From 5583ceb39d761bfbe9b5c24f0c8bdb5759480d15 Mon Sep 17 00:00:00 2001 From: PavelMakarchuk Date: Mon, 1 Apr 2024 16:04:00 -0400 Subject: [PATCH] add parameters --- .../itemized/reduction/applicable.yaml | 31 +++++++++++++++++++ .../itemized/reduction/reducible.yaml | 30 ++++++++++++++++++ .../va_reduced_itemized_deductions.py | 29 ++++++----------- 3 files changed, 70 insertions(+), 20 deletions(-) create mode 100644 policyengine_us/parameters/gov/states/va/tax/income/deductions/itemized/reduction/applicable.yaml create mode 100644 policyengine_us/parameters/gov/states/va/tax/income/deductions/itemized/reduction/reducible.yaml diff --git a/policyengine_us/parameters/gov/states/va/tax/income/deductions/itemized/reduction/applicable.yaml b/policyengine_us/parameters/gov/states/va/tax/income/deductions/itemized/reduction/applicable.yaml new file mode 100644 index 00000000000..dba292bc7af --- /dev/null +++ b/policyengine_us/parameters/gov/states/va/tax/income/deductions/itemized/reduction/applicable.yaml @@ -0,0 +1,31 @@ +description: Virginia sums up the following deductions to compute the itemized deductions reduction amount. +values: + 2013-01-01: + - medical_expense_deduction + - salt_deduction + - interest_deduction + - charitable_deduction + - casualty_loss_deduction +metadata: + unit: list + period: year + label: Virginia itemized deductions reduction applicable deduction sources + reference: + - title: 2020 Virginia Schedule A Itemized Deductions + href: https://www.tax.virginia.gov/sites/default/files/taxforms/individual-income-tax/2020/schedule-and-instructions-2020.pdf#page=1 + - title: 2021 Virginia Schedule A Itemized Deductions + href: https://www.tax.virginia.gov/sites/default/files/taxforms/individual-income-tax/2021/schedule-2021.pdf#page=2 + - title: 2022 Virginia Schedule A Itemized Deductions + href: https://www.tax.virginia.gov/sites/default/files/taxforms/individual-income-tax/2022/schedule-2022.pdf#page=2 + - title: 2019 Instructions for Virginia Schedule A Itemized Deductions + href: https://www.tax.virginia.gov/sites/default/files/vatax-pdf/2019-schedule-a-instructions.pdf#page=2 + - title: 2013 Instruction 1040 Schedule A + href: https://www.irs.gov/pub/irs-prior/i1040sca--2013.pdf#page=14 + - title: 2014 Instruction 1040 Schedule A + href: https://www.irs.gov/pub/irs-prior/i1040sca--2014.pdf#page=13 + - title: 2015 Instruction 1040 Schedule A + href: https://www.irs.gov/pub/irs-prior/i1040sca--2015.pdf#page=13 + - title: 2016 Instructions for Schedule A (Form 1040) + href: https://www.irs.gov/pub/irs-prior/i1040sca--2016.pdf#page=13 + - title: 2017 Instructions for Schedule A (Form 1040) + href: https://www.irs.gov/pub/irs-prior/i1040sca--2017.pdf#page=14 diff --git a/policyengine_us/parameters/gov/states/va/tax/income/deductions/itemized/reduction/reducible.yaml b/policyengine_us/parameters/gov/states/va/tax/income/deductions/itemized/reduction/reducible.yaml new file mode 100644 index 00000000000..cbbd3aa09a4 --- /dev/null +++ b/policyengine_us/parameters/gov/states/va/tax/income/deductions/itemized/reduction/reducible.yaml @@ -0,0 +1,30 @@ +description: Virginia reduced the applicable itemized deductions by the following deductions to compute the itemized deductions reduction amount. +values: + 2013-01-01: + - medical_expense_deduction + - investment_interest_expense + - gambling_losses + - casualty_loss_deduction +metadata: + unit: list + period: year + label: