Text: HF02226 Text: HF02228 Text: HF02200 - HF02299 Text: HF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Section 1. Section 425.17, subsection 7, Code 1997, is 1 2 amended to read as follows: 1 3 7. "Income" means the sum of Iowa net income as defined in 1 4 section 422.7, plus all of the following to the extent not 1 5 already included in Iowa net income: capital gains, alimony, 1 6 child support money, cash public assistance and relief, except 1 7 property tax relief granted under this division, amount of in- 1 8 kind assistance for housing expenses, the gross amount of any 1 9 pension or annuity, including but not limited to railroad 1 10 retirement benefits, payments received under the federal 1 11 Social Security Act, except child insurance benefits received 1 12 by a member of the claimant's household, and all military 1 13 retirement and veterans' disability pensions, interest 1 14 received from the state or federal government or any of its 1 15 instrumentalities, workers' compensation and the gross amount 1 16 of disability income or "loss of time" insurance. "Income" 1 17 does not include gifts from nongovernmental sources, or 1 18 surplus foods or other relief in kind supplied by a 1 19 governmental agency. In determining income, net operating 1 20 losses and net capital losses shall not be considered. In 1 21 determining income for a claimant defined in subsection 2, 1 22 paragraph "a", the claimant shall deduct payments for all 1 23 medical and necessary care expenses attributable to the 1 24 claimant which are made during the twelve-month income tax 1 25 accounting period used in computing income under this 1 26 subsection. "Medical and necessary care expenses" are those 1 27 used in the computing the federal income tax deduction under 1 28 section 213 of the Internal Revenue Code, as defined in 1 29 section 422.3. 1 30 Sec. 2. Section 425.23, subsection 3, Code 1997, is 1 31 amended to read as follows: 1 32 3.a.A person who is eligible to file a claim for credit 1 33 for property taxes due and who has a household income of six 1 34 thousand dollars or less and who has an unpaid special 1 35 assessment levied against the homestead may file a claim for a 2 1 special assessment credit with the county treasurer. The 2 2 department shall provide to the respective treasurers the 2 3 forms necessary for the administration of this subsection. 2 4 The claim shall be filed not later than September 30 of each 2 5 year. Upon the filing of the claim, interest for late payment 2 6 shall not accrue against the amount of the unpaid special 2 7 assessment due and payable. The claim filed by the claimant 2 8 constitutes a claim for credit of an amount equal to the 2 9 actual amount due upon the unpaid special assessment, plus 2 10 interest, payable during the fiscal year for which the claim 2 11 is filed against the homestead of the claimant. However, 2 12 where the claimant is an individual described in section 2 13 425.17, subsection 2, paragraph "b", and the tentative credit 2 14 is determined according to the schedule in section 425.23, 2 15 subsection 1, paragraph "b", subparagraph (2), the claim filed 2 16 constitutes a claim for credit of an amount equal to one-half 2 17 of the actual amount due and payable during the fiscal year. 2 18 The treasurer shall certify to the director of revenue and 2 19 finance not later than October 15 of each year the total 2 20 amount of dollars due for claims allowed. The amount of 2 21 reimbursement due each county shall be paid by the director of 2 22 revenue and finance by November 15 of each year, drawn upon 2 23 warrants payable to the respective treasurer. There is 2 24 appropriated annually from the general fund of the state to 2 25 the department of revenue and finance an amount sufficient to 2 26 carry out the provisions of this subsection. The treasurer 2 27 shall credit any moneys received from the department against 2 28 the amount of the unpaid special assessment due and payable on 2 29 the homestead of the claimant. 2 30b. For purposes of this subsection, in computing household2 31income, a person with a total disability shall deduct all2 32medical and necessary care expenses paid during the twelve-2 33month income tax accounting periods used in computing2 34household income which are attributable to the person's total2 35disability. "Medical and necessary care expenses" are those3 1used in computing the federal income tax deduction under3 2section 213 of the Internal Revenue Code as defined in section3 3422.3.3 4 Sec. 3. This Act takes effect January 1, 1999, and applies 3 5 to property tax credit claims filed on or after that date. 3 6 The Act applies to rent reimbursement claims filed on or after 3 7 January 1, 2000. 3 8 EXPLANATION 3 9 This bill allows claimants of the low-income elderly and 3 10 disabled property tax credit or rent reimbursement to deduct 3 11 medical expenses incurred by the claimant during the year when 3 12 computing income for purposes of determining the amount of the 3 13 claimant's tax credit or rent reimbursement. Presently, only 3 14 persons with a disability are allowed to deduct medical 3 15 expenses and then only when determining the amount of credit 3 16 to be allowed for the special assessment credit allowed in 3 17 conjunction with the property tax credit. 3 18 The bill takes effect January 1, 1999, and applies to 3 19 property tax credit claims filed on or after January 1, 1999, 3 20 and to rent reimbursement claims filed on or after January 1, 3 21 2000. 3 22 LSB 3067HH 77 3 23 sc/jw/5
Text: HF02226 Text: HF02228 Text: HF02200 - HF02299 Text: HF Index Bills and Amendments: General Index Bill History: General Index
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