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Arkansas senior tax guide
Last updated: 17 September 2026
This guide covers the Arkansas rules older adults are most likely to need in 2026: 2025 state returns, retirement income, Social Security, late filing, free tax preparation, and local property-tax relief. It also explains the new 2026 homestead credit amount.
Bottom Line
Arkansas does not tax Social Security benefits, Railroad Retirement benefits, Department of Veterans Affairs benefits, workers’ compensation, or military retirement. Many taxpayers can also exclude up to $6,000 per taxpayer of qualifying retirement income under the 2025 Arkansas instructions. Homeowners should also check local property-tax relief: the homestead credit is now up to $675 for assessment years beginning in 2026.
Start Here
- Separate state and federal rules. Arkansas may exempt income that can still matter on a federal return.
- Gather every tax form. Bring Form SSA-1099, every Form 1099-R, W-2s, interest forms, prior returns, and any property-tax notice.
- Call the right office. State income-tax questions go to Arkansas DFA. Home assessments, homestead credit, and the age-65 freeze go to the county assessor.
Quick Reference
| Problem | Best first step | What to ask |
|---|---|---|
| Arkansas return or notice | DFA Individual Income Tax | Do I need to file, and what deadline applies to this notice? |
| Pension or IRA | Check each Form 1099-R | Does the Arkansas $6,000 retirement exclusion apply? |
| Home tax relief | Arkansas county finder | Is the homestead credit and age-65 freeze already on this parcel? |
| Free return preparation | IRS free tax help | Can this site prepare my federal and Arkansas returns? |
| Tax debt or dispute | Legal Aid tax clinic | Which deadline do I need to protect first? |
What Has Changed
- Arkansas homestead credit: Act 174 of 2026 raised the maximum credit from $600 to $675 for assessment years beginning on or after January 1, 2026. The change was approved May 1, 2026. See Arkansas Act 174.
- Arkansas 2026 tax rate: Acts 1 and 2 of the 2026 First Extraordinary Session lowered the top individual income-tax rate to 3.7% for tax years beginning on or after January 1, 2026. See the 2026 legislative summary.
- Federal senior deduction: for tax years 2025 through 2028, eligible people age 65 or older may claim an additional federal deduction of up to $6,000 per person, subject to income limits. This is separate from Arkansas’s $6,000 retirement-income exclusion. See the IRS senior update.
- 2025 returns filed in 2026: the normal federal and Arkansas filing deadline was April 15, 2026. People with valid extensions still need to watch the fall deadlines described below.
Arkansas Income Tax for Seniors
Arkansas still has an individual income tax, but several income sources common in retirement are exempt. The 2025 return instructions say Social Security, Railroad Retirement, VA benefits, and workers’ compensation are exempt from Arkansas income tax. Military retirement is also exempt under Arkansas rules.
Do not assume federal treatment is the same. Social Security can be taxable on a federal return even though Arkansas does not tax it. If that is your main question, see our Social Security tax guide. For wider federal filing rules, use our senior tax guide.
For 2025 Arkansas returns filed in 2026, the top marginal individual income-tax rate is 3.9%. For tax years beginning on or after January 1, 2026, Arkansas lowered the top rate to 3.7%. The current forms, schedules, and tax tables are listed on the Arkansas tax forms page.
Who may need to file
Full-year Arkansas residents use Form AR1000F. Filing thresholds depend on filing status and dependents, so use the current instructions instead of an old dollar figure copied from another year. Part-year residents and nonresidents use Form AR1000NR. Arkansas says a nonresident with Arkansas-source gross income must file, and a part-year resident with gross income while an Arkansas resident must file.
If Arkansas income tax was withheld and you are due a refund, filing can still make sense even when your income is below a normal filing threshold. You can also check refund or account information through Arkansas Taxpayer Access Point.
How Arkansas Treats Retirement Income
The most important Arkansas rule is the retirement-income exclusion. Qualifying employer-sponsored retirement income can receive an exclusion of up to $6,000 per taxpayer. A qualifying traditional individual retirement account (IRA) distribution can also use the exclusion when the distribution is made after age 59½, or in certain cases because of death or disability.
