Provides an individual income tax credit for certain medical expenses paid by certain state employees. (1/1/18) (OR DECREASE GF RV See Note)
Impact
The implementation of SB 253 would affect state tax laws by incorporating a new provision for tax credits based on unreimbursed medical expenses. It seeks to alleviate some of the financial burdens on state employees who face higher out-of-pocket costs when transitioning from the OGB plan to other private health insurance plans. This bill signifies a recognition of the unique challenges that state employees may experience with health insurance costs and aims to provide some level of compensation through tax benefits.
Summary
Senate Bill 253 introduces an individual income tax credit for specific medical expenses that certain state employees incur. This legislation aims to assist state employees by offering them a tax break equivalent to the medical costs that are not covered by insurance or other means. It specifically targets those who were previously enrolled in the health insurance plans provided by the Office of Group Benefits (OGB) and who subsequently switch to their spouse's health insurance plan. The proposed law is set to take effect on January 1, 2018.
Sentiment
The sentiment surrounding SB 253 appears to lean towards being favorable towards state employees and acknowledges the necessity for support in managing medical expenses. Advocates for the bill suggest that it is a step in the right direction for providing more comprehensive financial assistance to public servants. However, concerns may exist about the broader implications of tax credits on the state's budget and whether this could potentially limit available funding for other essential services.
Contention
A notable point of contention regarding SB 253 may stem from the bill's specific eligibility requirements, which restrict the tax credit to a defined group of state employees. This may raise questions of equity and whether other employees facing similar issues with healthcare costs could be similarly accommodated. Additionally, the financial impact of providing these tax credits could be debated within the broader context of state finances, leading to discussions about fiscal responsibility versus the need to support public employees.
Provides for a flat rate for purposes of calculating income tax for individuals, estates, and trusts, increases the standard deduction, and modifies or repeals certain income tax deductions and credits (Item #5 and 6) (RE1 DECREASE GF RV See Note)
Provides for a flat rate for purposes of calculating income tax for individuals, estates, and trusts and modifies certain income tax deductions and credits (OR +$19,000,000 GF RV See Note)
Provides for an individual income tax credit for improvements made to the residences of individuals with certain disabilities (EN DECREASE GF RV See Note)