Bill Text: MS HB1268 | 2023 | Regular Session | Introduced
Bill Title: Income tax; increase tax credit allowed for child adoption expenses.
Spectrum: Partisan Bill (Independent 1-0)
Status: (Failed) 2023-02-22 - Died In Committee [HB1268 Detail]
Download: Mississippi-2023-HB1268-Introduced.html
MISSISSIPPI LEGISLATURE
2023 Regular Session
To: Ways and Means
By: Representative Cockerham
House Bill 1268
AN ACT TO AMEND SECTION 27-7-22.32, MISSISSIPPI CODE OF 1972, WHICH AUTHORIZES AN INCOME TAX CREDIT FOR EXPENSES INCURRED FOR THE ADOPTION OF A CHILD, TO INCREASE THE AMOUNT OF THE CREDIT AND TO EXTEND THE DATE OF THE REVERTER ON THE PROVISION OF LAW THAT INCREASES THE MAXIMUM AMOUNT OF THE TAX CREDIT AND THE PROVISION THAT AUTHORIZES AN INCOME TAX CREDIT FOR A CHILD ADOPTED THROUGH THE MISSISSIPPI DEPARTMENT OF CHILD PROTECTION SERVICES; AND FOR RELATED PURPOSES.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:
SECTION 1. Section 27-7-22.32, Mississippi Code of 1972, is amended as follows:
[Through December 31, * * * 2026, this section shall read as follows:]
27-7-22.32. (1) (a) There
shall be allowed as a credit against the tax imposed by this chapter the amount
of the qualified adoption expenses paid or incurred, not to exceed Two Thousand
Five Hundred Dollars ($2,500.00), for each dependent child legally adopted by a
taxpayer under the laws of this state during calendar year 2006 or during any calendar
year thereafter through calendar year 2017, * * * not to exceed Five Thousand Dollars ($5,000.00)
for each dependent child legally adopted by a taxpayer under the laws of this state
during any calendar year thereafter through calendar year 2022, and not to exceed
Seven Thousand Five Hundred Dollars ($7,500.00) for each dependent child legally
adopted by a taxpayer under the laws of this state during any calendar year thereafter.
A taxpayer claiming a credit under this paragraph (a) may not claim a credit under
paragraph (b) of this subsection for the adoption of the same child.
(b) There shall be allowed as a credit against the tax imposed by this chapter the amount of Five Thousand Dollars ($5,000.00) for each dependent child legally adopted by a taxpayer under the laws of this state through the Mississippi Department of Child Protection Services during calendar year 2018 or during any calendar year thereafter through calendar year 2022, and the amount of Seven Thousand Five Hundred Dollars ($7,500.00) for each dependent child legally adopted by a taxpayer under the laws of this state through the Mississippi Department of Child Protection Services during any calendar year thereafter. A taxpayer claiming a credit under this paragraph (b) may not claim a credit under paragraph (a) of this subsection for the adoption of the same child.
(2) The tax credit under this
section may be claimed for the taxable year in which the adoption becomes final
under the laws of this state. Any tax credit claimed under this section but not
used in any taxable year may be carried forward for the five (5) succeeding tax
years. A tax credit is allowed under this section for any child for which an exemption
is claimed during the same taxable year under Section 27-7-21(e). For the purposes
of this section, the term "qualified adoption expenses" means and has
the same definition as that term has in 26 USCS * * * 23.
[From and after January 1, * * * 2027, this section shall read as follows:]
27-7-22.32. There shall be allowed
as a credit against the tax imposed by this chapter the amount of the qualified
adoption expenses paid or incurred, not to exceed Two Thousand Five Hundred Dollars
($2,500.00), for each dependent child legally adopted by a taxpayer under the laws
of this state during calendar year 2006 or during any calendar year thereafter.
The tax credit under this section may be claimed for the taxable year in which the
adoption becomes final under the laws of this state. Any tax credit claimed under
this section but not used in any taxable year may be carried forward for the three
(3) succeeding tax years. A tax credit is allowed under this section for any child
for which an exemption is claimed during the same taxable year under Section 27-7-21(e).
For the purposes of this section, the term "qualified adoption expenses"
means and has the same definition as that term has in 26 USCS * * * 23.
SECTION 2. Nothing in this act shall affect or defeat any claim, assessment, appeal, suit, right or cause of action for taxes due or accrued under the income tax laws before the date on which this act becomes effective, whether such claims, assessments, appeals, suits or actions have been begun before the date on which this act becomes effective or are begun thereafter; and the provisions of the income tax laws are expressly continued in full force, effect and operation for the purpose of the assessment, collection and enrollment of liens for any taxes due or accrued and the execution of any warrant under such laws before the date on which this act becomes effective, and for the imposition of any penalties, forfeitures or claims for failure to comply with such laws.
SECTION 3. This act shall take effect and be in force from and after July 1, 2023.
