Bill > H46

This bill would exempt from state income tax the income received from a North Carolina state, local, or federal government retirement plan. Previously, only income from certain government retirement plans was exempt, based on a court settlement. This bill would expand the exemption to cover all government retirement plan income. The bill would also allow a deduction for payments from a military retirement plan to beneficiaries of retired members who served at least 20 years or were medically retired. The bill would be effective for taxable years beginning on or after January 1, 2024.