An Act Making Unified Appropriations and Allocations for the Expenditures of State Government, General Fund and Other Funds, and Changing Certain Provisions of the Law Necessary to the Proper Operations of State Government for the Fiscal Years Ending June 30, 2012 and June 30, 2013
Maine Legislature, Session 125, LD 1043
Committee Amendment CA_A-HA_F_H645 (House)
Amends: 36 MRSA §4062

HOUSE AMENDMENT" y" to COMMITTEE AMENDMENT "A" to H.P. 778, 
L.D. 1043, Bill, "An Act Making Unified Appropriations and Allocations for the 
Expenditures of State Government, General Fund and Other Funds, and Changing Certain 
Provisions of the Law Necessary to the Proper Operations of State Government for the 
Fiscal Years Ending June 30, 2012 and June 30, 2013" 
Amend the amendment in Part I in section 1 in subsection 5-C in the 2nd and 3rd 
lines (page 517, lines 36 and 37 in amendment) by striking out the following: 
"~ 
$40,350,638 in fiscal year 2011-12 and $44,267,343 in fiscal year 2012-13" and inserting 
the following: 'and $34,740,742 in fiscal year 2011-12' 
Amend the amendment by striking out all of Part M and inserting the following: 
'PARTM 
Sec. M-l. 36 MRS A §4062, sub-§l-A, ~A, as amended by PL 2009, c. 213, Pt. 
E, § 1 and affected by §6, is further amended to read: 
A. For the estates of decedents dying after December 31, 2002, "federal credit" 
means the maximum credit against the tax on the federal taxable estate for state death 
taxes determined under the Code, Section 2011 as of December 31, 2002 exclusive of 
the reduction of the maximum credit contained in the Code, Section 2011 (b )(2); the 
period of limitations under the Code, Section 201l(c); and the termination provision 
contained in the Code, Section 201 1 (f). The state death tax deduction contained in the 
Code, Section 2058 must be disregarded. The unified credit must be determined 
under the Code, Section 2010 as of December 31,2000. The termination provision 
contained in the Code, Section 2210 must be disregarded. Notwithstanding any other 
provision of this Title to the contrary, the tax determined by this chapter for estates of 
decedents dying after December 31, 2009 must be determined in accordance with the 
law applicable to decedents dying during calendar year 2009, except that for purposes 
of calculation of the amount of property that may be treated as Maine qualified 
terminable interest property under subsection 2-B, paragraph C, the applicable 
exclusion amount must be determined in accordance with the law applicable as of the 
decedent's actual date of death; and 
HOUSE AMENDMENT 
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~. 
HOUSE AMENDMENT "P' to COMMITTEE AMENDMENT "A" to H.P. 778, L.D. 1043 
Sec. M-2. 36 MRSA §4062, sub-§2-B, ~C, as amended by PL 2005, c. 622, 
§ 16, is repealed and the following enacted in its place: 
C. With respect to which an election is made, on a return timely filed with the 
assessor, to treat the property as Maine qualified terminable interest property for 
purposes of the tax imposed by this chapter. The amount of property with respect to 
which the election is made may not be less than zero or greater than the amount by 
which the federal applicable exclusion amount under the Code, Section 2010 exceeds 
the Maine exclusion amount. For the purposes of this paragraph, "federal applicable 
exclusion amount" does not include any deceased spousal unused exclusion amount 
under the Code, Section 2810. 
Sec. M-3. Application. This Part applies to the estates of decedents who die after 
December 31, 2011.' 
Amend the amendment by striking out all of Part N and inserting the following: 
'PARTN 
Sec. N-l. 36 MRSA §Sl11, sub-§l-B, as enacted by PL 1999, c. 731, Pt. T, §3, 
is amended to read: 
I-B. Single individuals and married persons filing separate returns; tax years 
beginning 2002. For tax years beginning on or after January 1, 2002 but no later than 
December 1, 2012, for single individuals and married persons filing separate returns: 
If Maine Taxable income is: 
Less than $4,200 
At least $4,200 but less than $8,350 
At least $8,350 but less than $16,700 
$16,700 or more 
The tax is: 
2% of the Maine taxable income 
$84 plus 4.5% of the excess over $4,200 
$271 plus 7% of the excess over $8,350 
$856 plus 8.5% of the excess over $16,700 
Sec. N-2. 36 MRSA §Sl11, sub-§l-C is enacted to read: 
I-C. Single individuals and married persons filing separate returns; tax years 
beginning 2013. 
