5 States with the Highest Taxes on Retirement Income in the US

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This article takes a look at the 5 states with the highest taxes on retirement income in the US. If you wish to check out our detailed analysis of the tax reality in the US, you may go to 20 States with the Highest Taxes on Retirement Income in the US. 

5. Massachusetts

Social Security: Not Taxable

Pensions: Taxable (with exemptions)

401(k) and IRA Distributions: Taxable 

In Massachusetts, income from an IRA, 401(k), 403(b), or any other type of retirement savings account is taxed at a flat rate of 5%. Moreover, income exceeding $1 million is subject to an extra 4% tax.

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