A group of seven lawmakers in Hawaii are trying to get their state to offer a long-term care insurance (LTCI) purchase tax credit.
The lawmakers have introduced state House Bill 304, a bill that would give state residents with incomes under a designated limit the ability to take a tax credit equal to up to 10 percent of the cost of LTCI premiums.
The tax credit would be available to single taxpayers with $100,000 or less in adjusted gross income (AGI) and joint-filing couples with $250,000 or less in AGI.
Taxpayers who found that the tax credit reduced their taxes to less than $1 would not get refunds as a result of the tax credit provision.
A taxpayer could use the credit to reduce taxes for LTCI coverage for a child, parent or step-parent as well for the taxpayer and for the taxpayer’s spouse.