The limit is generally one combined $6,000 exclusion per taxpayer across the employer-plan and qualifying traditional IRA categories. It is not $6,000 for every pension, every 401(k), and every IRA. A surviving spouse is also limited to one $6,000 exemption for the surviving spouse.
| Income | Arkansas treatment | Important limit |
|---|---|---|
| Social Security | Exempt from Arkansas income tax | Federal tax rules are different. |
| Railroad Retirement | Exempt when it is qualifying Railroad Retirement | A private railroad pension on Form 1099-R is not automatically exempt. |
| Military retirement | Exempt from Arkansas income tax | Do not confuse this with the separate retirement exclusion. |
| Employer pension or 401(k) | Up to $6,000 may be excluded | Combined per-taxpayer limit usually applies. |
| Traditional IRA | Up to $6,000 may qualify | Age 59½ or qualifying death/disability rules matter. |
If you made nondeductible IRA contributions, bring Form 8606 or other records showing money that was already taxed. Arkansas allows cost recovery before applying the retirement exclusion in some cases. Do not guess at the taxable amount from the gross distribution alone.
The $29 age-65 credit
Arkansas also has a small “65 Special” personal tax credit. The 2025 instructions say a taxpayer age 65 or older who is not claiming a retirement-income exemption on the relevant line may claim an additional $29 credit per taxpayer. This is one reason a preparer may need to compare methods instead of automatically taking every available exclusion.
Federal Senior Deduction for 2025
The federal return has a different $6,000 rule. For tax years 2025 through 2028, an eligible person age 65 or older may claim an additional federal senior deduction of up to $6,000. A married couple filing jointly can receive up to $12,000 if both spouses qualify. The deduction begins to phase out when modified adjusted gross income is above $75,000 for a single eligible taxpayer or $150,000 for a joint return.
This deduction is in addition to the regular age-based standard deduction, and eligible taxpayers may claim it whether they itemize or take the standard deduction. The IRS senior tax guide explains the 2025 rules. If you are checking whether work income may also qualify for the Earned Income Tax Credit, see our senior EITC guide.
Do Not Mix the Two $6,000 Rules
Arkansas’s $6,000 retirement-income exclusion and the federal $6,000 senior deduction are different. One changes Arkansas taxable retirement income. The other is a federal deduction for eligible people age 65 or older. A person may need to consider both on separate returns.
Filing and Deadlines in 2026
The normal deadline for a 2025 federal and Arkansas individual income-tax return was April 15, 2026. If you missed it and did not have a valid extension, filing as soon as possible can help limit additional penalties and interest when tax is owed. If you are due a refund, do not assume there is no reason to file.
A federal extension generally gives most taxpayers until October 15, 2026 to file the federal return. Arkansas instructions say a federal extension also extends the Arkansas filing deadline to November 15, 2026. An extension to file does not extend the time to pay tax that was due in April.
| Date | What it affects | What to do |
|---|---|---|
| April 15, 2026 | Normal 2025 federal and Arkansas return deadline | If missed, file promptly and ask about payment options. |
| October 15, 2026 | Most federal extension filers | Use the IRS filing page for current federal instructions. |
| October 15, 2026 | Arkansas property taxes and homestead registration | Contact the county assessor or collector before the deadline. |
| November 15, 2026 | Arkansas return with a valid federal extension | Confirm your extension and file before the state deadline. |
If you have a state notice, do not use these general dates instead of the deadline printed on the notice. A protest, audit response, appeal, or payment notice may have its own deadline.
Arkansas Property-Tax Relief
Property tax is local in Arkansas. The county assessor handles the value, homestead records, and many relief questions. The county collector handles payment. Use the county office rather than the state income-tax office for a home assessment or property-tax bill.
Homestead credit is now $675
The most important 2026 update is the homestead property-tax credit. Act 174 of 2026 raised the maximum credit to $675 for assessment years beginning on or after January 1, 2026. Arkansas describes the credit as up to $675 per year. Ask the county assessor whether the credit is already attached to your principal residence and whether any registration is still needed.
Arkansas’s 2026 assessment calendar lists October 15 as the homestead application deadline and the due date for property taxes. If you need to find your county office or pay a bill, the state Property Tax Center can route you to county services.
