More than 60,000 Rhode Islanders are paying taxes on social security - retirement, disability or survivor benefits.
Seniors and retirees are bearing the brunt of the economic downturn. Their incomes are limited and have little room for growth. Rhode Island could help by joining the majority of states and providing some well-deserved tax relief for its seniors.
"27 states and the District of Columbia currently exempt Social Security income from state taxation!"
Rhode Island would not be alone. 27 other states plus the District of Columbia currently exempt social security benefits from state taxation.
States broadly fall into four categories:
State fully exempts Social Security benefits from state income tax.
State taxes Social Security benefits the similar to the federal government .
State bases benefit exemptions on certain factors such as age or income.
State does not tax income at all.
We want Rhode Island to fall into the first category. Fully exempt Social Security benefits from state income tax.
"Rhode Island is only one of six states to tax Social Security at the Federal level."
Legislation: H7207 Filed by State Rep Patricia Morgan S2192 Filed by State Sen Edward O'Neill