House Amendment 1697


PAG LIN




     1  1    Amend House File 883 as follows:
     1  2 #1.  Page 1, by inserting after line 8 the
     1  3 following:
     1  4    <Sec.    .  Section 422.12C, Code 2007, is amended
     1  5 by adding the following new subsection after
     1  6 subsection 1:
     1  7    NEW SUBSECTION.  1A.  For tax years beginning on or
     1  8 after January 1, 2007, but before January 1, 2008,
     1  9 each net income amount specified in subsection 1 shall
     1 10 be increased by five thousand dollars.  For tax years
     1 11 beginning on or after January 1, 2008, each net income
     1 12 amount specified in subsection 1 shall be increased by
     1 13 ten thousand dollars.
     1 14    Sec.    .  Section 422.12C, subsection 2,
     1 15 unnumbered paragraph 1, Code 2007, is amended to read
     1 16 as follows:
     1 17    The taxes imposed under this division, less the
     1 18 amounts of nonrefundable credits allowed under this
     1 19 division, may be reduced by an early childhood
     1 20 development tax credit equal to twenty=five percent of
     1 21 the first one thousand dollars which the taxpayer has
     1 22 paid to others for each dependent, as defined in the
     1 23 Internal Revenue Code, ages three through five for
     1 24 early childhood development expenses.  In determining
     1 25 the amount of early childhood development expenses for
     1 26 the tax year beginning in the 2006 calendar year only,
     1 27 such expenses paid during November and December of the
     1 28 previous tax year shall be considered paid in the tax
     1 29 year for which the tax credit is claimed.  This For
     1 30 the tax year beginning before January 1, 2007, this
     1 31 credit is available to a taxpayer whose net income is
     1 32 less than forty=five thousand dollars.  For tax years
     1 33 beginning on or after January 1, 2007, but before
     1 34 January 1, 2008, this credit is available to taxpayers
     1 35 whose net income is less than fifty thousand dollars.
     1 36 For tax years beginning on or after January 1, 2008,
     1 37 this credit is available to a taxpayer whose net
     1 38 income is less than fifty=five thousand dollars.  If
     1 39 the early childhood development tax credit is claimed
     1 40 for a tax year, the taxpayer and the taxpayer's spouse
     1 41 shall not claim the child and dependent care credit
     1 42 under subsection 1.  As used in this subsection,
     1 43 "early childhood development expenses" means services
     1 44 provided to the dependent by a preschool, as defined
     1 45 in section 237A.1, materials, and other activities as
     1 46 follows:>
     1 47 #2.  Title page, line 1, by inserting after the
     1 48 words <relating to> the following:  <the increase in
     1 49 the child and dependent care and early childhood
     1 50 development tax credits and to>.
     2  1
     2  2
     2  3                               
     2  4 UPMEYER of Hancock
     2  5 HF 883.702 82
     2  6 mg/gg/8356

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