Arkansas tax forms & filing.

Things to know about filing in Arkansas

• Arkansas exempts the first portion of military retirement and certain pension income from state tax. Eligibility depends on plan type and recipient — we walk through this at intake for retired clients.
• Arkansas uses a separate state-only standard deduction that does not match the federal standard deduction. Itemized deductions on the Arkansas return follow modified rules — you don't automatically inherit your federal Schedule A treatment.
• If you live in Texarkana, AR, you may qualify for the Border City Exemption — a specific Arkansas provision recognizing the cross-state economic zone. Documentation matters for this one.

Arkansas Texarkana Border City Exemption

Arkansas offers a unique state-tax exemption for residents of the Texarkana, Arkansas-Texas border city. Texarkana-AR residents whose income is earned in Texas (which has no state income tax) can claim a Border City Exemption that reduces or eliminates Arkansas tax on that Texas-source income.

The exemption recognizes the economic reality of the dual-state Texarkana metro and prevents Arkansas residents from being penalized for cross-state employment relative to their Texas neighbors. Documentation matters — we ask Texarkana-AR clients at intake about cross-state work patterns.

This is one of the most state-specific quirks in the country and one of the most-missed in DIY software, which doesn't typically prompt for border-city exemptions.

Arkansas military and retirement income treatment

Arkansas fully exempts military retirement pay from state income tax — a meaningful benefit for retired service members residing in the state. Survivor Benefit Plan annuity payments to surviving spouses of deceased military retirees are similarly exempt.

Beyond military retirement, Arkansas offers a partial pension and retirement income exclusion for residents over a defined age threshold. Eligibility depends on plan type (defined-benefit vs defined-contribution), payer (qualified retirement plan vs nonqualified deferred compensation), and recipient age.

Social Security is fully excluded from Arkansas state tax. The overall structure makes Arkansas a moderately retirement-friendly state, particularly for military retirees.

Where's my refund?

The Arkansas Department of Finance and Administration runs the official refund-status tracker. You'll need your Social Security number, filing status, and exact refund amount (in some cases, the tax year and a return-amount input).

Check your Arkansas refund status →

Multi-state considerations

If you lived or worked in more than one state during the tax year, you typically file a part-year resident return in each state. If you live in one state and work in another, you usually file as a resident where you live and as a nonresident in the work state — claiming a credit on the resident return for taxes paid to the work state. Reciprocity agreements between some neighboring states change this default; we map this out at intake.

Arkansas-specific multi-state nuances are addressed in the quirks list above when they apply.

Get the current-year forms

State tax rates, brackets, and forms change every year. We point to the Arkansas Department of Finance and Administration as the authoritative source for current-year information. Form numbers above are stable; rates, deduction amounts, and credit limits are not — always verify before relying on a specific dollar amount.

Open the Arkansas Department of Finance and Administration website →