as introduced - 90th Legislature (2017 - 2018) Posted on 03/01/2017 03:38pm
A bill for an act
relating to taxation; individual income; allowing a subtraction for Medicare part
B premiums; amending Minnesota Statutes 2016, section 290.0132, by adding a
subdivision.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Minnesota Statutes 2016, section 290.0132, is amended by adding a subdivision
to read:
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(a) The amount paid in Medicare part B premiums
is a subtraction.
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(b) For a taxpayer deducting medical expenses under section 213 of the Internal Revenue
Code, the subtraction under this subdivision is limited to the lesser of:
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(1) ten percent of adjusted gross income, as defined in section 62 of the Internal Revenue
Code; or
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(2) the amount paid in Medicare part B premiums.
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(c) The subtraction amount determined under paragraph (b) is not considered to have
been deducted in computing federal taxable income.
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This section is effective for taxable years beginning after December
31, 2016.
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This section is intended to fulfill the requirement under
Minnesota Statutes, section 3.192, that a bill creating, renewing, or continuing a tax
expenditure provide a purpose for the tax expenditure and a standard or goal against which
its effectiveness is measured.
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The provisions of section 1, providing an income
tax subtraction for Medicare part B premiums, are intended to reduce health care costs for
senior citizens.
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