REPORT TITLE:
Income Tax/Long-Term Care Ins.


DESCRIPTION:
Eliminates limitations on long-term health insurance premium
payments with respect to medical deductions from income when
computing taxable income.

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                            127         
HOUSE OF REPRESENTATIVES                H.B. NO.           
TWENTIETH LEGISLATURE, 1999                                
STATE OF HAWAII                                            
                                                             
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                   A  BILL  FOR  AN  ACT

RELATING TO LONG-TERM CARE INSURANCE.



BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 1      SECTION 1.  Section 235-2.4, Hawaii Revised Statutes, is
 
 2 amended by amending subsection (d) to read as follows:
 
 3      "(d)  Section 213 (with respect to medical, dental, etc.,
 
 4 expenses) of the Internal Revenue Code shall be operative[,
 
 5 except that subsections (d)(1)(C) with respect to long-term care
 
 6 services, (d)(1)(D) as it applies to long-term care insurance
 
 7 contract premiums, (d)(7) as it applies to long-term care
 
 8 insurance contract premiums, and] for the purposes of this
 
 9 chapter; provided that the limitations for the amount of
 
10 allowable deduction for long-term care insurance premiums under
 
11 subsection   (d)(10) as it applies to eligible long-term care
 
12 premiums shall not be operative in this State.  Long-term care
 
13 insurance premiums shall be treated as an insurance contract for
 
14 medical care as defined under subsection (d)(1)(A) and
 
15 (d)(1)(B)."
 
16      SECTION 2.  Statutory material to be repealed is bracketed.
 
17 New statutory material is underscored.
 

 
 
Page 2                                         127         
                                     H.B. NO.           
                                                        
                                                        

 
 1      SECTION 3.  This Act, upon its approval, shall apply to
 
 2 taxable years beginning after December 31, 1998.
 
 3 
 
 4                           INTRODUCED BY: ________________________