AR HB1188

Updates the Internal Revenue Code reference from January 1, 2009 to January 1, 2013 for consistency with federal tax law provisions.

Clarifies that salary eligible for retirement system withholding must be subject to federal income tax withholding requirements under the Internal Revenue Code.

Repeals provisions regarding nonteachers who elect coverage and accumulate five or more years of credited service in the retirement system.

Modifies military service credit requirements to specify that both active and inactive members who entered the armed forces must complete five or more years of actual service in the system.

Makes grammatical and technical corrections throughout the law, including clarifying payment procedures for lost payees, refund requirements, lump-sum benefits, and staff member participation options.