GENERAL ASSEMBLY OF NORTH CAROLINA

SESSION 1995

H	1 

HOUSE BILL 92

Short Title:  Refund Federal Retirees in Installments.   	(Public)

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Sponsors: Representatives Warner; Beall, W. Brown, Buchanan, Cummings, Decker, R. Hunter, Hurley, McLaughlin, Preston, Redwine, Sexton, and Shubert.

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Referred to:  Finance.

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February 2, 1995

A BILL TO BE ENTITLED
AN ACT TO WAIVE THE THIRTY-DAY PROTEST RULE SO THAT FEDERAL RETIREES MAY RECEIVE REFUNDS IN THREE ANNUAL INSTALLMENTS FOR INCOME TAX PAID ON THEIR RETIREMENT BENEFITS FOR TAX YEARS 1985 THROUGH 1988.
The General Assembly of North Carolina enacts:
Section 1.  G.S. 105-151.20 reads as rewritten:
"§ 105-151.20.  Refund for tax paid on certain government retirement benefits.
	Notwithstanding the time limitations of G.S. 105-267, and subject to the conditions set in this section, if on or before April 15, 1996, an individual or the representative of the estate of a deceased individual demands a refund of the tax paid under Article 4 of Chapter 105 of the General Statutes on federal government retirement benefits for a taxable year beginning on or after January 1, 1985, and before January 1, 1989, that demand shall be timely for the purposes of G.S. 105-267.  The amount of a refund under this section for the 1988 tax year shall be reduced by the total amount of credit previously allowed the individual under this section.  Refunds shall bear interest as provided in G.S. 105-266.
The Secretary shall pay refunds due under this section in accordance with the following schedule.  Refunds for taxable years beginning in 1985 shall be paid on July 1, 1995, or within 90 days after the demand for the refund was made, whichever is later.  Refunds for taxable years beginning in 1986 shall be paid on July 1, 1996, and refunds for taxable years beginning in 1987 or 1988 shall be paid on July 1, 1997."
Sec. 2.  This act is effective upon ratification and expires January 1, 1999.