Text: SF00100 Text: SF00102 Text: SF00100 - SF00199 Text: SF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Section 1. Section 422.7, subsection 31, Code 2003, is 1 2 amended to read as follows: 1 3 31. For a person who is disabled, or is fifty-five years 1 4 of age or older, or is the surviving spouse of an individual 1 5 or a survivor having an insurable interest in an individual 1 6 who would have qualified for the exemption under this 1 7 subsection for the tax year, subtract, to the extent included, 1 8 the total amount of a governmental or other pension or 1 9 retirement pay, including, but not limited to, social security 1 10 benefits, defined benefit or defined contribution plans, 1 11 annuities, individual retirement accounts, plans maintained or 1 12 contributed to by an employer, or maintained or contributed to 1 13 by a self-employed person as an employer, and deferred 1 14 compensation plans or any earnings attributable to the 1 15 deferred compensation plans, up to a maximum ofsixtwelve 1 16 thousand dollars for a person, other than a husband or wife, 1 17 who files a separate state income tax return and up to a 1 18 maximum oftwelvetwenty-four thousand dollars for a husband 1 19 and wife who file a joint state income tax return. However, a 1 20 surviving spouse who is not disabled or fifty-five years of 1 21 age or older can only exclude the amount of pension or 1 22 retirement pay received as a result of the death of the other 1 23 spouse. A husband and wife filing separate state income tax 1 24 returns or separately on a combined state return are allowed a 1 25 combined maximum exclusion under this subsection of up to 1 26twelvetwenty-four thousand dollars. Thetwelvetwenty-four 1 27 thousand dollar exclusion shall be allocated to the husband or 1 28 wife in the proportion that each spouse's respective pension 1 29 and retirement pay received bears to total combined pension 1 30 and retirement pay received. 1 31 For purposes of this subsection, "social security benefits" 1 32 means social security benefits that are taxable after the 1 33 deduction under subsection 13. 1 34 Sec. 2. APPLICABILITY. This Act applies to tax years 1 35 beginning on or after January 1, 2005. 2 1 EXPLANATION 2 2 This bill increases the state individual income tax 2 3 exemption for pension and retirement pay from $6,000 to 2 4 $12,000 for single filers and from $12,000 to $24,000 for 2 5 married taxpayers. The exemption is available to a taxpayer 2 6 who is disabled or 55 years of age or older, or a qualifying 2 7 survivor of such a taxpayer. 2 8 The bill includes social security benefits taxable under 2 9 state law in the definition of pension and retirement pay. 2 10 The bill applies to tax years beginning on or after January 2 11 1, 2005. 2 12 LSB 1555SS 80 2 13 sc/pj/5
Text: SF00100 Text: SF00102 Text: SF00100 - SF00199 Text: SF Index Bills and Amendments: General Index Bill History: General Index
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