HB-4480, As Passed Senate, May 12, 2011
March 23, 2011, Introduced by Rep. Gilbert and referred to the Committee on Tax Policy.
A bill to amend 1943 PA 240, entitled
"State employees' retirement act,"
by amending section 40 (MCL 38.40), as amended by 2002 PA 99.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec.
40. (1) The Except
as otherwise provided in this section,
the right of a person to a pension, an annuity, a retirement
allowance,
and any optional benefit , and any
other right accrued
or accruing to any person under the provisions of this act, the
various funds created by this act, and all money and investments
and
income of the funds , are
exempt from any state, county,
municipal, or other local tax.
(2) Beginning January 1, 2012, the right of a person to a
pension, an annuity, a retirement allowance, and any optional
benefit, and any other right accrued or accruing to any person
under the provisions of this act, is subject to state tax upon
distribution to the person from the various funds created by this
act.
(3) The right of a person to a pension, an annuity, a
retirement allowance, any optional benefit, any other right accrued
or accruing to any person under the provisions of this act, the
various funds created by this act, and all money and investments
and income of the funds is subject to the public employee
retirement benefit protection act, 2002 PA 100, MCL 38.1681 to
38.1689.