Senate File 165 - Introduced





                                  SENATE FILE       
                                  BY  BARTZ


    Passed Senate, Date               Passed House,  Date             
    Vote:  Ayes        Nays           Vote:  Ayes        Nays         
                 Approved                            

                                      A BILL FOR

  1 An Act providing an exemption from the state individual income
  2    tax for retirement pay received from the federal government
  3    for military service and including a retroactive applicability
  4    date provision.
  5 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  6 TLSB 2226SS 83
  7 tw/mg:sc/14

PAG LIN



  1  1    Section 1.  Section 422.7, Code 2009, is amended by adding
  1  2 the following new subsection:
  1  3    NEW SUBSECTION.  31A.  a.  Subtract, to the extent
  1  4 included, retirement pay received from the federal government
  1  5 for military service performed in the armed forces, armed
  1  6 forces military reserve, or national guard.
  1  7    b.  The exclusion of retirement benefits under this
  1  8 subsection is in addition to any exclusion provided under
  1  9 subsection 31.
  1 10    Sec. 2.  RETROACTIVE APPLICABILITY DATE.  This Act applies
  1 11 retroactively to January 1, 2009, for tax years beginning on
  1 12 or after that date.
  1 13                           EXPLANATION
  1 14    This bill provides for the exclusion of retirement benefits
  1 15 from federal military service in the armed forces, military
  1 16 reserve, or national guard.  The exemption is in addition to
  1 17 the general pension exclusions.
  1 18    The bill applies retroactively to January 1, 2009, for tax
  1 19 years beginning on or after that date.
  1 20 LSB 2226SS 83
  1 21 tw/mg:sc/14