qbteachmt
Level 15

"VA does not allow retirement income to be subtracted from the federal amount unless it is being taxed by another state. Maryland as no provision for adding retirement income for a nonresident.
Kind of sounds like I answered my own question there"

Yes, it does.

"Logic makes me think it is unreasonable for a VA resident de taxed on income received as a nonresident."

I don't see why you would think this. There are States that use Federal income, and there are States that use Resident's income. Most times, 401(k) as employer-related, would be considered a Sourced retirement; or a public pension is Sourced. IRA is "individual" and not sourced. Source isn't always applicable. Example: I am in Montana. A CA resident hits the CA lottery, which would not be taxable in CA, if they stayed in CA. They move to MT. MT taxes all of it, because this is their income and they are MT residents.

"He is a full year resident of VA for 2021."

"Social Security retirement benefits are not taxed in Virginia. Other types of retirement income, such as pension income and retirement account withdrawals, are deductible up to $12,000 for seniors."

https://smartasset.com/retirement/virginia-retirement-taxes

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