Find out the 9 states that will tax Social Security benefits in 2025

In the U.S. the Federal Government does include social security benefits in its calculation of combined income, which is then taxed at a federal level.

Individual States also have the right to tax Social Security benefits, however all but nine have now decided not to tax these benefits.

States that no longer tax social security benefits

Missouri and Kansas decided not to tax social security benefits in 2024, leaving only nine states that still tax benefits in 2025.

Note though that many states have exemptions and/or allow deductions for federal taxes, so pay attention to the rules in each state when it comes to time to file your state taxes.

Nine states that tax social security benefits

The nine states that still tax social security benefits are:

Colorado, Connecticut, Minnesota, Montana, New Mexico, Rhode Island, Utah, Vermont, West Virginia

Here are the exemptions for each state.

Colorado

Starting in 2025, residents aged 55 to 64 with an adjusted gross income (AGI) of $75,000 or less (individuals) or $95,000 or less (couples filing jointly) can fully deduct federally taxed benefits on their state income tax returns.

Connecticut

Single filers (or married individuals filing separately) with an AGI below $75,000, and married couples filing jointly with an AGI below $100,000, are exempt from state taxes on their benefits.

Minnesota

Married filers with an AGI under $105,380, and individuals with an AGI below $82,190, pay no state taxes on Social Security benefits.

Montana

Single filers with an AGI less than $25,000, and joint filers with an AGI less than $32,000, can deduct all their Social Security benefits from state taxes.

New Mexico

Individual recipients earning less than $100,000 annually, and married couples earning less than $150,000, are exempt from state taxes on their benefits.

Rhode Island

Individuals with an AGI below $88,950, and married couples with an AGI below $111,200, are exempt from state taxes on their benefits.

Utah

Single filers earning less than $30,000 annually, and married couples earning less than $50,000, are exempt from state taxes on their benefits.

Vermont

Married couples with an AGI below $65,000, and individuals earning less than $50,000 per year, are exempt from state taxes on their benefits.

West Virginia

West Virginia is phasing out state taxes on Social Security benefits. For the 2024 tax year, benefits will be reduced by 35%. In 2025, the reduction increases to 65%, and by 2026, no Social Security benefits will be taxed.

What social security benefits are taxed?

In general, when we talk about social security benefits being taxed we’re talking about retirement benefits as people receiving these are most likely to be in a position where they clear the thresholds for the amounts to be taxable.

However, note that Disability Benefits and Survivor Benefits are also taxable. Supplemental Security Income (SSI) is not taxed.