Age 65 or disability freeze
Arkansas also allows qualifying homeowners age 65 or older, and some homeowners with disabilities, to freeze the taxable assessed value of a homestead. This does not freeze the final tax bill. The bill can still change when the local millage rate changes or when new construction or substantial improvements affect value.
If you bought another home after turning 65, ask the assessor how the freeze applies to the new homestead. Do not assume a prior freeze moved automatically. For a fuller local explanation, use our Arkansas property-tax guide.
Personal property and vehicles
Arkansas also taxes certain personal property, including vehicles. The state says personal property should generally be itemized and reported to the assessor by May 31 to avoid a 10% late-assessment penalty. The personal property page explains the basic assessment rule. If you missed the date, call your county assessor rather than waiting for vehicle-renewal trouble.
Free Tax Help for Arkansas Seniors
Many older adults do not need to pay a storefront preparer for a basic return. Tax Counseling for the Elderly (TCE) serves people age 60 or older, and Volunteer Income Tax Assistance (VITA) serves qualifying taxpayers, including many people with lower incomes, disabilities, or language needs. The IRS TCE page explains the program.
AARP Foundation Tax-Aide also offers free tax preparation with a focus on older adults and lower- to moderate-income taxpayers. Use the AARP Tax-Aide finder to check local and seasonal options.
If your problem is a tax notice, lien, audit, tax debt, innocent-spouse issue, or Tax Court matter, a normal preparation site may not be the right place. Legal Aid of Arkansas operates a Low Income Taxpayer Clinic and lists 1-800-952-9243 with extensions for English, Spanish, and Marshallese services. Our senior tax-help guide explains the difference between preparation help and controversy help.
How to Start Without Wasting Time
- Make one tax folder. Put every federal and Arkansas form in it before calling anyone.
- Write one question. Example: “Does this Form 1099-R qualify for the Arkansas retirement exclusion?”
- Check the deadline. Use the date on a notice when it is earlier than a general filing deadline.
- Call the office that owns the problem. DFA handles state income tax. The assessor handles property value and relief. The collector handles property-tax payment.
- Keep a call log. Write the date, worker name, what you were told, and what document you need next.
Documents to gather
- Photo identification and Social Security numbers for people on the return
- Form SSA-1099 for Social Security
- Every Form 1099-R for pensions, annuities, 401(k)s, and IRA withdrawals
- Form 8606 or other records for nondeductible IRA contributions
- W-2s, interest and dividend forms, and other income statements
- Last year’s federal and Arkansas returns
- Property-tax bill, parcel number, and any assessor notice if the problem is local
- Any IRS or Arkansas notice, including the envelope if a deadline may depend on the mailing date
If taxes are only one part of a wider money problem, our Arkansas benefits guide can help you find food, health, housing, utility, and local senior programs. Your local aging network may also help with referrals; see our Arkansas aging agencies guide.
Phone Scripts You Can Use
DFA income-tax question
“I am an Arkansas resident and I am helping with a 2025 return. The income includes Social Security and Form 1099-R retirement income. Can you tell me which Arkansas rule applies and what form or schedule I should use?”
County assessor
“I am age 65 or older and this is my primary home. Please tell me whether the $675 homestead credit and the age-65 assessed-value freeze are already on this parcel, and what proof you need from me.”
Free tax site
“I need help with a federal and Arkansas return. I have Social Security, a pension, and an IRA withdrawal. Is that within your site’s scope, and what papers should I bring?”
Tax controversy help
“I received a tax notice dated [date]. I cannot afford private representation. Can your clinic help with this type of notice, and which deadline should I protect first?”
Reality Checks
- The age-65 freeze does not freeze the whole bill. It generally freezes taxable assessed value, not local tax rates.
- The Arkansas $6,000 exclusion is one combined limit. Do not multiply it by every retirement account.
- The federal $6,000 deduction is separate. Similar numbers do not mean the rules are interchangeable.
- County administration matters. Property-tax relief is not handled on the Arkansas income-tax return.
- Free tax sites have scope limits. A complex business return, rental property, or difficult controversy may need another type of help.
