Updated September 5, 2026. Quick answer: No. North Carolina does not tax Social Security or equivalent railroad retirement benefits.
The state’s income tax schedule: the North Carolina income tax rate for 2026.
Confidence note: high. This page is scoped to Social Security taxation specifically. For the state’s full retirement-tax picture (pensions, tax rates, estate and probate), see how North Carolina taxes retirement income generally.
How North Carolina taxes Social Security benefits
| State personal income tax | Yes |
|---|---|
| Social Security treatment | Not taxed |
| How it works | N.C. Gen. Stat. § 105-153.5(b)(3) subtracts “benefits received under Title II of the Social Security Act,” and the Dept. of Revenue’s own guidance states plainly, “North Carolina does not tax this income.” |
| Income threshold / phase-out | No income threshold or age test; full exemption at every income level. |
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How our partner relationships workFigures verified against the N.C. General Statutes (ncleg.gov) and the N.C. Dept. of Revenue guidance page on September 29, 2026.
Statute and sources
Governing citation: N.C. Gen. Stat. § 105-153.5(b)(3).
- North Carolina General Statutes § 105-153.5
- N.C. Dept. of Revenue, Social Security and Railroad Retirement Benefits
Read September 5, 2026.
Related: how North Carolina taxes retirement income generally · does North Carolina tax Roth conversions? · Roth conversion taxes, all 51 jurisdictions.
General information drawn from each state’s own published statutes and revenue-department guidance, not legal, tax or financial advice. Figures and exemption amounts are current as of the date in the quick answer, are set by state law, and can change by future legislation; any pending bill named on this page is not yet law. This page cannot see your own return, which governs. We are not a law firm, a tax adviser, or a fiduciary, and this is not personalized advice.