Income Tax Topics: Social Security, Pensions and Annuities

Individuals may be allowed to claim a subtraction on their Colorado Individual Income Tax Return for pension and annuity income included in their federal taxable income. This publication provides information on different pension and annuity income that may qualify for the subtraction and certain limitations that apply. Separate Colorado subtractions discussed in this publication are allowed for certain specific types of pension and annuity income. Multiple subtractions may not be claimed for the same income.

This publication is designed to provide general guidance regarding subtractions allowed for pension and annuity income and to supplement guidance provided in the Colorado Individual Income Tax Guide . Nothing in this publication modifies or is intended to modify the requirements of Colorado’s statutes and regulations.

Taxpayers are encouraged to consult their tax advisors for guidance regarding specific situations.