Text: HF02372 Text: HF02374 Text: HF02300 - HF02399 Text: HF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Section 1. Section 422.7, subsection 13, Code Supplement 1 2 2001, is 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, 2005. 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, 2005. 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 2002 calendar year, 1 15 one-fourth of taxable social security benefits received. 1 16 (2) For tax years beginning in the 2003 calendar year, 1 17 one-half of taxable social security benefits received. 1 18 (3) For tax years beginning in the 2004 calendar year, 1 19 three-fourths of taxable social security benefits received. 1 20 c. Married taxpayers, who file a joint federal income tax 1 21 return and who elect to file separate returns or who elect 1 22 separate filing on a combined return for state income tax 1 23 purposes, shall allocate between the spouses the amount of 1 24 benefits subtracted under paragraphs "a" and "b" from net 1 25 income in the ratio of the social security benefits received 1 26 by each spouse to the total of these benefits received by both 1 27 spouses. 1 28 d. Subtract, to the extent included, the amount of social 1 29 security benefits taxable under section 86 of the Internal 1 30 Revenue Code for tax years beginning on or after January 1, 1 31 2005. 1 32 Sec. 2. APPLICABILITY DATE. This Act applies 1 33 retroactively to January 1, 2002, for tax years beginning on 1 34 or after that date. 1 35 EXPLANATION 2 1 This bill exempts from the state individual income tax all 2 2 social security benefits received by the taxpayer for tax 2 3 years beginning on or after January 1, 2005. Prior to this 2 4 date, the tax on social security benefits is phased out. One- 2 5 fourth is exempt for tax years beginning in the 2002 calendar 2 6 year, one-half is exempt for tax years beginning in the 2003 2 7 calendar year, and three-fourths is exempt for tax years 2 8 beginning in the 2004 calendar year. The bill applies 2 9 retroactively to January 1, 2002, for tax years beginning on 2 10 or after that date. 2 11 LSB 5971YH 79 2 12 mg/cls/14
Text: HF02372 Text: HF02374 Text: HF02300 - HF02399 Text: HF Index Bills and Amendments: General Index Bill History: General Index
© 2002 Cornell College and League of Women Voters of Iowa
Comments about this site or page?
webmaster@legis.iowa.gov.
Please remember that the person listed above does not vote on bills. Direct all comments concerning legislation to State Legislators.
Last update: Sat Feb 23 03:35:30 CST 2002
URL: /DOCS/GA/79GA/Legislation/HF/02300/HF02373/020215.html
jhf