State and federal taxation of benefits.

AS 39.35.546, under Public Employees' Retirement System of Alaska..

AS 39.35.546

(a) Benefits of AS 39.35.095 — 39.35.680 are exempt from Alaska state and municipal income taxes.

(b) Benefits paid under AS 39.35.095 — 39.35.680 may be subject to federal income taxes as provided in 26 U.S.C. 72.