HF 2155 (LSB 5382YH (9) 83)

HOUSE FILE 2155

BY  HELLAND

A BILL FOR

An Act providing a deduction from the computation of net income for purposes of the individual income tax for the cost of personal wellness services and including retroactive applicability provisions.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 422.7, Code Supplement 2009, is amended by adding the following new subsection:
   NEW SUBSECTION.  34.  Subtract, to the extent not otherwise deducted in computing adjusted gross income, the amounts paid for the purchase of personal wellness services for the taxpayer or the taxpayer’s spouse or dependent. For purposes of this subsection, “personal wellness services” means a fitness club or gym membership, consultations with a personal trainer, or consultations with a nutritionist or dietician.
    Sec. 2.  Section 422.9, subsection 2, paragraph g, Code Supplement 2009, is amended to read as follows:
   g.  If the taxpayer has a deduction for medical care expenses under section 213 of the Internal Revenue Code, the taxpayer shall recompute for the purposes of this subsection the amount of the deduction under section 213 by excluding from medical care, as defined in section 213, the amount subtracted under section 422.7, subsection 29 or section 422.7, subsection 34, to the extent the amount deducted under section 422.7, subsection 34, is considered a medical care expense.
    Sec. 3.  RETROACTIVE APPLICABILITY.  This Act applies retroactively to January 1, 2010, for tax years beginning on or after that date.
EXPLANATION
   This bill provides a deduction from the computation of net income for individual income tax purposes for amounts paid for the purchase of personal wellness services for the taxpayer or the taxpayer’s spouse or dependent. “Personal wellness services” means a fitness club or gym membership, consultations with a personal trainer, or consultations with a nutritionist or dietician. This deduction is taken prior to the taking of either the standard deduction or itemized deductions.
   Under certain circumstances, personal wellness services might also qualify for medical care deductions. The bill provides for the recomputation of the medical care itemized deduction if personal wellness services have already been deducted when computing net income, to the extent those personal wellness services are considered medical care.
   The bill applies retroactively to January 1, 2010, for tax years beginning on or after that date.