Social Security and Railroad Retirement Benefits
If your social security or railroad retirement benefits were taxed on your
federal return, you may take a deduction on your North Carolina individual income
tax return. You may take this deduction because this income has already been
included as part of your federal adjusted gross income and North Carolina does not
tax this income. This deduction will increase your refund or decrease the amount
you must pay.
Any social security benefits you received that are not
included in your federal adjusted gross income cannot be deducted
on your North Carolina return. If your federal adjusted gross income includes
social security benefits, enter the taxable amount of social
security on page 3 of your Form D-400, line 40.
You can only deduct supplemental benefits paid by the railroad under the provisions
of the Railroad Retirement Act. If you were an employee of a railroad company
and received a distribution from the company's retirement plan, this amount
does not qualify for the deduction because it was not paid under the
provisions of the Railroad Retirement Act. If your federal adjusted gross income includes
Railroad retirement benefits received under the provisions of the U.S. Railroad
Retirement Act, enter the taxable amount on page 3 of Form D-400, line 40. This
amount will become part of the total line 9 amount on page 1 of your Form D-400.
Last modified on:
01/03/13 03:39:48 PM.