Bill Text: MN SF2928 | 2013-2014 | 88th Legislature | Introduced
Bill Title: Home care providers and children with disabilities parents and guardians income tax credits; appropriation
Spectrum: Bipartisan Bill
Status: (Introduced - Dead) 2014-03-28 - Referred to Taxes [SF2928 Detail]
Download: Minnesota-2013-SF2928-Introduced.html
1.2relating to taxation; individual income; establishing tax credits for certain
1.3home care providers and parents or guardians of children with disabilities;
1.4appropriating money;amending Minnesota Statutes 2012, sections 256B.0911,
1.5subdivision 3; 290.0674, subdivisions 1, 2, 4, by adding a subdivision; proposing
1.6coding for new law in Minnesota Statutes, chapter 290.
1.7BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.8 Section 1. Minnesota Statutes 2012, section 256B.0911, subdivision 3, is amended to
1.9read:
1.10 Subd. 3. Long-term care consultation team. (a) A long-term care consultation
1.11team shall be established by the county board of commissioners. Two or more counties
1.12may collaborate to establish a joint local consultation team or teams.
1.13(b) Certified assessors must be part of a multidisciplinary long-term care consultation
1.14team of professionals that includes public health nurses, social workers, and other
1.15professionals as defined in subdivision 2b, paragraph (b). The team is responsible for
1.16providing long-term care consultation services to all persons located in the county who
1.17request the services, regardless of eligibility for Minnesota health care programs.
1.18(c) The commissioner shall allow arrangements and make recommendations that
1.19encourage counties and tribes to collaborate to establish joint local long-term care
1.20consultation teams to ensure that long-term care consultations are done within the
1.21timelines and parameters of the service. This includes integrated service models as
1.22required in subdivision 1, paragraph (b).
1.23(d) Tribes and health plans under contract with the commissioner must provide
1.24long-term care consultation services as specified in the contract.
2.1(e) The lead agency must provide the commissioner with an administrative contact
2.2for communication purposes.
2.3 (f) For applicants for a credit under section290.0682 , the team must certify in
2.4accordance with procedures established by the commissioner that the care provided by
2.5the caregiver:
2.6 (1) qualifies as personal care assistant services under section 256B.0625, subdivision
2.719a;
2.8 (2) is needed and provided in person on a daily basis; and
2.9 (3) is appropriate based on the service recipient's needs and is likely to delay or
2.10avoid transferring the person to an out-of-home placement.
2.11EFFECTIVE DATE.This section is effective January 1, 2015.
2.12 Sec. 2. Minnesota Statutes 2012, section 290.0674, subdivision 1, is amended to read:
2.13 Subdivision 1. Credit allowed. An individual is allowed a credit against the
2.14tax imposed by this chapter in an amount equal to 75 percent of the amount paid for
2.15education-related expenses, less the amount of expenses used to claim the credit under
2.16subdivision 1a, for a qualifying child in kindergarten through grade 12. For purposes of
2.17this section, "education-related expenses" means:
2.18(1) fees or tuition for instruction by an instructor under section120A.22, subdivision
2.1910 , clause (1), (2), (3), (4), or (5), or a member of the Minnesota Music Teachers
2.20Association, and who is not a lineal ancestor or sibling of the dependent for instruction
2.21outside the regular school day or school year, including tutoring, driver's education
2.22offered as part of school curriculum, regardless of whether it is taken from a public or
2.23private entity or summer camps, in grade or age appropriate curricula that supplement
2.24curricula and instruction available during the regular school year, that assists a dependent
2.25to improve knowledge of core curriculum areas or to expand knowledge and skills under
2.26the required academic standards under section120B.021, subdivision 1 , and the elective
2.27standard under section120B.022, subdivision 1 , clause (2), and that do not include the
2.28teaching of religious tenets, doctrines, or worship, the purpose of which is to instill such
2.29tenets, doctrines, or worship;
2.30(2) expenses for textbooks, including books and other instructional materials and
2.31equipment purchased or leased for use in elementary and secondary schools in teaching
2.32only those subjects legally and commonly taught in public elementary and secondary
2.33schools in this state. "Textbooks" does not include instructional books and materials
2.34used in the teaching of religious tenets, doctrines, or worship, the purpose of which is
2.35to instill such tenets, doctrines, or worship, nor does it include books or materials for
3.1extracurricular activities including sporting events, musical or dramatic events, speech
3.2activities, driver's education, or similar programs;
3.3(3) a maximum expense of $200 per family for personal computer hardware,
3.4excluding single purpose processors, and educational software that assists a dependent to
3.5improve knowledge of core curriculum areas or to expand knowledge and skills under
3.6the required academic standards under section120B.021, subdivision 1 , and the elective
3.7standard under section120B.022, subdivision 1 , clause (2), purchased for use in the
3.8taxpayer's home and not used in a trade or business regardless of whether the computer is
3.9required by the dependent's school; and
3.10(4) the amount paid to others for transportation of a qualifying child attending an
3.11elementary or secondary school situated in Minnesota, North Dakota, South Dakota, Iowa,
3.12or Wisconsin, wherein a resident of this state may legally fulfill the state's compulsory
3.13attendance laws, which is not operated for profit, and which adheres to the provisions of
3.14the Civil Rights Act of 1964 and chapter 363A.
