This bill amends the Arkansas income tax law to provide specific exemptions for retirement benefits received by law enforcement officers and firefighters. It adds new provisions to Arkansas Code 26-51-307, allowing retirement benefits for retired law enforcement officers and firefighters to be exempt from income tax. The bill defines "law enforcement officer" and "firefighter," specifying the qualifications for each category, which includes certified personnel from municipal or volunteer departments, as well as various state law enforcement agencies.

Additionally, the bill clarifies that taxpayers claiming these exemptions are not eligible for other exemptions under certain conditions, although those claiming less than $6,000 in exemptions for military, law enforcement, or firefighter retirement benefits can still claim additional exemptions. The effective date for these changes is set for tax years beginning on or after January 1, 2026.

Statutes affected:
HB 1787: 26-51-307(e)