State Social Security tax treatment for tax year 2026
Here's what to do.
First confirm the tax year and state's rules. Then calculate any tax using the state's actual worksheet and your circumstances.
Confirm the state and tax year
For tax year 2026, eight states may tax some Social Security benefits: Colorado, Connecticut, Minnesota, Montana, New Mexico, Rhode Island, Utah and Vermont. Exemptions and credits may depend on income, age and filing status. West Virginia's full exemption applies for tax year 2026.
Check the state's exemption or credit
Use your state revenue department's instructions for the tax year you are filing. Check the Social Security subtraction, exemption or credit and the worksheet for your filing status. Some people receive a full exemption, while others receive partial relief.
Calculate the actual tax
Use the applicable state form or qualified tax preparation help. Multiplying all benefits by a tax rate can miss exemptions, credits and other rules. Compare the completed calculation with your federal return.
If moving, compare the full costs
Compare housing, health coverage, family support and the full mix of taxes and expenses. State Social Security treatment is one part of that decision. If two states are involved, check both states' residency and filing rules.
Which of these sounds more like you?
Your state, your income, and your filing status all matter. Find the situation that fits.
I live in a state that does not tax Social SecurityCheck other taxes and filing requirements separately
Many states do not tax Social Security benefits, either because they exempt them or because they do not impose a broad personal income tax. That does not mean the state has no taxes or that every household has no filing obligation.
State and federal taxes are separate. A state exemption for Social Security does not remove possible federal tax or state filing requirements for other income.
My state has income tax but doesn't tax Social SecurityFollow the state's return instructions
A state can have an income tax and still exempt Social Security. Follow its instructions to report any required subtraction or other adjustment. Do not assume no form or entry is needed.
State and federal taxes are separate. A state exemption for Social Security does not remove possible federal tax or state filing requirements for other income.
I'm in one of the eight states and my income is modestYou may qualify for a full or partial exemption
Use your state revenue department's instructions for the tax year you are filing. Check the Social Security subtraction, exemption or credit and the worksheet for your filing status. Some people receive a full exemption, while others receive partial relief. Do not assume tax is owed merely because your state is on the list.
I'm in one of the eight states and my income is higherUse the state's worksheet
An exemption or credit may phase out as income rises. The state calculation can differ from the federal calculation. Use the current state instructions to determine the amount rather than applying a blanket percentage or assuming every state follows the same method.
I'm thinking of moving to dodge state Social Security taxCompare the full cost of living
Estimate actual taxes under the relevant state rules and compare housing, health care and other costs. Include family support and access to care in your decision. A headline about Social Security taxation does not determine the best place for your household.
I split time between two states — which one taxes me?Check both states' residency rules
If you moved or spent time in two states, check each state's resident and part-year-resident instructions. Do not decide tax residency from a single day-count rule. A tax professional familiar with both states can help apply the rules to your dates and circumstances.
I have rental income or business income in another state on top of Social SecurityAsk about all relevant filing obligations
Income from property or business activity in another state can create additional filing questions. Review resident, part-year and nonresident instructions for the states involved, including any credit for taxes paid elsewhere. Ask a qualified tax professional about your circumstances.
I'm helping a parent figure out their state's ruleFind the official instructions for the year being filed
Help the person identify the tax year, state and filing status. Find the state's official Social Security exemption, subtraction or credit instructions. Preserve their records and use authorized help if needed.
State and federal taxes are separate. A state exemption for Social Security does not remove possible federal tax or state filing requirements for other income.
Everything people ask me
Which states still tax Social Security in 2026?
For tax year 2026, eight states may tax some Social Security benefits: Colorado, Connecticut, Minnesota, Montana, New Mexico, Rhode Island, Utah and Vermont. Exemptions and credits may depend on income, age and filing status. West Virginia's full exemption applies for tax year 2026.
Which states have eliminated their Social Security tax recently?
West Virginia completed its full Social Security exemption for tax year 2026. Nebraska's full exemption began with tax year 2024. Use the rules for the year you are filing, since an older article may describe an earlier phase-in.