3.15For purposes of this section, "qualifying child" has the meaning given in section
3.1632(c)(3) of the Internal Revenue Code.
3.17EFFECTIVE DATE.This section is effective for taxable years beginning after
3.18December 31, 2013.
3.19 Sec. 3. Minnesota Statutes 2012, section 290.0674, is amended by adding a subdivision
3.20to read:
3.21 Subd. 1a. Credit allowed for parents or guardians of students with disabilities.
3.22(a) An individual is allowed a credit against the tax imposed by this chapter in an
3.23amount equal to 75 percent of the amount paid for tutoring expenses not compensated
3.24by insurance, pretax account, or otherwise, paid by a parent or guardian of a student in
3.25kindergarten through grade 12 for whom a Minnesota individualized education program is
3.26in effect pursuant to section 125A.08. The parent or guardian claiming the credit must be
3.27a member of the student's individual education program team and must have claimed the
3.28student as a dependent for all or part of the tax year. An individual claiming the credit
3.29under this subdivision must provide documentation of eligibility for the credit in a form
3.30and manner prescribed by the commissioner.
3.31(b) For the purposes of this subdivision, eligible expenses for tutoring are the same
3.32as provided in subdivision 1, clause (1).
3.33EFFECTIVE DATE.This section is effective for taxable years beginning after
3.34December 31, 2013.
4.1 Sec. 4. Minnesota Statutes 2012, section 290.0674, subdivision 2, is amended to read:
4.2 Subd. 2. Limitations. (a)(1) For claimants with income not greater than $33,500,
4.3the maximum credit allowed under subdivision 1 for a family is $1,000 multiplied by
4.4the number of qualifying children in kindergarten through grade 12 in the family. The
4.5maximum credit under subdivision 1 for families with one qualifying child in kindergarten
4.6through grade 12 is reduced by $1 for each $4 of household income over $33,500, and the
4.7maximum credit under subdivision 1 for families with two or more qualifying children in
4.8kindergarten through grade 12 is reduced by $2 for each $4 of household income over
4.9$33,500, but in no case is the credit under subdivision 1 less than zero; and
4.10(2) for claimants with income not greater than 300 percent of the federal poverty
4.11guideline, the maximum credit allowed under subdivision 1a for a family is $2,000. The
4.12credit under subdivision 1a is reduced by $100 for every $1,000 of household income over
4.13300 percent of the federal poverty guideline.
4.14(b) For purposes of this section "income" has the meaning given in section290.067,
4.15subdivision 2a . In the case of a married claimant, a credit is not allowed unless a joint
4.16income tax return is filed.
4.17(b) (c) For a nonresident or part-year resident, the credit determined under
4.18subdivision 1 and the maximum credit amount in paragraph (a) and the credit determined
4.19under subdivision 1a must be allocated using the percentage calculated in section290.06,
4.20subdivision 2c , paragraph (e).
4.21EFFECTIVE DATE.This section is effective for taxable years beginning after
4.22December 31, 2013.
4.23 Sec. 5. Minnesota Statutes 2012, section 290.0674, subdivision 4, is amended to read:
4.24 Subd. 4. Credit to be refundable. If the amount ofcredit total credits that the
4.25claimant is eligible to receive under this section exceeds the claimant's tax liability under
4.26this chapter, the commissioner shall refund the excess to the claimant.
4.27EFFECTIVE DATE.This section is effective for taxable years beginning after
4.28December 31, 2013.
4.29 Sec. 6. [290.0682] MINNESOTA HOME CAREGIVER CREDIT.
4.30 Subdivision 1. Definitions. The terms used in this section have the following
4.31meanings given unless otherwise provided for by text.
