Senate
File
211
-
Introduced
SENATE
FILE
211
BY
ERNST
,
FEENSTRA
,
JOHNSON
,
SEGEBART
,
GREINER
,
ROZENBOOM
,
and
CHELGREN
A
BILL
FOR
An
Act
providing
an
exemption
from
the
computation
of
the
state
1
individual
income
tax
of
all
pay,
including
retirement
pay,
2
received
from
the
federal
government
for
military
service
3
and
including
retroactive
applicability
provisions.
4
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
5
TLSB
1815XS
(2)
85
mm/sc
S.F.
211
Section
1.
Section
422.7,
Code
2013,
is
amended
by
adding
1
the
following
new
subsection:
2
NEW
SUBSECTION
.
31A.
a.
Subtract,
to
the
extent
included,
3
retirement
pay
received
by
the
taxpayer
from
the
federal
4
government
for
military
service
performed
in
the
armed
forces,
5
the
armed
forces
military
reserve,
or
national
guard.
6
b.
The
exclusion
of
retirement
pay
under
this
subsection
is
7
in
addition
to
any
exclusion
provided
under
subsection
31.
8
Sec.
2.
Section
422.7,
subsection
42A,
Code
2013,
is
amended
9
to
read
as
follows:
10
42A.
Subtract,
to
the
extent
included,
all
pay
received
by
11
the
taxpayer
from
the
federal
government
for
military
service
12
performed
while
on
active
duty
status
in
the
armed
forces,
the
13
armed
forces
military
reserve,
or
the
national
guard.
14
Sec.
3.
RETROACTIVE
APPLICABILITY.
This
Act
applies
15
retroactively
to
January
1,
2013,
for
tax
years
beginning
on
16
or
after
that
date.
17
EXPLANATION
18
This
bill
exempts
from
the
individual
income
tax
all
pay,
19
including
retirement
pay,
received
by
a
taxpayer
from
the
20
federal
government
for
military
service
in
the
armed
forces,
21
the
armed
forces
military
reserve,
or
national
guard.
22
The
bill
applies
retroactively
to
January
1,
2013,
for
tax
23
years
beginning
on
or
after
that
date.
24
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85
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