Virginia itemized deductions reduction reducible deduction sources + reference: + - title: 2020 Virginia Schedule A Itemized Deductions + href: https://www.tax.virginia.gov/sites/default/files/taxforms/individual-income-tax/2020/schedule-and-instructions-2020.pdf#page=1 + - title: 2021 Virginia Schedule A Itemized Deductions + href: https://www.tax.virginia.gov/sites/default/files/taxforms/individual-income-tax/2021/schedule-2021.pdf#page=2 + - title: 2022 Virginia Schedule A Itemized Deductions + href: https://www.tax.virginia.gov/sites/default/files/taxforms/individual-income-tax/2022/schedule-2022.pdf#page=2 + - title: 2019 Instructions for Virginia Schedule A Itemized Deductions + href: https://www.tax.virginia.gov/sites/default/files/vatax-pdf/2019-schedule-a-instructions.pdf#page=2 + - title: 2013 Instruction 1040 Schedule A + href: https://www.irs.gov/pub/irs-prior/i1040sca--2013.pdf#page=14 + - title: 2014 Instruction 1040 Schedule A + href: https://www.irs.gov/pub/irs-prior/i1040sca--2014.pdf#page=13 + - title: 2015 Instruction 1040 Schedule A + href: https://www.irs.gov/pub/irs-prior/i1040sca--2015.pdf#page=13 + - title: 2016 Instructions for Schedule A (Form 1040) + href: https://www.irs.gov/pub/irs-prior/i1040sca--2016.pdf#page=13 + - title: 2017 Instructions for Schedule A (Form 1040) + href: https://www.irs.gov/pub/irs-prior/i1040sca--2017.pdf#page=14 diff --git a/policyengine_us/variables/gov/states/va/tax/income/deductions/va_reduced_itemized_deductions.py b/policyengine_us/variables/gov/states/va/tax/income/deductions/va_reduced_itemized_deductions.py index f85fbd3342e..9278300ba89 100644 --- a/policyengine_us/variables/gov/states/va/tax/income/deductions/va_reduced_itemized_deductions.py +++ b/policyengine_us/variables/gov/states/va/tax/income/deductions/va_reduced_itemized_deductions.py @@ -11,13 +11,6 @@ class va_reduced_itemized_deductions(Variable): defined_for = StateCode.VA def formula(tax_unit, period, parameters): - # The federal limitation on itemized deductions does not apply during the TCJA period - # Virginia still applies the limitation - year = period.start.year - if year >= 2018 and year <= 2026: - instant_str = f"2017-01-01" - else: - instant_str = period p_va = parameters(period).gov.states.va.tax.income.deductions.itemized uncapped_state_and_local_tax = tax_unit( @@ -31,29 +24,25 @@ def formula(tax_unit, period, parameters): applicable_ded = add( tax_unit, period, - [ - "medical_expense_deduction", - "salt_deduction", - "interest_deduction", - "charitable_deduction", - "casualty_loss_deduction", - ], + p_va.reduction.applicable, ) # Line 2 medical expense ded., interest ded., casualty loss ded., and gambling losses reducible_ded = add( tax_unit, period, - [ - "medical_expense_deduction", - "investment_interest_expense", - "casualty_loss_deduction", - "gambling_losses", - ], + p_va.reduction.reducible, ) # Line 3 - subtract Line 2 from line 1 excess_ded = max_(applicable_ded - reducible_ded, 0) # If 0 - no reduction # Line 4 - IRS deduction rate of excess + # The federal limitation on itemized deductions does not apply during the TCJA period + # Virginia still applies the limitation + year = period.start.year + if year >= 2018 and year <= 2026: + instant_str = f"2017-01-01" + else: + instant_str = period p_irs = parameters(instant_str).gov.irs.deductions.itemized.limitation excess_ded_fraction = excess_ded * p_irs.itemized_deduction_rate # Line 5 Federal AGI