§ 54-52-07 — Governmental unit contribution is retirement contribution

The governmental unit contribution to a retirement plan must be considered a retirement
contribution and not an additional compensation. This applies specifically to elected and
appointed officials whose maximum annual compensation is set by statute or by state, county,
city, or school district governing bodies, boards, or commissions. The retirement contribution
may not be considered by the employee as income in computing the employee's net income for
purposes of state income tax until the moneys come under the control of the employee.