Skip to content
Independent money guidance
Clear Money Guide
Start here
Menu

Does Alaska Tax Annuity Income? (2026)

Updated October 5, 2026. Quick answer: No. The Department of Revenue says “The State of Alaska currently does not have an individual income tax”, so annuity payments add no Alaska income tax.

How Alaska treats annuity income

ItemWhat the documents say
TreatmentNot taxed by the state
Where it is writtenAlaska Department of Revenue, Tax Division, Personal Income page
AnnuitiesThe page does not name annuities; it says the state has no individual income tax

A $24,000 example

A stream of $24,000 in annuity payments adds $0 of Alaska income tax. Federal tax on the payments still applies.

What changes in 2026

The latest documents read print no 2026 change to the way annuity income is taxed.

Federal rules

The state’s treatment sits on top of the federal one. The IRS explains the federal side in Topic no. 410, Pensions and Annuities and Publication 575, Pension and Annuity Income.

Related: whether Alaska taxes pensions, how Alaska taxes retirement income, state tax on 401(k) and IRA withdrawals, how a surrendered annuity is taxed, and pension and annuity decisions.

Find the right next step for your situation

About how much do you have invested? Pick the range that fits; your next step appears immediately below.

About how much do you have invested?

Sources

Sources: the primary documents linked above, read on October 5, 2026. General information, not tax advice. Your own facts decide the outcome, and a preparer, the plan administrator or the agency itself is the right place to confirm anything consequential.

See the adviser match on this page