LANSING -- The AARP of Michigan is arguing against the pension tax compromise to the state's Supreme Court.

Under new legislation, state leaders have come up with a compromised plan that taxes retiree’s incomes on a three-tiered tax system.  Retirees over age 67 won’t be impacted by the new changes. People between 60-66 years old would get an exemption on their first $20,000 of income, and those under 60 would be forced to pay the normal state income tax rate.

The AARP website states it, “… opposes age-based tax policies, and instead supports tax treatment based on need that recognizes shared sacrifice.”

According to the Associated Press, Gov. Snyder’s administration says the tax is constitutional, and has passed it along to the courts for review.   A September 7^th court date has been set to review the case.

How do you think the Michigan Supreme Court should rule in this case? Leave us your comments below.