Kansas does not tax Social Security benefits for eligible taxpayers. Social Security benefits that are excluded from federal taxable income remain excluded when calculating Kansas taxable income. Kansas taxpayers do not add Social Security benefits back to income on their Kansas individual income tax return.
Kansas Treatment of Social Security Benefits
- Federal Exclusion: Social Security benefits that are not included in federal taxable income are not subject to Kansas income tax.
- No Kansas Addition: Taxpayers do not add federally excluded Social Security benefits to Kansas Adjusted Gross Income (KAGI).
- Form K-40 Reporting: Social Security benefits included in federal Adjusted Gross Income flow through to the Kansas return, but Kansas law provides an adjustment so qualifying Social Security benefits are not taxed.
Eligibility and Income Considerations
- Kansas does not impose an income tax on Social Security benefits regardless of the taxpayer’s age.
- Kansas residents receiving Social Security retirement benefits, Social Security disability benefits, or survivor benefits generally do not pay Kansas income tax on those benefits.
- Other retirement income, pensions, wages, interest, dividends, or taxable income may still be subject to Kansas income tax.
Reporting on Kansas Return
- Taxpayers should report income as required on their federal tax return before applying Kansas modifications.
- Any required Kansas adjustment for Social Security benefits is reported through the appropriate Kansas adjustment schedule, if applicable.
- Taxpayers should refer to Schedule S – Modifications to Federal Adjusted Gross Income and the Form K-40 instructions for the applicable tax year.
Important Notes
- Kansas follows federal treatment for Social Security benefits that are excluded from federal taxable income.
- Taxpayers who receive Social Security benefits do not need to pay Kansas income tax on those benefits.
- Although Social Security benefits are not taxed by Kansas, other income sources may affect overall Kansas tax liability.
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Disclaimer: Always verify tax information with official forms and instructions from the Kansas Department of Revenue or the IRS. Tax rules may vary by state and year, and individual circumstances may require professional advice from a CPA or tax attorney.