Retirement Income is generally considered taxable in DC. The District of Columbia (DC) does not tax Social Security Benefits or Railroad Tier I retirement benefits.
If you received Disability Benefits on form D-2440 and it was included in your federal income, you can subtract the income from your DC state return, if the income was included in your federal return.
Where do I enter my disability exclusion?
To enter this subtraction, go to
- State Section
- Edit DC state return
- Subtractions from Income
- Disability Income Exclusion (form D-2440)
Where do I enter my exclusion for disabled DC residents?
If you are disabled and your annual household gross income is less than $100,000, you may exclude up to $10,000 of:
- Supplemental Security Income
- Social Security Disability
- Railroad Retirement Disability
- Federal or DC Government Disability
To enter your exclusion for disabled DC residents, please follow the steps below.
- State Section
- Edit DC state return
- Subtractions from Income
- Exclusion for DC Disabled Residents