Does District of Columbia tax military retirement pay?
Taxed
Yes. The District taxes the taxable part of pensions and annuities in your federal adjusted gross income, and we found no exclusion for military retired pay in its instructions.
In the state's own words
Copied word for word from the official document linked below each quote:
“Include your taxable portion of pension/annuity in your federal adjusted gross income.”
Other retirement income in District of Columbia
Yes. The District taxes the taxable part of pensions and annuities that is in your federal adjusted gross income. Its return has a subtraction for D.C. and federal government survivor benefits for survivors 62 or older. The District of Columbia pension page has the details, and the District of Columbia Social Security page covers Social Security. No. On the D.C. return, the Social Security that is taxed on your federal return is one of the subtractions from income.
Before you file or move
This page is about state income tax only. Your federal return has its own rules for military retired pay, and VA disability compensation is a separate benefit from retired pay. State rules change, and the details (age, years, which kinds of pay qualify, survivor benefits) matter. Check with the D.C. Office of Tax and Revenue before you file or move.
Other states in the same group
Check our work
The answer above comes from this document. Follow the link and compare.
- 2025 D-40 Individual Income Tax Forms and InstructionsD.C. Office of Tax and Revenue. Read on November 13, 2026.