An Act To Establish a Wellness Tax Credit
Maine Legislature, Session 124, LD 0590
Committee Amendment CA_A_H423 (House)
Amends: 36 MRSA §5200-A, 36 MRSA §5219-E

COMMITTEE AMENDMENT "A" to H.P. 428, L.D. 590, Bill, "An Act To 
Establish a Wellness Tax Credit" 
Amend the bill by striking out all of section 1 and inselting the following: 
'Sec. 1. 36 MRSA §S122, sub-§l, IIjlZ, as enacted by PL 2007, c. 539, Pt. CCC, 
§4, is amended to read: 
Z. For income tax years beginning on or after January 1, 2008, the amount of any 
qualified state and local tax benefit and any qualified payment excluded from gross 
income pursuant to the Code, Section 139(b); atffi 
Sec. 2. 36 MRSA §S122, sub-§l, CffAA, as enacted by PL 2007, c. 539, Pt. CCC, 
§5, is amended to read: 
AA. For taxable years beginning on or after January 1, 2008 but prior to January 1, 
2010, an amount equal to the net increase in depreciation attributable to the 50% 
bonus depreciation deduction claimed by the taxpayer pursuant to Section 103 of the 
Economic Stimulus Act of 2008, Public Law 110-185 with respect to property placed 
in service during the taxable year7; and 
Sec. 3. 36 MRSA §S122, sub-§l, 'fEB is enacted to read: 
BB. 
The amount claimed as a deduction in determining federal adjusted gross 
income that is included in the credit for wellness programs under section 5219-EE. 
Sec. 4. 36 MRSA §S200-A, sub-§l, 'lIT, as amended by PL 2007, c. 700, Pt. B, 
§2, is flllther amended to read: 
T. For taxable years beginning on or after January 1, 2008 but prior to January 1, 
2010, an amount equal to the net increase in depreciation attributable to the 50% 
bonus depreciation deduction claimed by the taxpayer pursuant to Section· 1 03 of the 
Economic Stimulus Act of 2008, Public Law 110-185 with respect to property placed 
in service during the taxable year; atffi 
Page I - 124LR0790(02)-1 
COMMITTEE AMENDMENT 
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COMMITTEE AMENDMENT ·A" to H.P. 428, L.D. 590 
Sec. 5. 36 MRSA §5200-A, sub-§l, ~, as enacted by PL 2007, c; 700, Pt. B, 
§3, is amended to read: 
U. For tax years beginning in 2008, 10% of the absolute value in excess of $1 00,000 
of any net operating loss that, pursuant to the Code, Section 172, is being carried over 
for federal income tax purposes to the taxable year by the taxpayer.; and 
Sec. 6. 36 MRSA §5200-A, sub-§l; OUV is enacted to read: 
V. The amount claimed as a deduction in determining federal taxable income that is 
included in the credit for wellness programs under section 5219-EE. 
Sec. 7. 36 MRSA §5219-EE is enacted to read: 
§5219-EE. Credit for wellness programs 
1. Definitions.' As used in this section, unless the context otherwise indicates, the 
following terms have the following meanings. 
A. "Employee" means an individual who performs services for an employing unit. 
B. "Employing unit" has the same meaning as in Title 26, section 1043. 
C. "Qualified wellness program expenditure" means expenses by an employing unit 
to develop, institute and maintain a wellness program. 
D. 
"Wellness program" means a program instituted by an employing unit that 
improves employee health, morale and productivity, including, without limitation: 
(1) Health education programs; 
(2) Behavioral change programs such as counseling or seminars or classes on 
nutrition, stress management or smoking cessation; 
(3) Time during the work day for exercise; 
(4) Equipping, operating and maintaining a facility owned by the employing unit 
for use by its employees for exercise; 
(5) 
Equipping and registering an athletic team that is composed solely of 
employees and spollses or dependants of employees who are members of the' 
employing unit's health care plan; 
(6) Membership, either individual or group, to a health club or gym; and 
(7) Incentive awards to employees who engage in regular physical activity. 
2. Credit allowed. A taxpayer constituting an employing unit with 20 or fewer 
employees on an average monthly basis during the taxable year is allowed a credit against 
the tax imposed by this Pmi for each taxable year beginning on or after January 1, 2009 
for qualified wellness program expenditures made during the taxable year. 
3. Record keeping. An employing unit that makes qualified wellness program 
expenditures is responsible for recording exercise facility usage or the amount of time 
employees engage in wellness programs for which the employing unit is claiming an 
expense. 
COMMITTEE AMENDMENT 
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COMMITTEE AMENDMENT ,A" to I-J.P, 428, L.D, 590 
4. Limit; carry-ove.". The total credit for each taxpayer under this section is limited 
to $100 per employee or $2,000, whichever is Jess, per tax year. The credit may not 
reduce the tax otherwise due under this Pmi to less than zero. A taxpayer entitled to a 
credit under this section for any taxable year may carlY over the pOIiion, as reduced from· 
year to year, of any unused credit and apply it to the tax liability for anyone or more of 
the next succeeding 5 taxable years. 
5. Calculation and tJ'allsfe.'; Fund fOl' a Healthy Maine. Notwithstanding any 
other provision of law, the State Budget Officer, no later than July 1 st annually, shall 
calculate the amount of the income tax revenue lost due to the credit provided under this 
section and transfer that amount from the Fund for a Healthy Maine, established in Title 
22, section 1511, to the General Fund.' 
Amend the bill by relettering or renumbering any nonconsecutive Pmi letter or 
section number to read consecutively. 
SUMMARY 
This amendment makes technical corrections and clarifies provisions in the bill with 
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regard to the number of employees required to be eligible for the wellness tax credit. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Approved: 05/24/09 frac:.. 
LD590 
LR 790(02) 
An Act To Establish a .Wellness Tax Credit 
Fiscal Note for Bill as Amended by Committee Amendment ,A" 
Committee: Taxation 
Net Cost (Savings) 
General Fund 
Fund for a Healthy Maine 
·Revenue 
General Fund 
Othei< Special Revenue Funds 
Transfers 
General Fund 
Fund for a Healthy Maine 
Fiscal Detail and Notes 
Fiscal Note Required: Yes 
Fiscal Note 
2009-10 
$0 
$377,039 
($377,039) 
($20,681) 
$377,039 
($377,039) 
2010-11 
$0 
$310,460 
($310,460) 
($17,030) 
$310,460 
($310,460) 
Projections 
2011-12 
$0 
$319,107 
($319,107) 
($17,504) 
$319,107 
($319,107) 
Projections 
2012-13 
$0 
$327,995 
($327,995) 
($17,991) 
$327,995 
($327,995) 
This bill includes a tax credit to employers of 20 or fewer employees for the expense of developing, instituting and 
maintaining welIness programs for their employees in the amount of $1 00 per employee, up to a maximum of $2,000 
per employer. The loss in General Fund revenue from the tax credit is to be offset by a transfer offunds from the Fund 
for a Healthy Maine to the General Fund. 
LR0790(02) -Fiscal Note - Page 1 .of 1 
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