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97b-11a
97B.11A PICKUP OF EMPLOYEE CONTRIBUTIONS.
1. Notwithstanding section 97B.11 or other provisions of this
chapter, beginning January 1, 1995, for federal income tax purposes,
and beginning January 1, 1999, for state income tax purposes, member
contributions required under section 97B.11 which are picked up by
the employer shall be considered employer contributions for federal
and state income tax purposes, and each employer shall pick up the
member contributions to be made under section 97B.11 by its
employees. Each employer shall pick up these contributions by
reducing the salary of each of its employees covered by this chapter
by the amount which each employee is required to contribute under
section 97B.11 and shall pay the amount picked up in lieu of the
member contributions as provided in section 97B.14.
2. Member contributions picked up by each employer under
subsection 1 shall be treated as employer contributions for federal
and state income tax purposes only and for all other purposes of this
chapter shall be treated as employee contributions and deemed part of
the employee's wages or salary. Section History: Recent Form
94 Acts, ch 1183, §13; 98 Acts, ch 1174, §2, 6
Referred to in § 97B.1A, 97B.14, 97B.49B, 97B.49C
