House
File
2430
-
Introduced
HOUSE
FILE
2430
BY
FREVERT
A
BILL
FOR
An
Act
allowing
an
individual
income
tax
deduction
for
1
certain
dentists
who
receive
medical
assistance
program
2
reimbursement
that
is
less
than
their
normal
fee
and
3
including
retroactive
applicability
provisions.
4
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
5
TLSB
5772HH
(5)
83
tw/sc
H.F.
2430
Section
1.
Section
422.7,
Code
Supplement
2009,
is
amended
1
by
adding
the
following
new
subsection:
2
NEW
SUBSECTION
.
54.
a.
Subject
to
the
requirement
3
of
paragraph
“b”
,
if
the
taxpayer
is
a
provider
of
dental
4
services
under
the
medical
assistance
program
and
the
rate
5
of
reimbursement
for
such
dental
services
is
less
than
the
6
taxpayer
normally
charges
for
such
dental
services,
subtract
7
the
difference
between
the
amount
normally
charged
and
the
8
reimbursement
rate
for
each
dental
service
provided
that
is
9
reimbursed
under
the
medical
assistance
program.
10
b.
To
be
eligible
for
the
deduction
in
paragraph
“a”
,
the
11
taxpayer
must
provide
at
least
fifty
thousand
dollars
worth
of
12
dental
services
at
a
reduced
rate
of
reimbursement
under
the
13
medical
assistance
program
during
the
tax
year.
14
Sec.
2.
RETROACTIVE
APPLICABILITY
DATE.
This
Act
applies
15
retroactively
to
January
1,
2010,
for
tax
years
beginning
on
16
or
after
that
date.
17
EXPLANATION
18
This
bill
provides
a
deduction
in
computing
individual
19
income
tax
to
a
taxpayer
that
provides
dental
services
20
reimbursed
under
the
medical
assistance
program
(Medicaid).
21
The
amount
of
the
deduction
equals
the
difference
between
the
22
reimbursement
rate
and
the
normal
fee
charged
by
the
taxpayer
23
for
the
dental
service.
However,
to
be
eligible,
the
taxpayer
24
must
provide
at
least
$50,000
of
dental
services
at
reduced
25
rates
under
the
medical
assistance
program.
26
The
bill
applies
retroactively
to
January
1,
2010,
for
tax
27
years
beginning
on
or
after
that
date.
28
-1-
LSB
5772HH
(5)
83
tw/sc
1/
1