REFUNDS FOR RETIREES COULD HURT S.C. BUDGET

Chief Administrative Law Judge Marvin Kittrell ruled that lawmakers wrongly taxed some state retirees after removing an income tax exemption in 1989. A lawsuit seeks refunds for those affected. South Carolina has about 80,000 state retirees, according to the budget board. Kittrell's ruling woul...

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Bibliographic Details
Published inThe post and courier
Main Author WARREN WISE AND DAVE MUNDAY
Format Newspaper Article
LanguageEnglish
Published Charleston, S.C The Post and Courier 11.07.2002
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Summary:Chief Administrative Law Judge Marvin Kittrell ruled that lawmakers wrongly taxed some state retirees after removing an income tax exemption in 1989. A lawsuit seeks refunds for those affected. South Carolina has about 80,000 state retirees, according to the budget board. Kittrell's ruling would be limited to employees vested in the retirement system on or before July 1, 1989. No one is disputing the state's right to tax employees who retired after 1989, since they were never promised exemptions. South Carolina repealed its income tax exemption for state retirees in 1989 after the U.S. Supreme Court ruled that states could not tax state and federal retirees' pensions differently. Before then, South Carolina was among about two dozen states that only taxed federal retirees' pensions.
ISSN:1061-5105