Bill > HB123

This bill amends the Kentucky Revised Statutes (KRS) to exclude all distributions from military pension plans received by retired members of the United States military and their surviving spouses or former spouses under a survivor benefit plan from income taxation for taxable years beginning on or after January 1, 2025, but before January 1, 2029. The bill also requires the Department of Revenue to report on the number of tax returns claiming the exclusion, the total amount of the exclusions claimed, the total amount of the reduced tax liability, and the cumulative total of the reduced tax liability by county and adjusted gross income range. Additionally, the bill amends KRS 131.190 to conform with the new military pension exclusion.