An eligible retiree is permitted only one $3,000 exclusion per year, even if they are receiving benefits from more than one retirement plan. The amount excluded from your income cannot also be used to claim a medical expense deduction. (see reverse side for excerpt from IRS Publication 575) Police officers and Firefighters are defined by the PPA as “public safety officers.”
To qualify, a police officer or firefighter must have separated from employment with the City of Taunton having attained normal retirement age or separated due to disability. (Note: Survivors do not qualify for this benefit.) The Retirement Board has no mandated role to implement the exclusion and recommends that retirees with questions should contact their personal tax advisor for individualized advice about the exclusion.
As stated in our prior memo dated 12/31/2007, please refer to your pay-stub from December 2007’s retirement allowance that contains the year-to-date information for health insurance premiums paid in 2007.
