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Bill > HF958


IA HF958

IA HF958
A bill for an act creating a premarital counseling tax credit available against the individual income tax, and including retroactive applicability provisions.


summary

Introduced
03/13/2025
In Committee
03/13/2025
Crossed Over
Passed
Dead

Introduced Session

91st General Assembly

Bill Summary

This bill creates a premarital counseling tax credit (credit) available against the individual income tax. The bill defines “premarital counseling” to mean the application of counseling techniques upon prospective spouses in preparation of marriage. The credit is equal to the cost for premarital counseling, not to exceed $500. Any credit in excess of the taxpayer’s liability is not refundable but may be credited to the tax liability for the following tax year. The bill applies retroactively to January 1, 2025, for tax years beginning on or after that date.

AI Summary

This bill creates a new tax credit for premarital counseling in Iowa, available to individual income taxpayers. The credit allows individuals to reduce their state income tax liability by the amount spent on premarital counseling, up to a maximum of $500. Premarital counseling is defined as the application of counseling techniques for prospective spouses preparing for marriage. The credit can be claimed by individuals who are partners in partnerships, limited liability companies, S corporations, estates, or trusts, with the credit amount based on their pro rata share of earnings. If the credit exceeds the taxpayer's tax liability for the year, the excess cannot be refunded but can be carried forward to offset tax liability in the following year. The bill is designed to be retroactively applicable to tax years beginning on or after January 1, 2025, providing a financial incentive for couples to seek counseling before getting married and potentially supporting relationship stability.

Committee Categories

Budget and Finance

Sponsors (1)

Last Action

Introduced, referred to Ways and Means. H.J. 640. (on 03/13/2025)

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