Common Mistakes to Avoid
- Reporting Social Security as Arkansas taxable income simply because part of it may be federally taxable
- Taking a separate $6,000 Arkansas exclusion for every pension or IRA
- Assuming every early IRA withdrawal qualifies for the Arkansas retirement exclusion
- Missing the $29 age-65 credit when it is better than using the retirement exclusion
- Using the old $500 or $600 homestead-credit figure after the 2026 law change
- Assuming the age-65 property freeze starts automatically without checking the county record
- Treating an extension as extra time to pay tax due
- Ignoring a tax notice because the annual return deadline has already passed
Denied, Delayed, or Overwhelmed
If a return, refund, credit, or property-tax request is denied, ask for the reason in writing. Keep the notice, envelope, proof you filed, and proof you sent documents. Do not rely on a phone conversation when a written appeal deadline is running.
For an Arkansas income-tax account problem, call DFA Individual Income Tax at 501-682-1100 or 1-800-882-9275. For a county assessment or homestead problem, call the assessor. For an unpaid property-tax bill, call the collector. If a federal tax dispute is beyond basic preparation, the Legal Aid tax clinic may be a better starting point than a VITA or TCE site.
If you cannot pay the full amount, file the required return and ask the responsible tax agency about payment options. Delaying a required return can make the problem larger.
Resumen en Español
Arkansas no cobra impuesto estatal sobre los beneficios del Seguro Social. También exime muchos beneficios de jubilación ferroviaria, beneficios del VA y jubilación militar. Algunas pensiones y distribuciones de IRA tradicional pueden recibir una exclusión estatal de hasta $6,000 por contribuyente, pero normalmente es un límite combinado.
Para propietarios, el crédito de vivienda principal aumentó a un máximo de $675 para los años de tasación que comienzan en 2026. Las personas de 65 años o más también deben preguntar al asesor del condado sobre la congelación del valor tasado. Si necesita ayuda con una declaración, busque un sitio gratuito de VITA, TCE o AARP Tax-Aide. Si recibe una carta o aviso, revise primero la fecha límite escrita en el documento.
FAQ
Does Arkansas tax Social Security?
No. Arkansas lists Social Security benefits as exempt from state income tax. Federal treatment is separate, so Social Security can still affect a federal return.
How much retirement income can Arkansas exclude?
Arkansas generally allows up to $6,000 per taxpayer of qualifying employer-sponsored retirement income and qualifying traditional IRA distributions. The $6,000 is generally a combined per-taxpayer limit, not a separate amount for every account.
What is the 2026 Arkansas homestead credit?
Act 174 of 2026 raised the homestead property-tax credit to a maximum of $675 for assessment years beginning on or after January 1, 2026. Arkansas describes the credit as up to $675 per year, and homeowners should confirm the credit with their county assessor.
Does turning 65 freeze my Arkansas property-tax bill?
No. Eligible homeowners age 65 or older may qualify for a freeze on taxable assessed value. The final bill can still change because of millage rates, new construction, or substantial improvements. Ask the county assessor to confirm the freeze is on the parcel.
Where can Arkansas seniors get free tax help?
Start with IRS VITA or Tax Counseling for the Elderly, or AARP Foundation Tax-Aide. For a tax notice, lien, audit, debt, or Tax Court matter, the Legal Aid of Arkansas Low Income Taxpayer Clinic may be a better fit.
About This Guide
This guide uses official federal, state, local, and other high-trust nonprofit and community sources mentioned in the article.
Editorial note
This guide is produced under the GFS Editorial Standards using official and other high-trust sources. GFS is not affiliated with a government agency and is not a substitute for official agency guidance. Individual eligibility outcomes cannot be guaranteed.
Corrections
Despite careful verification, errors may occur. Readers may email info@grantsforseniors.org with corrections.
Disclaimer
This article is for informational purposes only and is not legal, financial, medical, tax, disability-rights, immigration, or government-agency advice. Tax rules, program policies, and deadlines can change. Readers should confirm current details directly with the responsible official program before acting.
Last updated: 17 September 2026 · Next review: 17 January 2027
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