For tax years beginning on or after January 1, 2013, for single 
individuals and married persons filing separate returns, the taxable income bracket 
amounts under subsection 1-B for tax years beginning in 2012 must be increased by 5%. 
By December 1, 2011, the State Tax Assessor shall calculate the taxable income bracket 
amounts for tax years beginning in 2013 by multiplying the bracket amounts for tax years 
beginning in 2012 after adjustment under section 5403 by 105% and rounding to the next 
lowest mUltiple of$50. 
Sec. N-3. 36 MRSA §Sl11, sub-§2-B, as enacted by PL 1999, S.))J, Pt. T, §5, 
is amended to read: 
_ . 
2-B. Heads of households; tax years beginning 2002 to 2012. For tax years 
beginning on or after January 1, 2002 but not later than December 31, 2012, for 
unmarried individuals or legally separated individuals who qualify as heads of 
households: 
HOUSE AMENDMENT 
.,;: 
~. -,. 
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HOUSE AMENDMENT" 0" to COMMITTEE AMENDMENT "A" to H.P. 778, L.D. 1043 
If Maine Taxable income is: 
Less than $6,300 
At least $6,300 but less than $12,500 
At least $12,500 but less than $25,050 
$25,050 or more 
The tax is: 
2% of the Maine taxable income 
$126 plus 4.5% of the excess over $6,300 
$405 plus 7% of the excess over $12,500 
$1,284 plus 8.5% of the excess over 
$25,050 
Sec. N-4. 36 MRSA §S111, sub-§2-C is enacted to read: 
2-C. Heads of households; tax years beginning 2013. For tax years beginning on 
or after January 1, 2013, for heads of households, the taxable income bracket amounts 
under subsection 2-B for tax years beginning in 2012 must be increased by 5%. By 
December 1, 2011, the State Tax Assessor shall calculate the taxable income bracket 
amounts for tax years beginning in 2013 by multiplying the bracket amounts for tax years 
beginning in 2012 after adjustment under section 5403 by 105% and rounding to the next 
lowest multiple of $50. 
Sec. N-S. 36 MRSA §Sl11, sub-§3-B, as enacted by PL 1999, c. 731, Pt. T, §7, 
is amended to read: 
3-B. Individuals filing married joint return or surviving spouses; tax years 
beginning 2002 to 2012. For tax years beginning on or after January 1, 2002 but not 
later than December 31, 2012, for individuals filing married joint returns or surviving 
spouses permitted to file a joint return: 
If Maine Taxable income is: 
Less than $8,400 
At least $8,400 but less than $16,700 
At least $16,700 but less than $33,400 
$33,400 or more 
The tax is: 
2% ofthe Maine taxable income 
$168 plus 4.5% of the excess over $8,400 
$542 plus 7% of the excess over $16,700 
$1,711 plus 8.5% of the excess over 
$33,400 
Sec. N-6. 36 MRSA §Sl11, sub-§3-C is enacted to read: 
3-C. Individuals filing married joint return or surviving spouses; tax years 
beginning 2013. For tax years beginning on or after January 1, 2013, for married joint 
returns or surviving spouses, the taxable income bracket amounts under subsection 3-B 
for tax years beginning in 2012 must be increased by 5%. By December 1, 2011, the 
State Tax Assessor shall calculate the taxable income bracket amounts for tax years 
beginning in 2013 by multiplying the bracket amounts for tax years beginning in 2012 
after adjustment under section 5403 by 105% and rounding to the next lowest mUltiple of 
$50. 
Sec. N-7. 36 MRSA §S219:-S; as amended by PL 2009, c. 213, Pt. BBBB, §16, is 
further amended to read: 
HOUSE AMENDMENT 
HOUSE AMENDMENT" fr. to COMMITTEE AMENDMENT "A" to H.P. 778, L.D. 1043 
§5219-S. Earned income credit 
1. Resident taxpayer. A resident individual is allowed a refundable credit against 
the tax otherwise due under this Part in the amount of.§.% 10% of the federal earned 
income credit for the same taxable year, except that for tax years begiRRiRg iR 2009 aRd 
2010, the applicable perceRtage is 4%. 
2. Nonresident taxpayer. A nonresident individual is allowed a refundable credit 
against the tax otherwise due under this Part in the amount of.§.% 10% of the federal 
earned income credit for the same taxable year, e)wept that for tax years begiRRiRg iR 
2009 aRd 2010, the applicable perceRtage is 4%, multiplied by the ratio ofthe 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. 
