TAX EXPENDITURE | FY2011 | FY2012 | FY2013 |
---|---|---|---|
Deductions from Adjusted Gross Income | 774.0 | 793.9 | 814.9 |
item | description | amount |
---|---|---|
Deductions from Adjusted Gross Income | 814.9 | |
1.401 | Deduction for Employee Social Security and Railroad Retirement Payments | 299.6 |
1.402 | Deduction for Employee Contributions to Public Pension Plans 2 | included in 1.401 |
1.403 | Additional Exemption for the Elderly | 25.9 |
1.404 | Additional Exemption for the Blind | 1.3 |
1.405 | Dependents Exemption Where the Child Earns Income 3 | N.A. |
1.406 | Deduction for Dependents Under 12 | 135.8 |
1.407 | Personal Exemption for Students Age 19 or Over | 8.4 |
1.408 | Deduction for Adoption Fees | 0.5 |
1.409 | Deduction for Business-Related Child Care Expenses | 15.4 |
1.410 | Exemption of Medical Expenses | 77.9 |
1.411 | Rent Deduction | 116.1 |
1.412 | Nontaxation of Charitable Purpose Income of Trustees, Executors or Administrators | N.A. |
1.413 | Exemption of Interest on Savings in Massachusetts Banks | 5.1 |
1.414 | Tuition Deduction (Over 25% of Income) | 35.9 |
1.415 | Charitable Contributions Tax Deduction | N.A. |
1.418 | Deduction for Costs Involved in Unlawful Discrimination Suits | N.A. |
1.419 | Business Expenses of National Guard and Reserve Members | Negligible |
1.420 | Archer Medical Savings Accounts | Negligible |
1.421 | Deduction for Clean-Fuel Vehicles and Certain Refueling Property | Negligible |
1.422 | Health Savings Accounts | 12.3 |
1.423 | Commuter Deduction | 6.7 |
1.424 | Self-Employed Health Insurance Deduction | 44.2 |
1.425 | Student Interest Loan Deduction (allowed Federally or by Massachusetts) | 29.5 |
1.426 | Expenses of Human Organ Transplant | 0.5 |
ORIGIN | |
IRC | Federal Internal Revenue Code (26 U.S.C.) |
---|---|
U.S.C | United States Code |
M.G.L. | Massachusetts General Laws |
Rev. Rul.; C.B. | Revenue Ruling; Cumulative Bulletin of the U.S. Treasury |
ESTIMATES | All estimates are in $ millions. |
1 1 This item and others citing this endnote cover employee fringe benefits. We accept as standard the following treatment of these benefits: the expense incurred by the employer in providing the benefit is properly deductible as a business expense and the benefit is taxed as compensation to the employee as if the employee had received taxable compensation and then used it to purchase the benefit. Of course, there are problems with this analysis. In some cases, the "benefit" is more a condition of employment than a true benefit. For example, a teacher required to have lunch in the school cafeteria may prefer to eat elsewhere even if the school lunch is free. On the other hand, in many cases the provision of tax-free employee benefits is clearly a substitution for taxable compensation.
2 2 This item and others citing this endnote cover contributory pension plans. The standard tax treatment of these plans is as follows: Component Standard Treatment Contributions: Made out of income that is currently taxed to employees. Investment Income: Taxed to the employee as "earned" income. Distributions from Pension Funds: Tax-free to the extent they are made out of dollars previously taxed to the employees as contributions or investment income. The non-standard treatment of contributions, investment income, or distributions as described in items 1.006, 1.101, 1.104, and 1.402, results in either nontaxation or deferrals of tax.
3 3 FY13 estimates for the basic personal exemptions and the no-tax status discussed in the introduction to the personal income tax are (in millions of dollars): Personal exemption for single taxpayers: $298 Personal exemption for married couples: $556 Personal exemption for married taxpayers filing separately: $14 Dependents exemption: $93 Personal exemption for heads of households: $99 Limited income credits: $14 No tax status: $15