This bill amends the Arkansas income tax law to provide an income tax exemption for certain retirement benefits received by law enforcement officers and firefighters. Specifically, it adds new provisions to Arkansas Code 26-51-307, allowing retirement benefits received by retired law enforcement officers and retired firefighters to be exempt from income tax. The bill also clarifies the definitions of "firefighter" and "law enforcement officer," specifying the qualifications for each category, which include certified personnel from municipal or volunteer fire departments and various law enforcement roles within the state.

Additionally, the bill stipulates that taxpayers claiming an exemption under the new provisions for law enforcement and firefighter retirement benefits may still claim additional exemptions for military retirement or survivor benefits, provided the total does not exceed $6,000. 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)