383

The annuities granted by §§ 376–387 of this title shall be exempt from attachment or execution and from the payment of income tax. A part of such annuities may, however, be withheld by the Secretary of the Treasury to be applied toward the payment of any loan obtained by the employee from any fund, association, public enterprise or any other loan agency created by the employer for the purpose of granting loans to its employees. The sum so withheld cannot be greater than the sum agreed upon between the employee and the entity granting him the loan. History —June 27, 1958, No. 127, p. 300, § 8, eff. July 1, 1958.