Text: SSB03123 Text: SSB03125 Text: SSB03100 - SSB03199 Text: SSB 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, 2007. 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, 2007. 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 2003 calendar year, 1 15 one-fifth of taxable social security benefits received. 1 16 (2) For tax years beginning in the 2004 calendar year, 1 17 two-fifths of taxable social security benefits received. 1 18 (3) For tax years beginning in the 2005 calendar year, 1 19 three-fifths of taxable social security benefits received. 1 20 (4) For tax years beginning in the 2006 calendar year, 1 21 four-fifths of taxable social security benefits received. 1 22 c. Married taxpayers, who file a joint federal income tax 1 23 return and who elect to file separate returns or who elect 1 24 separate filing on a combined return for state income tax 1 25 purposes, shall allocate between the spouses the amount of 1 26 benefits subtracted under paragraphs "a" and "b" from net 1 27 income in the ratio of the social security benefits received 1 28 by each spouse to the total of these benefits received by both 1 29 spouses. 1 30 d. Subtract, to the extent included, the amount of social 1 31 security benefits taxable under the Internal Revenue Code for 1 32 tax years beginning on or after January 1, 2007. 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, 2007. Prior to this 2 2 date, the tax on social security benefits is phased out. One- 2 3 fifth is exempt for tax years beginning in the 2003 calendar 2 4 year, two-fifths is exempt for tax years beginning in the 2004 2 5 calendar year, three-fifths is exempt for tax years beginning 2 6 in the 2005 calendar year, and four-fifths is exempt for tax 2 7 years beginning in the 2006 calendar year. 2 8 LSB 6602SC 79 2 9 mg/cls/14
Text: SSB03123 Text: SSB03125 Text: SSB03100 - SSB03199 Text: SSB Index Bills and Amendments: General Index Bill History: General Index
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