4.32 Subd. 2. Caregiver. "Caregiver" means an individual who provides unpaid
4.33assistance on a daily basis that qualifies as personal care assistant services under section
5.1256B.0625, subdivision 19a, to a service recipient in either the individual's principal
5.2residence or the service recipient's principal residence.
5.3 Subd. 3. Service recipient. "Service recipient" means an individual who:
5.4 (1) is the spouse, parent, stepparent, sibling, stepsibling, child, stepchild,
5.5grandparent, or stepgrandparent of the taxpayer;
5.6 (2) does not reside in a setting licensed or registered by the commissioners of health
5.7or human services; and
5.8 (3) has been screened by a county long-term care consultation team and determined
5.9by that team to be eligible for placement in a nursing home or other long-term care facility.
5.10 Subd. 4. Credit allowed. (a) An individual is allowed a credit against the tax
5.11imposed by this chapter equal to $200 for each month during the tax year that the individual
5.12is a caregiver for a service recipient. The maximum credit in a tax year shall be $2,400.
5.13 (b) An individual claiming the credit must certify to the commissioner that the
5.14individual and the service recipient satisfy all the requirements of this section.
5.15 (c) Only one credit may be claimed for each service recipient in any tax year.
5.16 (d) For a nonresident or part-year resident, the credit must be allocated based on the
5.17percentage calculated under section290.06, subdivision 2c , paragraph (e).
5.18 Subd. 5. Credit limitations. (a) For claimants with income not greater than 300
5.19percent of the federal poverty guideline, the credit under subdivision 4 is reduced by $100
5.20for every $1,000 of household income over 300 percent of the federal poverty guideline.
5.21 (b) Eligibility for the credit in subdivision 4 is limited to persons who have been
5.22certified by a long-term care consultation team under section256B.0911, subdivision 3,
5.23paragraph (e) .
5.24 (c) The credit in subdivision 4 is reduced to $100 for any month in which a
5.25service recipient receives more than four hours per day on average of federal, state, or
5.26county-funded home care services as specified in section256B.0651, subdivision 2 .
5.27 Subd. 6. Credit refundable. If the amount of the credit under this section exceeds
5.28the individual's tax liability under this chapter, the commissioner shall refund the excess
5.29amount to the claimant.
5.30 Subd. 7. Caregiver training. For each year in which a credit is claimed under this
5.31section, the caregiver must participate in at least eight hours of (1) caregiver training,
5.32education, or counseling, or (2) caregiver support group sessions.
5.33 Subd. 8. Appropriation. The amount necessary to pay the refunds under this
5.34chapter is appropriated annually to the commissioner.
5.35EFFECTIVE DATE.This section is effective for taxable years beginning after
5.36December 31, 2013.
1.3home care providers and parents or guardians of children with disabilities;
1.4appropriating money;amending Minnesota Statutes 2012, sections 256B.0911,
1.5subdivision 3; 290.0674, subdivisions 1, 2, 4, by adding a subdivision; proposing
1.6coding for new law in Minnesota Statutes, chapter 290.
1.7BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.8 Section 1. Minnesota Statutes 2012, section 256B.0911, subdivision 3, is amended to
1.9read:
1.10 Subd. 3. Long-term care consultation team. (a) A long-term care consultation
1.11team shall be established by the county board of commissioners. Two or more counties
1.12may collaborate to establish a joint local consultation team or teams.
1.13(b) Certified assessors must be part of a multidisciplinary long-term care consultation
1.14team of professionals that includes public health nurses, social workers, and other
1.15professionals as defined in subdivision 2b, paragraph (b). The team is responsible for
1.16providing long-term care consultation services to all persons located in the county who
1.17request the services, regardless of eligibility for Minnesota health care programs.
1.18(c) The commissioner shall allow arrangements and make recommendations that
1.19encourage counties and tribes to collaborate to establish joint local long-term care
1.20consultation teams to ensure that long-term care consultations are done within the
1.21timelines and parameters of the service. This includes integrated service models as
1.22required in subdivision 1, paragraph (b).
1.23(d) Tribes and health plans under contract with the commissioner must provide
1.24long-term care consultation services as specified in the contract.
2.1(e) The lead agency must provide the commissioner with an administrative contact
2.2for communication purposes.
