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Bill > SB632


VA SB632

VA SB632
Income tax, state; creates a nonrefundable credit for family caregivers.


summary

Introduced
01/17/2022
In Committee
01/17/2022
Crossed Over
Passed
Dead
03/12/2022

Introduced Session

2022 Regular Session

Bill Summary

Family caregiver tax credit. Creates a nonrefundable income tax credit for taxable years 2022 through 2026 for expenses incurred by an individual in caring for an eligible family member, defined in the bill, who requires assistance with one or more activities of daily living, also defined in the bill. The credit equals 50 percent of eligible expenditures incurred by the caregiver up to $1,000. In order to qualify for the credit, the family caregiver must (i) not receive any compensation or reimbursement for the eligible expenditures, (ii) have federal adjusted gross income that is no greater than $75,000 for an individual or $150,000 for married persons, and (iii) live in the same primary residence as the eligible family member for no fewer than 183 days during the taxable year. The bill requires the Tax Commissioner to establish guidelines for claiming the credit and provides that any unused credit may be carried forward by the taxpayer for five taxable years following the taxable year for which the credit was issued. Family caregiver tax credit. Creates a nonrefundable income tax credit for taxable years 2022 through 2026 for expenses incurred by an individual in caring for an eligible family member, defined in the bill, who requires assistance with one or more activities of daily living, also defined in the bill. The credit equals 50 percent of eligible expenditures incurred by the caregiver up to $1,000. In order to qualify for the credit, the family caregiver must (i) not receive any compensation or reimbursement for the eligible expenditures, (ii) have federal adjusted gross income that is no greater than $75,000 for an individual or $150,000 for married persons, and (iii) live in the same primary residence as the eligible family member for no fewer than 183 days during the taxable year. The bill requires the Tax Commissioner to establish guidelines for claiming the credit and provides that any unused credit may be carried forward by the taxpayer for five taxable years following the taxable year for which the credit was issued.

AI Summary

This bill creates a nonrefundable income tax credit for family caregivers in Virginia. The credit is available for taxable years 2022 through 2026 and equals 50 percent of eligible expenses incurred by the caregiver, up to $1,000 per year. To qualify, the caregiver must not receive any compensation or reimbursement for the expenses, have a federal adjusted gross income of $75,000 or less for an individual or $150,000 or less for married couples, and live in the same primary residence as the eligible family member for at least 183 days during the taxable year. The eligible family member must be at least 18 years old and require assistance with one or more activities of daily living. The bill allows any unused credit to be carried forward for up to five years, and requires the Tax Commissioner to establish guidelines for claiming the credit.

Committee Categories

Budget and Finance

Sponsors (1)

Last Action

Continued to 2023 in Finance and Appropriations (16-Y 0-N) (on 02/10/2022)

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