House Amendment 1330


PAG LIN




     1  1    Amend House File 461 as follows;
     1  2 #1.  By striking page 1, line 1, through page 2,
     1  3 line 4, and inserting the following:
     1  4    <Section 1.  Section 422.7, subsection 13, Code
     1  5 2005, is amended to read as follows:
     1  6    13.  a.  Subtract, to the extent included, the
     1  7 amount of additional social security benefits taxable
     1  8 under the Internal Revenue Code for tax years
     1  9 beginning on or after January 1, 1994.  The amount of
     1 10 social security benefits taxable as provided in
     1 11 section 86 of the Internal Revenue Code, as amended up
     1 12 to and including January 1, 1993, with the adjustments
     1 13 in paragraph "b", continues to apply for state income
     1 14 tax purposes for tax years beginning on or after
     1 15 January 1, 1994.  Married taxpayers, who file a joint
     1 16 federal income tax return and who elect to file
     1 17 separate returns or who elect separate filing on a
     1 18 combined return for state income tax purposes, shall
     1 19 allocate between the spouses the amount of benefits
     1 20 subtracted from net income in the ratio of the social
     1 21 security benefits received by each spouse to the total
     1 22 of these benefits received by both spouses.
     1 23    b.  In computing the amount of taxable social
     1 24 security benefits under paragraph "a" for tax years
     1 25 beginning on or after January 1, 2006, the term "base
     1 26 amount" in section 86 of the Internal Revenue Code, as
     1 27 amended up to and including January 1, 1993, means one
     1 28 of the following:
     1 29    (1)  Except as otherwise provided in subparagraphs
     1 30 (2) and (3), thirty thousand dollars.
     1 31    (2)  In the case of a joint return, thirty=eight
     1 32 thousand four hundred dollars.
     1 33    (3)  In the case of a taxpayer who is married but
     1 34 does not file a joint return and does not live apart
     1 35 from the taxpayer's spouse at all times during the tax
     1 36 year, zero.>
     1 37 #2.  Title page, line 1, by striking the words
     1 38 <phasing out> and inserting the following: <reducing>.
     1 39
     1 40
     1 41                               
     1 42 HOGG of Linn
     1 43 HF 461.301 81
     1 44 mg/cf/483
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