Updated October 16, 2026. Quick answer: Not required. Louisiana’s Department of Revenue says “Withholding income tax on pensions, retirement income, and annuities is not required”, but “a recipient may request that withholding tax be deducted”.
More on public pension systems, topic by topic: Louisiana Sheriffs Back-DROP.
Louisiana pension withholding at a glance
| Item | What the documents say |
|---|---|
| Is state withholding required on regular pension payments? | No. Louisiana does not require withholding on pensions; you may request it |
| Default rate if you give the payer no form | None stated |
| Lump sum or one-time payment | The documents read give no separate lump-sum rule |
| Form to start, change or stop it | No form named in the documents read |
| Changed for 2026? | No change stated |
What the Louisiana documents say
The Department of Revenue’s withholding FAQ asks whether Louisiana requires withholding on pensions, retirement income and annuities. The answer is that it is not required, and a recipient may request that tax be deducted.
The FAQ gives its answer “as provided under R.S 47:111(A)(9)”.
What a mover should know
This page is about Louisiana as a state of residence. An instruction line written for a nonresident or part-year filer is not the rule for a resident, and none of the documents read settles a part-year or two-state case, so check each state’s own rule. The federal side is the same everywhere; CMG’s federal 20% withholding on a pension lump sum page covers it, state tax withholding on IRA and 401(k) withdrawals in Louisiana covers the account side, and state withholding on retirement withdrawals lists the other states checked.
What the documents do not say
- The FAQ is the only Louisiana document read. It names no form, no way to start or stop the request, no default rate and no lump-sum rule, so a retiree who wants Louisiana tax withheld has to ask the payer how.
Common mistakes
- Assuming the payer is withholding for the state because it withholds for the IRS: Louisiana does not require withholding on a pension, and the FAQ says only that a recipient may request it, so ask the payer how to request it.
- Assuming the answer for one state applies to another, or that state withholding settles the state tax owed at filing.
Related: state tax withholding on IRA and 401(k) withdrawals in Louisiana, Louisiana retirement taxes, whether Louisiana taxes pensions, state withholding on retirement withdrawals, and retirement withholding calculator.
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Answer againSources
- Does Louisiana require withholding on pensions, retirement income, and annuities?: https://revenue.louisiana.gov/tax-education-and-faqs/faqs/withholding-tax/does-louisiana-require-withholding-on-pensions-retirement-income-and-annuities/
- IRS Tax Topic 413, Rollovers from retirement plans: https://www.irs.gov/taxtopics/tc413
Sources: the primary documents linked above, read on October 16, 2026. General information, not tax advice. Your own facts decide the outcome, and a tax professional or the state agency itself is the right place to confirm anything consequential.