Update on State Treatment of EGTRRA’s Pension and Retirement Provisions
In an announcement in April 2002, the Department addressed the impact on North Carolina income tax returns of the enactment of the federal Economic Growth and Tax Relief Act of 2001, signed into law by President Bush on June 7, 2001. The act made numerous changes to the pension and retirement provisions of the Internal Revenue Code. North Carolina’s individual income tax law is tied to the Internal Revenue Code as it exists on a certain date. On September 30, 2002, legislation was enacted to update the State’s reference to the Internal Revenue Code from January 1, 2001 to May 1, 2002. This change means that North Carolina has adopted all of the pension and retirement provisions of the Economic Growth and Tax Relief Act of 2001.