HF 3029

as introduced - 88th Legislature (2013 - 2014) Posted on 03/13/2014 02:42pm

A bill for an act
relating to taxation; individual income; allowing an income tax credit for certain
insurance premium increases occurring in 2014; appropriating money.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1. new text begin AFFORDABLE CARE ACT INSURANCE PREMIUM INCREASE
CREDIT.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For purposes of this section, the following terms
have the meanings given.
new text end

new text begin (b) "Affordable Care Act" means the provisions of Public Law 111-148 and of
Public Law 111-152.
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new text begin (c) "Qualified individual" means an individual whose calendar year 2013 health
insurance policy was terminated because it did not meet the requirements of the Affordable
Care Act and was not available for calendar year 2014 for reasons not attributable to
actions of the individual.
new text end

new text begin Subd. 2. new text end

new text begin Credit allowed. new text end

new text begin (a) For taxable years beginning after December 31, 2013,
and before January 1, 2015, a qualified individual is allowed a credit against the tax due
under this chapter equal to the difference between the amount the individual paid for health
insurance for calendar year 2014 and the amount the individual paid for health insurance
for calendar year 2013, reduced by any subsidies, including tax credits, that the individual
received under the Affordable Care Act. In no case may the credit under this section be
less than zero. A qualified individual may claim the credit in this section one time only.
new text end

new text begin (b) For a nonresident or part-year resident, the credit must be allocated based on the
percentage calculated under section 290.06, subdivision 2c, paragraph (e).
new text end

new text begin Subd. 3. new text end

new text begin Credit refundable; appropriation. new text end

new text begin (a) If the credit allowed under this
section exceeds the individual's liability under this chapter, the commissioner shall refund
the excess to the taxpayer.
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new text begin (b) An amount sufficient to pay the refunds required by this section is appropriated
from the general fund to the commissioner.
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new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for taxable years beginning after
December 31, 2013, and before January 1, 2015.
new text end