Georgia provides a Retirement Income Exclusion for eligible taxpayers who meet the age or disability requirements. In addition, Social Security benefits are not taxable by Georgia and are not included in Georgia taxable income. The retirement income exclusion is claimed using the Georgia Retirement Income Exclusion Worksheet and reported on Schedule 1 (Form 500).
Retirement Income Exclusion Details
- Retirement Income Exclusion Worksheet: Eligible taxpayers must complete the Retirement Income Exclusion Worksheet to determine the allowable exclusion. The allowable exclusion is generally the lesser of the taxpayer's qualifying retirement income or the maximum exclusion permitted by Georgia law.
- Reporting the Exclusion: The allowable retirement income exclusion is entered on the appropriate retirement income exclusion line(s) of Schedule 1 (Form 500) and reduces Georgia taxable income.
- Maximum Allowable Exclusion: The maximum retirement income exclusion is determined under Georgia law based on the taxpayer's eligibility, including age or disability status.
Eligible Income
- Qualifying retirement income may include eligible pensions, annuities, IRA distributions, employer retirement plan distributions, interest, dividends, capital gains, royalties, net rental income, and certain other qualifying retirement income, subject to Georgia law and the retirement income exclusion rules.
- Social Security benefits are not taxable by Georgia and are not claimed as part of the Georgia Retirement Income Exclusion.
Tax Rule Reference
The Retirement Income Exclusion is governed by Georgia income tax law and explained in the Georgia Form 500 Instructions. Eligible taxpayers must complete the Retirement Income Exclusion Worksheet to determine the amount that may be excluded from Georgia taxable income and report the allowable exclusion on Schedule 1 (Form 500).
Source:
2025 Georgia IT-511 Individual Income Tax Instructions
Disclaimer: Always verify details with the official Georgia Department of Revenue Forms and Instructions. Tax rules may vary by year and individual circumstances. For complex situations, consult a CPA or tax attorney.