Do all eight states tax Social Security the same way?
No. Their exemptions, subtractions and credits can depend on age, income and filing status. A person may owe no state tax on Social Security even in a state on this list. Use that state's instructions for the relevant tax year.
If my state taxes Social Security, do I owe on the same percentage the IRS taxes?
Not necessarily. The federal taxable amount can be part of a state calculation, but state exemptions, subtractions and credits still matter. Use the state worksheet rather than assuming the same taxable percentage or applying a single rate to all benefits.
Can I have state tax withheld from Social Security?
Social Security offers federal income-tax withholding. If you expect to owe state tax, ask your state revenue department whether estimated payments or another payment method are required for your circumstances. Follow the state's current forms and deadlines.
What about states with no income tax — do they tax anything?
A state that does not tax Social Security may still collect other taxes. Check the state's current rules for your other income and property, and local taxes where you live. Social Security's treatment does not answer the whole tax question.
Should I move to a state that doesn't tax Social Security?
Compare the actual tax calculation with housing, health care, family support and other expenses. The decision depends on your circumstances. Do not choose a move from the Social Security tax headline alone.
I'm a snowbird — which state taxes my Social Security?
If you moved or spent time in two states, check each state's resident and part-year-resident instructions. Do not decide tax residency from a single day-count rule. A tax professional familiar with both states can help apply the rules to your dates and circumstances.
Does the state tax my SSDI (disability) benefits?
Check the state's Social Security benefit instructions for your tax year and circumstances. SSDI is a Social Security benefit; SSI is a different program and is not taxable. Do not assume that a retirement-focused age exemption automatically applies to a younger disability beneficiary.
Where can I find my state's exact rule?
Use your state revenue department's instructions for the year you are filing. Look for its Social Security subtraction, exemption or credit. The Connecticut legislature's July 2026 comparison is a useful starting point, but some dollar amounts in its table are explicitly for 2025; check the underlying state's current instructions before using an amount.
Check assistance programs separately
Tax treatment does not establish eligibility for a benefit program. Each program has its own income, resource and other rules.
Medicare Savings Program (MSP)
Medicare Savings Programs use their own rules. Ask your state Medicaid agency about help with Medicare costs even if your state taxes some Social Security benefits.
Extra Help (Low Income Subsidy)
Extra Help considers income, resources and other requirements. A state tax exemption does not establish eligibility. U.S. territories have different prescription-assistance arrangements.
Medicaid
Medicaid pathways and financial rules vary by state. State Social Security taxation does not determine Medicaid eligibility; ask the Medicaid agency to check the appropriate pathway.
SNAP (Food Benefits)
Ask the SNAP agency how it counts income, resources and allowable deductions. State income-tax treatment does not establish SNAP eligibility.
LIHEAP (Energy Bill Help)
Energy assistance has separate local program rules and funding. Ask the program about eligibility and how to apply.
Property Tax Relief
Ask your state or local tax office about property-tax exemptions or credits. These have their own requirements and application deadlines.
Official sources for these corrections
Reviewed October 22, 2026. Dates and program qualifications are stated in the text.
- Connecticut OLR: State Income Tax Exemptions on Social Security Benefits
- West Virginia Social Security Modification
- 2023 Nebraska Legislative Changes
- IRS Social Security income
- Minnesota Social Security Benefit Subtraction
- Colorado HB24-1142
- https://www.ssa.gov/manage-benefits/request-withhold-taxes
- https://www.ssa.gov/ssi/text-income-ussi.htm
A useful next step
Explore the library for related benefits guides. The official sources above remain the place to check the rules for this specific question.
About Dr. Ed Weir
Dr. Ed Weir, PhD, spent over 20 years as a Social Security Administration District Manager and over 30 years in government service. He watched good people lose benefits they'd earned every single day because nobody told them the rules. Over $30 billion in benefits goes unclaimed every year. He built 24Help.org to change that.
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