THE VIRGINIAN-PILOT
Copyright (c) 1994, Landmark Communications, Inc.
DATE: THURSDAY, June 9, 1994 TAG: 9406090008
SECTION: FRONT PAGE: A14 EDITION: FINAL
SOURCE: Medium
DATELINE: 940609 LENGTH:
I was among a score of people who went to Richmond during the General Assembly for 11 straight years to complain about the unfair and illegal way in which federal retirees were taxed by Virginia. We were the only retirees who were required to pay income taxes on our entire annuity. State, city, county and even public-enterprise retirees were exempt from income taxes on their annuities.
{REST} If you think this matter was unchallenged, think again. We can cite case after case where someone (not a retiree, especially) challenged the commonwealth about the collection of taxes. What happened? Their property was seized, their bank accounts were taken over by the state and they were left destitute. We could not afford to live under these conditions.
Many times we tried to talk to the chairman of the Senate Finance Committee. He could not be moved. It was not until someone challenged state Sen. Hunter Andrews that we received any consideration.
Shortly after that, the U.S. Supreme Court handed down the Davis vs. Michigan decision. There were 23 states caught by this decision. Eighteen have settled with their retirees at 100 percent, with interest.
The U.S. Supreme Court has told Virginia twice that it should pay up. Each time the state has come up with another excuse. The state wants to settle now because the next decision by the Supreme Court could really burden Virginia heavily it ordered a refund of all taxes wrongly paid, plus interest.
HAROLD L. DURHAM, past president
Virginia Federation of Chapters
National Association of
Retired Federal Employees
Virginia Beach, May 21, 1994
by CNB