2005 Regular Session
By: Senator(s) Dawkins, Williamson
AN ACT TO PROVIDE AN INCOME TAX CREDIT FOR PREMIUM COSTS PAID DURING THE TAXABLE YEAR FOR CERTAIN QUALIFIED LONG-TERM CARE INSURANCE POLICIES; TO LIMIT THE MAXIMUM AMOUNT OF THE CREDIT; TO PROVIDE THAT ANY UNUSED TAX CREDIT SHALL NOT BE ALLOWED TO BE CARRIED FORWARD TO APPLY TO THE TAXPAYER'S SUCCEEDING YEARS' TAX LIABILITY; AND FOR RELATED PURPOSES.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:
SECTION 1. (1) A taxpayer shall be allowed a credit against the income taxes imposed under this chapter in an amount equal to fifteen percent (15%) of the premium costs paid during the taxable year for a qualified long-term care insurance policy as defined in Section 7702B of the Internal Revenue Code that offers coverage to either the individual, the individual's spouse, parent or a dependent as defined in Section 152 of the Internal Revenue Code.
(2) No taxpayer shall be entitled to the credit with respect to the same expended amounts for qualified long-term care insurance which are claimed by another taxpayer.
(3) The credit allowed by this section shall not exceed Five Hundred Dollars ($500.00) or the taxpayers income tax liability, whichever is less, for each qualified long-term care insurance policy. Any unused tax credit shall not be allowed to be carried forward to apply to the taxpayer's succeeding years' tax liability.
(4) No credit shall be allowed under this section with respect to any premium for qualified long-term care insurance either deducted or subtracted by the taxpayer in arriving at his net taxable income under this section or with respect to any premiums for qualified long-term care insurance which were excluded from his net taxable income.
SECTION 2. Section 1 of this act shall be codified in Chapter 7, Title 27, Mississippi Code of 1972.
SECTION 3. This act shall take effect and be in force from and after January 1, 2005.