Repository navigation
Use the current-year federal EITC for Indiana EITC eligibility in 2024 and 2025 - #10249
Draft
PavelMakarchuk wants to merge 1 commit into
Draft
PavelMakarchuk wants to merge 1 commit into
PavelMakarchuk wants to merge 1 commit into
Conversation
in_eitc_eligible recomputed the federal EITC with the January 1, 2023 parameter snapshot, so in TY2024 and TY2025 filers above the TY2023 investment income limit or completed phaseout lost the Indiana EITC. IC 6-3.1-21-6(a) and (e) and 26 U.S.C. 32(j)(1) index those amounts to the taxable year, so the static-conformity branch now returns federal EITC eligibility, matching the amount formula in in_eitc. Add TY2024 and TY2025 cases and controls, and set in_eitc_eligible unit test 8 (federal EITC of zero) to false. Fixes #9644. Co-Authored-By: Claude Opus 5.5 <noreply@anthropic.com>
This branch has not been deployed
This file contains hidden or bidirectional Unicode text that may be interpreted or compiled differently than what appears below. To review, open the file in an editor that reveals hidden Unicode characters.
Learn more about bidirectional Unicode characters
Sign up for free
to join this conversation on GitHub.
Already have an account?
Sign in to comment
1 participant
Add this suggestion to a batch that can be applied as a single commit.This suggestion is invalid because no changes were made to the code.Suggestions cannot be applied while the pull request is closed.Suggestions cannot be applied while viewing a subset of changes.Only one suggestion per line can be applied in a batch.Add this suggestion to a batch that can be applied as a single commit.Applying suggestions on deleted lines is not supported.You must change the existing code in this line in order to create a valid suggestion.Outdated suggestions cannot be applied.This suggestion has been applied or marked resolved.Suggestions cannot be applied from pending reviews.Suggestions cannot be applied on multi-line comments.Suggestions cannot be applied while the pull request is queued to merge.Suggestion cannot be applied right now. Please check back later.
Summary
From TY2023,
in_eitc_eligiblerecomputed the federal EITC with thegov.irs.credits.eitc("2023-01-01")snapshot, which holds the TY2023 dollar amounts. In TY2024 and TY2025 a filer who gets the federal EITC lost the Indiana EITC if:IC 6-3.1-21-6(a) allows the credit to an individual "eligible for an earned income tax credit under Section 32 of the Internal Revenue Code as in effect on January 1, 2023". That text of section 32 indexes the earned income, phaseout and investment income amounts to the year in which the taxable year begins (26 U.S.C. 32(j)(1)), and IC 6-3.1-21-6(e) applies the same cost of living adjustments. The 2025 IT-40 booklet (Schedule 5, line 6, PDF pp. 30-31) says the filer "must be eligible for and have claimed an EIC on your federal tax return" and that Indiana "follows all requirements and allowances for the federal EIC".
The static-conformity branch now returns current-year federal EITC eligibility, as
in_eitcalready does for the amount (#8875, #8902). The unusedstate_eitc_helpersimports are removed from this file; the helpers stay in use for CO, DC, IL and WA. TY2023 and TY2026 results do not change, because the snapshot amounts equal those years' amounts.in_eitc_eligible unit test 8(TY2025) seteitc: 0and expectedtrue. With no federal EITC there is no Indiana EITC (IC 6-3.1-21-6(a)(2), "claimed for the taxable year"), so it now expectsfalse. Itsin_eitcwas already 0.Tests
Added to
in_eitc.yaml(amounts from Rev. Procs. 2023-34 and 2024-40; arithmetic in each case):in_eitc.yaml+in_eitc_eligible.yamlon main: 5 failed (the 4 new cases and test 8), 16 passed. On this branch: 21 passed.tests/policy/baseline/gov/states/in/: 540 passed.Note: #9820 changes an input line of
in_eitc_eligible unit test 8; this PR changes its expected output a few lines below.Fixes #9644
🤖 Generated with Claude Code