An Act to Conform the Maine Tax Laws for 2003 to the United States Internal Revenue Code LR2503(03)
Maine Legislature, Session 121, LD 1651
Committee Amendment CA_B_H757 (House)
Amends: 36 MRSA §5122, 36 MRSA §5124-A, 36 MRSA §5218

COMMITTEE AMENDMENT "I;" to H.P. 1229, L.D. 1651, Bill, "An 
Act To Conform the Maine Tax Laws for 2003 to the United States 
Internal Revenue Code" 
Amend the bill by inserting after section 1 the following: 
. Sec. 2. 36 MRSA §5122, sub-§l,,v, as enacted by PL 2003, c. 
451, Pt. II, §2, is repealed. 
Sec. 3. 36 MRSA §5124-A, as amended by PL 2003, c. 479, §4, 
is further amended to read: 
§5124-A. Standard deduction; resident 
The standard deduction of a resident individual is equal to 
the standard deduction as determined in accordance with the Code, 
Section 63, except that for tax years beginning in 2003, 6GG4-aas 
aGQ§T the Code, Section 63(c)(2) must be applied as if the ba~ic 
standard deduction is $5,000 in the case of a joint return and a 
surviving spouse and $2,500 in the case of a married individual 
filing a separate return. 
Sec. 4. 36 MRSA §5218, sub-§l, as amended by PL 2003, c. 20, 
Pt. FF, §1, is further amended to read: 
1. 
Resident taxpayer. 
A resident individual is allowed a 
credit against the tax otherwise due under this Part in the 
amount of 25°", of the federal tax credit allowable for child and 
dependent care expenses in the same tax year, except that for tax 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT .. 6 .. to H.P. 1229, L.D. 1651 
years beginning in 2003, 6GG4-aBs-6QQs r the applicable percentage 
is 21.5% instead of 25%. 
Sec. 5. 36 MRSA §5218, sub-§2, as amended by PL 2003, c. 391, 
§10, is further amended to read: 
2. 
Nonresident 
or 
part-year 
resident 
taxpayer. 
A 
nonresident 
individual 
is 
allowed 
a 
credit against 
the 
tax 
otherwise due under this Part in the amount of 25% of the federal 
tax credit allowable 
for 
child and 
dependent 
care 
expenses 
multiplied by the ratio of the individual's Maine adjusted gross 
income, as defined in section 5102, subsection l-C, paragraph B, 
to the individual's entire federal adjusted gross income, 
as 
modified by section 5122, except that for tax years beginning in 
2003, 
6Gg4--and--~@G&T the applicable percentage is 21. 5"0 instead 
of 25%.' 
Further amend the 
nonconsecutive 
consecutively. 
Part 
bill by relettering 
letter 
or 
section 
SUMMARY 
or renumbering any 
number 
to 
read 
This 
amendment, 
which 
is 
the 
minority 
report 
of 
the 
cornrni ttee, proposes to reestablish state tax conformity with the 
United States Internal Revenue Code with regard to the standard 
deduction, the child and dependent care credit and the deduction 
of certain student loan interest for tax years beginning in 2004 
and 2005. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Net Cost (Savings) 
General Fund 
.Revenue 
General Fund 
Other Special Revenue Funds 
Fiscal Detail and Notes 
Approved: 02/19/04 ;:!;Pac 
Office of Fiscal and Program Review 
LD 1651 
An Act to Conform the Maine Tax Laws for 2003 to the United States 
Internal Revenue Code 
LR2503(03) 
Fiscal Note for Bill as Amended by Committee Amendment" " 
Committee: Taxation 
Fiscal Note Required: Yes 
Fiscal Note 
2003-04 
2004-05 
Projections 
2005-06 
$1,584,802 
$20,365,547 
$10,134,725 
($1,584,802) 
($20,365,547) 
($10,134,725) 
($85,168) 
($1,094,460) 
($555,913) 
Projections 
2006-07 
$560,052 
($560,052) 
($30,720) 
This bill will reduce individual income tax collections by $1,669,970 in fiscal year 2003-04 and by $21,460,008 in 
fiscal year 2004-05. 
LR2503(3) - Fiscal Note - Page 1 of 1