2.3 (f) For applicants for a credit under section
2.4accordance with procedures established by the commissioner that the care provided by
2.5the caregiver:
2.6 (1) qualifies as personal care assistant services under section 256B.0625, subdivision
2.719a;
2.8 (2) is needed and provided in person on a daily basis; and
2.9 (3) is appropriate based on the service recipient's needs and is likely to delay or
2.10avoid transferring the person to an out-of-home placement.
2.11EFFECTIVE DATE.This section is effective January 1, 2015.
2.12 Sec. 2. Minnesota Statutes 2012, section 290.0674, subdivision 1, is amended to read:
2.13 Subdivision 1. Credit allowed. An individual is allowed a credit against the
2.14tax imposed by this chapter in an amount equal to 75 percent of the amount paid for
2.15education-related expenses, less the amount of expenses used to claim the credit under
2.16subdivision 1a, for a qualifying child in kindergarten through grade 12. For purposes of
2.17this section, "education-related expenses" means:
2.18(1) fees or tuition for instruction by an instructor under section
2.1910
2.20Association, and who is not a lineal ancestor or sibling of the dependent for instruction
2.21outside the regular school day or school year, including tutoring, driver's education
2.22offered as part of school curriculum, regardless of whether it is taken from a public or
2.23private entity or summer camps, in grade or age appropriate curricula that supplement
2.24curricula and instruction available during the regular school year, that assists a dependent
2.25to improve knowledge of core curriculum areas or to expand knowledge and skills under
2.26the required academic standards under section
2.27standard under section
2.28teaching of religious tenets, doctrines, or worship, the purpose of which is to instill such
2.29tenets, doctrines, or worship;
2.30(2) expenses for textbooks, including books and other instructional materials and
2.31equipment purchased or leased for use in elementary and secondary schools in teaching
2.32only those subjects legally and commonly taught in public elementary and secondary
2.33schools in this state. "Textbooks" does not include instructional books and materials
2.34used in the teaching of religious tenets, doctrines, or worship, the purpose of which is
2.35to instill such tenets, doctrines, or worship, nor does it include books or materials for
3.1extracurricular activities including sporting events, musical or dramatic events, speech
3.2activities, driver's education, or similar programs;
3.3(3) a maximum expense of $200 per family for personal computer hardware,
3.4excluding single purpose processors, and educational software that assists a dependent to
3.5improve knowledge of core curriculum areas or to expand knowledge and skills under
3.6the required academic standards under section
3.7standard under section
3.8taxpayer's home and not used in a trade or business regardless of whether the computer is
3.9required by the dependent's school; and
3.10(4) the amount paid to others for transportation of a qualifying child attending an
3.11elementary or secondary school situated in Minnesota, North Dakota, South Dakota, Iowa,
3.12or Wisconsin, wherein a resident of this state may legally fulfill the state's compulsory
3.13attendance laws, which is not operated for profit, and which adheres to the provisions of
3.14the Civil Rights Act of 1964 and chapter 363A.
3.15For purposes of this section, "qualifying child" has the meaning given in section
3.1632(c)(3) of the Internal Revenue Code.
3.17EFFECTIVE DATE.This section is effective for taxable years beginning after
3.18December 31, 2013.
3.19 Sec. 3. Minnesota Statutes 2012, section 290.0674, is amended by adding a subdivision
3.20to read:
3.21 Subd. 1a. Credit allowed for parents or guardians of students with disabilities.
3.22(a) An individual is allowed a credit against the tax imposed by this chapter in an
3.23amount equal to 75 percent of the amount paid for tutoring expenses not compensated
3.24by insurance, pretax account, or otherwise, paid by a parent or guardian of a student in
3.25kindergarten through grade 12 for whom a Minnesota individualized education program is
3.26in effect pursuant to section 125A.08. The parent or guardian claiming the credit must be
3.27a member of the student's individual education program team and must have claimed the
3.28student as a dependent for all or part of the tax year. An individual claiming the credit
3.29under this subdivision must provide documentation of eligibility for the credit in a form
3.30and manner prescribed by the commissioner.
3.31(b) For the purposes of this subdivision, eligible expenses for tutoring are the same
3.32as provided in subdivision 1, clause (1).
3.33EFFECTIVE DATE.This section is effective for taxable years beginning after
3.34December 31, 2013.