3. Part-year resident taxpayer. An individual who files a return as a part-year 
resident in accordance with section 5224-A is allowed a refundable credit against the tax 
otherwise due under this Part in the amount of ~ 
10% of the federal earned income 
credit for the same taxable year, except that for tax years begiRRiRg iR 2009 aRd 2010, the 
applicable perceRtage is 4%, mUltiplied by a ratio, the numerator of which is the 
individual's Maine adjusted gross income as defined in section 5102, subsection l-C, 
paragraph A for that portion of the taxable year during which the individual was a 
resident plus the individual's Maine adjusted gross income as defined in section 5102, 
subsection I-C, paragraph B for that portion of the taxable year during which the 
individual was a nonresident and the denominator of which is the individual's entire 
federal adjusted gross income, as modified by section 5122. 
4. Limitation. The credit allowed by this sectioR may Rot reduce the MaiRe iRcome 
tax to less thaR zero. 
Sec. N-S. Legislation. By December 1, 2011, the State Tax Assessor shall submit 
legislation that places into law the bracket amounts for tax years beginning on or after 
January 1, 2013 calculated under the Maine Revised Statutes, Title 36, section 5111, 
subsections I-C, 2-C and 3-C and provides for continued adjustment of bracket amounts 
under the Maine Revised Statutes, Title 36, section 5403.' 
Amend the amendment by striking out all of Part P. 
Amend the amendment by striking out all of Part CCCC. 
Amend the amendment by relettering or renumbering any nonconsecutive Part letter 
or section number to read consecutively. 
SUMMARY 
This amendment does the following: 
1. The amendment replaces income tax reductions in Committee Amendment "A" 
with provisions that reduce income taxes by increasing taxable income bracket amounts 
by 5%, increasing the earned income tax credit for low-income earners from 5% to 10% 
of the federal credit and making the credit refundable. 
2. The amendment restores to state-municipal revenue sharing $4,319,777 in fiscal 
year 2011-12 and $44,267,343 in fiscal year 2012-l3. 
HOUSE AMENDMENT 
". 
ti ~. 
HOUSE AMENDMENT "P::to COMMITTEE AMENDMENT "A" to H.P. 778, L.D. 1043 
3. The amendment restores reductions made in the Circuitbreaker Program. 
4. The amendment deletes changes made to the determination of nonresident income 
tax filing status. 
5. The amendment deletes changes made to the estate tax and makes changes to 
ensure proper treatment of qualified terminable interest property under the estate tax. 
FISCAL NOTE REQUIRED 
Oljtse~ 
SPONSOREDBY: ___ ~~ 
__ ~~~ 
______ ~ 
__ ~~ 
__ 
(Representative BERRY) 
TOWN: Bowdoinham 
HOUSE AMENDMENT 
Approved: 06/14/11 ;tvac.. 
LD 1043 
LR 2067(13) 
An Act Making Unified Appropriations and Allocations for the Expenditures of State Government, 
General Fund and Other Funds, and Changing Certain Provisions of the Law Necessary to the Proper 
Operations of State Government for the Fiscal Years Ending June 30, 2012 and June 30, 2013 
Fiscal Note for Senate Amendment "r" to Committee Amendment "A" 
Sponsor: Rep. Berry of Bowdoinham 
Fiscal Note Required: Yes 
Fiscal Note 
FY 2011-12 
FY 2012-13 
Projections 
FY 2013-14 
Projections 
FY 2014-15 
Net Cost (Savings) 
General Fund 
$0 
($849,808) ($156,304,578) ($168,556,262) 
Revenue 
General Fund 
Other Special Revenue Funds 
Fund Detail by Section 
Revenue 
General Fund 
PART I 
PARTM 
PARTN 
PART a 
PARTP 
PARTCCCC 
Other Special Revenue Funds 
PART I 
Fiscal Detail and Notes 
$0 
$4,319,777 
($4,319,777) 
$137,500 
($1,248,000) 
$12,347,606 
($10,015,329) 
$3,098,000 
$849,808 
$47,174,497 
($47,174,497) 
$150,000 
$52,132,000 
$3,508,066 
($10,268,761) 
$2,503,000 
$4,319,777 
$47,174,497 
$156,304,578 
$6,972,915 
($6,972,915) 
$23,819,215 
$138,398,000 
($1,631,722) 
$0 
$2,692,000 
$6,972,915 
$168,556,262 
$7,431,668 
($7,431,668) 
$27,354,580 
$147,524,000 
($1,731,650) 
$0 
$2,841,000 
$7,431,668 
This amendment results in no net change to General Fund revenue in fiscal year 2011-12 and a net increase of General 
Fund revenue of $849,808 in fiscal year 2012-13. 
LR2067(13) - Fiscal Note - Page 1 of 1