Massachusetts House Bill H2805

Massachusetts 2023-2024 Regular Session

• Introduced: 2/16/23
• Refer: 2/16/23

Caption

To provide an income tax exemption for certain individuals caring for their elderly relatives

Impact

If enacted, this bill will amend Chapter 62 of the Massachusetts General Laws, potentially influencing state tax laws by creating increased financial relief for caregivers. The provisions will allow qualifying taxpayers to claim a significant state tax deduction, thereby improving their financial standings. Supporters argue that this measure can enhance the quality of life for elderly residents by encouraging families to care for their aging relatives at home, rather than relying on institutionalized care.

Summary

House Bill 2805 proposes an income tax exemption for individuals who provide care for their elderly relatives. This bill aims to alleviate some of the financial burdens that caregivers face, particularly those who support relatives over the age of seventy. The exemption amounts to four thousand dollars for taxpayers who provide more than half of the elderly relative's support and live with them for at least six months during the taxable year. The bill sets specific income thresholds for eligibility, with taxpayers earning up to thirty thousand dollars qualifying for the exemption.

Contention

While the bill has garnered support for its intent to assist caregivers, it may also raise discussions around the implications of increased exemptions in the state's tax structure. Concerns may be voiced regarding the sustainability of such exemptions, especially in terms of revenue impacts on the state budget. Additionally, discussions may center on the adequacy of the proposed income thresholds in capturing the needs of all potential caregivers, and whether the bill adequately addresses the broader scope of elderly care needs beyond financial assistance.