(40 ILCS 5/9-170.2) (from Ch. 108 1/2, par. 9-170.2)
Sec. 9-170.2.
The county may pick up the employee contributions required
by Sections 9-133, 9-170, 9-176, 9-176.1 for salary earned after December
31, 1981. If employee contributions are not picked up, the amount that
would have been picked up under this amendatory Act of 1980 shall continue
to be deducted from salary. If contributions are picked up they shall be
treated as employer contributions in determining tax treatment under the
United States Internal Revenue Code; however, the county shall continue
to withhold Federal and state income taxes based upon these contributions
until the Internal Revenue Service or the Federal courts rule that pursuant
to Section 414(h) of the United States Internal Revenue Code, these contributions
shall not be included as gross income of the employee
until such time as they are distributed or made available.
The county shall pay these
employee contributions from the same source of funds which is used in paying
salary to the employee. The county
may pick up these contributions by a reduction in the cash salary of the
employee or by an offset against a future salary increase or by a combination
of a reduction in salary and offset against a future salary increase. If
employee contributions are picked up they shall be treated for all purposes
of this Article 9, including Section 9-169, in the same manner and to the
same extent as employee contributions made prior to the date picked up.
(Source: P.A. 81-1536.)
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