Text: HF00001 Text: HF00003 Text: HF00000 - HF00099 Text: HF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Section 1. Section 422.7, subsection 13, Code 2001, is 1 2 amended to read as follows: 1 3 13. a. Subtract, to the extent included, the amount of 1 4 additional social security benefits taxable under the Internal 1 5 Revenue Code for tax years beginning on or after January 1, 1 6 1994, but before January 1, 2003. The amount of social 1 7 security benefits taxable as provided in section 86 of the 1 8 Internal Revenue Code, as amended up to and including January 1 9 1, 1993, continues to apply for state income tax purposes for 1 10 tax years beginning on or after January 1, 1994, but before 1 11 January 1, 2003. 1 12 b. Subtract, to the extent included after the subtraction 1 13 in paragraph "a", the following: 1 14 (1) For tax years beginning in the 2001 calendar year, 1 15 one-third of taxable social security benefits received. 1 16 (2) For tax years beginning in the 2002 calendar year, 1 17 two-thirds of taxable social security benefits received. 1 18 c. Married taxpayers, who file a joint federal income tax 1 19 return and who elect to file separate returns or who elect 1 20 separate filing on a combined return for state income tax 1 21 purposes, shall allocate between the spouses the amount of 1 22 benefits subtracted under paragraphs "a" and "b" from net 1 23 income in the ratio of the social security benefits received 1 24 by each spouse to the total of these benefits received by both 1 25 spouses. 1 26 d. Subtract, to the extent included, the amount of social 1 27 security benefits taxable under section 86 of the Internal 1 28 Revenue Code for tax years beginning on or after January 1, 1 29 2003. 1 30 Sec. 2. APPLICABILITY DATE. This Act applies 1 31 retroactively to January 1, 2001, for tax years beginning on 1 32 or after that date. 1 33 EXPLANATION 1 34 This bill exempts from the state individual income tax all 1 35 social security benefits received by the taxpayer for tax 2 1 years beginning on or after January 1, 2003. Prior to this 2 2 date, the tax on social security benefits is phased out. One- 2 3 third is exempt for tax years beginning in the 2001 calendar 2 4 year, and two-thirds are exempt for tax years beginning in the 2 5 2002 calendar year. The bill applies retroactively to January 2 6 1, 2001, for tax years beginning on or after that date. 2 7 LSB 1577YH 79 2 8 mg/cf/24
Text: HF00001 Text: HF00003 Text: HF00000 - HF00099 Text: HF Index Bills and Amendments: General Index Bill History: General Index
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