4.1 Sec. 4. Minnesota Statutes 2012, section 290.0674, subdivision 2, is amended to read:
4.2 Subd. 2. Limitations. (a)(1) For claimants with income not greater than $33,500,
4.3the maximum credit allowed under subdivision 1 for a family is $1,000 multiplied by
4.4the number of qualifying children in kindergarten through grade 12 in the family. The
4.5maximum credit under subdivision 1 for families with one qualifying child in kindergarten
4.6through grade 12 is reduced by $1 for each $4 of household income over $33,500, and the
4.7maximum credit under subdivision 1 for families with two or more qualifying children in
4.8kindergarten through grade 12 is reduced by $2 for each $4 of household income over
4.9$33,500, but in no case is the credit under subdivision 1 less than zero; and
4.10(2) for claimants with income not greater than 300 percent of the federal poverty
4.11guideline, the maximum credit allowed under subdivision 1a for a family is $2,000. The
4.12credit under subdivision 1a is reduced by $100 for every $1,000 of household income over
4.13300 percent of the federal poverty guideline.
4.14(b) For purposes of this section "income" has the meaning given in section
4.15subdivision 2a
4.16income tax return is filed.
4.17
4.18subdivision 1 and the maximum credit amount in paragraph (a) and the credit determined
4.19under subdivision 1a must be allocated using the percentage calculated in section
4.20subdivision 2c
4.21EFFECTIVE DATE.This section is effective for taxable years beginning after
4.22December 31, 2013.
4.23 Sec. 5. Minnesota Statutes 2012, section 290.0674, subdivision 4, is amended to read:
4.24 Subd. 4. Credit to be refundable. If the amount of
4.25claimant is eligible to receive under this section exceeds the claimant's tax liability under
4.26this chapter, the commissioner shall refund the excess to the claimant.
4.27EFFECTIVE DATE.This section is effective for taxable years beginning after
4.28December 31, 2013.
4.29 Sec. 6. [290.0682] MINNESOTA HOME CAREGIVER CREDIT.
4.30 Subdivision 1. Definitions. The terms used in this section have the following
4.31meanings given unless otherwise provided for by text.
4.32 Subd. 2. Caregiver. "Caregiver" means an individual who provides unpaid
4.33assistance on a daily basis that qualifies as personal care assistant services under section
5.1256B.0625, subdivision 19a, to a service recipient in either the individual's principal
5.2residence or the service recipient's principal residence.
5.3 Subd. 3. Service recipient. "Service recipient" means an individual who:
5.4 (1) is the spouse, parent, stepparent, sibling, stepsibling, child, stepchild,
5.5grandparent, or stepgrandparent of the taxpayer;
5.6 (2) does not reside in a setting licensed or registered by the commissioners of health
5.7or human services; and
5.8 (3) has been screened by a county long-term care consultation team and determined
5.9by that team to be eligible for placement in a nursing home or other long-term care facility.
5.10 Subd. 4. Credit allowed. (a) An individual is allowed a credit against the tax
5.11imposed by this chapter equal to $200 for each month during the tax year that the individual
5.12is a caregiver for a service recipient. The maximum credit in a tax year shall be $2,400.
5.13 (b) An individual claiming the credit must certify to the commissioner that the
5.14individual and the service recipient satisfy all the requirements of this section.
5.15 (c) Only one credit may be claimed for each service recipient in any tax year.
5.16 (d) For a nonresident or part-year resident, the credit must be allocated based on the
5.17percentage calculated under section
5.18 Subd. 5. Credit limitations. (a) For claimants with income not greater than 300
5.19percent of the federal poverty guideline, the credit under subdivision 4 is reduced by $100
5.20for every $1,000 of household income over 300 percent of the federal poverty guideline.
5.21 (b) Eligibility for the credit in subdivision 4 is limited to persons who have been
5.22certified by a long-term care consultation team under section
5.23paragraph (e)
5.24 (c) The credit in subdivision 4 is reduced to $100 for any month in which a
5.25service recipient receives more than four hours per day on average of federal, state, or
5.26county-funded home care services as specified in section
5.27 Subd. 6. Credit refundable. If the amount of the credit under this section exceeds
5.28the individual's tax liability under this chapter, the commissioner shall refund the excess
5.29amount to the claimant.
5.30 Subd. 7. Caregiver training. For each year in which a credit is claimed under this
5.31section, the caregiver must participate in at least eight hours of (1) caregiver training,
5.32education, or counseling, or (2) caregiver support group sessions.
5.33 Subd. 8. Appropriation. The amount necessary to pay the refunds under this
5.34chapter is appropriated annually to the commissioner.
5.35EFFECTIVE DATE.This section is effective for taxable years beginning after
5.36December 31, 2013.
