An Act To Reduce Taxes and Promote Employment
Maine Legislature, Session 125, LD 0695
Committee Amendment CA_A_H164 (House)

COMMITTEE AMENDMENT ·ft" to H.P. 524, L.D. 695, Bill, "An Act To 
Reduce Taxes and Promote Employment" 
Amend the bill in section 1 in § 5219-S in subsection 1 in the first line (page 1, line 5 
in L.D.) by striking out the following: "refundable" 
Amend the bill in section 1 in §5219-S in subsection 2 in the first line (page I, line 9 
in L.D.) by striking out the following: "refundable" 
Amend the bill in section 1 in §5219-S in subsection 3 in the 2nd line (page 1, line 16 
in L.D.) by striking out the following: "refundable" 
Amend the bill in section 1 in §5219-S by striking out all of subsection 4 (page 1, 
lines 26 and 27 in L.D.) and inserting the following: 
'4. LimitatioR. The credit allmved by this section may not reduce the Maine income 
ta)( to less than zero. 
5. Refundability. The credit allowed by this section is refundable up to 50% of the 
amount of the credit calculated under subsections 1 to 3 that remains unused after the 
credit has reduced the Maine income tax to zero.' 
Amend the bill by adding after section 2 the following: 
'Sec. 3. Appropriations and allocations. The following appropriations and 
allocations are made. 
ADMINISTRATIVE AND FINANCIAL SERVICES, DEPARTMENT OF 
Revenue Services - Bureau of 0002 
Initiative: Appropriates funds for 2 Tax Examiner positions effective January 1,2012. 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT ,A "to H.P. 524, L.D. 695 
GENERAL FUND 
POSITIONS - LEGISLATIVE COUNT 
Personal Services 
GENERAL FUND TOTAL 
Revenue Services - Bureau of 0002 
2011-12 
2.000 
$59,449 
$59,449 
2012-13 
2.000 
$126,634 
$126,634 
Initiative: Appropriates funds for computer programming changes, updating check stub 
messages and notices, new reports, federal tape changes, testing and printing and mailing 
costs. 
GENERAL FUND 
All Other 
GENERAL FUND TOTAL 
ADMINISTRATIVE AND FINANCIAL 
SERVICES, DEPARTMENT OF 
DEPARTMENT TOTALS 
GENERAL FUND 
DEPARTMENTTOTAL-ALLFUNDS 
SUMMARY 
2011-12 
$60,522 
$60,522 
2011-12 
$119,971 
$119,971 
2012-13 
$17,467 
$17,467 
2012-13 
$144,101 
$144,101 
This amendment is the minority report of the committee. This amendment limits the 
amount of refundability of the earned income tax credit to 50%. This amendment adds an 
appropriations and allocations section. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Approved: 04/24111 Mac... 
LD695 
LR 1475(02) 
An Act To Reduce Taxes and Promote Employment 
Fiscal Note for Bill as Amended by Committee Amendment ,A" 
Committee: Taxation 
Net Cost (Savings) 
General Fund 
Appropriations/Allocations 
General Fund 
Revenue 
General Fund 
Other Special Revenue Funds 
Fiscal Detail and Notes 
Fiscal Note Required: Yes 
FiscalNote 
FY 2011-12 
$8,053,421 
$119,971 
($7,933,450) 
($417,550) 
FY 2012-13 
$7,869,501 
$144,101 
($7,725,400) 
($406,600) 
Projections 
FY 2013-14 
$6,269,226 
$144,101 
($6,125,125) 
($322,375) 
Projections 
FY 2014-15 
$6,052,151 
$144,101 
($5,908,050) 
($310,950) 
Increasing the state earned income tax credit from 5% to 10% of the federal earned income tax credit and making the 
state earned income tax credit 50% refundable will result in reduced revenue to the General Fund and will reduce 
revenue sharing starting in fiscal year 2011-12. Maine Revenue Services will require General Fund appropriations for 
two Tax Examiner positions and related administrative support. 
LRI475(02) - Fiscal Note - Page 1 of 1