IDAPA 35.01.01.130 — DEDUCTION OF CERTAIN RETIREMENT BENEFITS (RULE 130)

Section 63-3022A, Idaho Code
01.
Qualified Benefits. Subject to limitations, the following benefits qualify for the deduction:
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a.
Retirement annuities paid to a retired civil service employee. For purposes of this deduction a
retired civil service employee is an individual who is receiving retirement annuities paid under the Civil Service
Retirement System, the Foreign Service Retirement and Disability System, or the offset programs of these systems.
An individual is entitled to benefits from this retirement system only if he established eligibility prior to 1984.
Retirement annuities paid to a retired federal employee under the Federal Employees Retirement System generally do
not qualify for the deduction. Retirement annuities received under the Federal Employees Retirement System by a
retiree previously covered under the Civil Service Retirement System qualify to the extent the retiree establishes the
portion of the annuity attributable to coverage under the Civil Service Retirement System.
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b.
Retirement benefits paid as a result of participating in the firemen's retirement fund of the state of
Idaho as authorized by Title 72, Chapter 14, Idaho Code. A fireman is entitled to benefits from this fund only if he
established eligibility as a paid fireman prior to October 1, 1980. Retirement benefits paid out of the public
employee's retirement system do not qualify for the deduction.
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c.
Retirement benefits paid to a retired Idaho city police officer:
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i.
By a city or its agent in regard to a policeman's retirement fund that no longer admits new members
and on January 1, 2012, was administered by a city in this state; or
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ii.
In regard to a policeman's retirement fund that no longer admits new members and on January 1,
2012, was administered by the public employee retirement system of Idaho; or
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iii.
By the public employee retirement system of Idaho to a retired police officer in regard to Idaho
employment not included in the federal social security retirement system; or
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iv.
An unremarried widow or widower of a person described in Subparagraph 130.01.c.i., 130.01.c.ii.,
or 130.01.c.iii. of this rule.
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d.
Retirement benefits paid by the United States Government to a retired member of the military
services.
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02.
Unremarried Widow or Widower. An unremarried widow or widower of a retired civil service
employee, retired policeman, retired fireman, or retired member of the military services, who is sixty-five (65) or
older, or sixty-two (62) and disabled, is eligible for the deduction, even though the deceased spouse was not eligible
at the time of death. In this situation, the amount of the retirement benefits that can be considered for the deduction
for the taxable year of the spouse's death is limited to the benefits paid to the spouse as a widow or widower.
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03.
Married Individuals Filing Separate Returns. Married individuals who elect to file married
IDAHO ADMINISTRATIVE CODE
IDAPA 35.01.01
Idaho State Tax Commission
Income Tax Administrative Rules
Section 140
Page 23
filing separate are not entitled to the deduction allowed by Section 63-3022A, Idaho Code.
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04.
Examples. Available at Income Tax Rules Examples.
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