Where to enter State Retirement Pick-up for Maryland, 1099-R

Maryland employers can participate in the Employer Pick-up Program that defers federal taxes on pension plan contributions for employees while working. Once the taxpayer receives their pension, it will be considered federally taxable.

The Employer Pick-up Program only defers federal taxes; state income taxes are still deducted. To avoid paying taxes twice, the state retirement pick-up amount should be subtracted from the Maryland individual tax return.

To enter the state retirement pick-up in Tax Processors Plus Desktop, from the Maryland Return menu select:

• Total Maryland Adjusted Gross Income
• Subtractions from Income
• Other Subtractions from Income
• Other Subtractions from Income
• R - Pick-up contribution shown on Form 1099R from State retirement/pension

Additional Information:

Maryland State Tax Information

MD: Understanding your 1099-R Tax Form

Tax Processors Plus Desktop strives to keep the information on this page timely and accurate but makes no promise or guarantee about the timeliness, accuracy, or completeness of the contents of this page. This is general information and is not intended to be tax advice. You are encouraged to also review the underlying state resources and publications.