pensions till snyder took over.
