State Income Tax

• Louisiana is one of 27 states that provides full exclusion of Social Security retirement benefits from state income taxes. Nine other states do not have any state income taxes.
  
  

Significance

• Under federal law, states are allowed to levy income taxes on a portion of a resident's social security income. Full exclusion means that no resident ever has to pay state income taxes on these benefits, no matter how high their adjusted gross income is.
  
  

Warning

• There are 14 other states that do tax Social Security income in some way--Colorado, Connecticut, Iowa, Kansas, Minnesota, Missouri, Montana, Nebraska, New Mexico, North Dakota, Rhode Island, Utah, Vermont and West Virginia. Each state law is different, so find out the laws for a specific state before you move.