AB 239

This bill creates a refundable individual income tax credit for individuals ages

18 to 21 who were either previously in foster care but aged out at age 18 or previously

designated disabled under federal law, as a minor, but lost their disability status

resulting from a redetermination at age 18. The credit that may be claimed is equal

to 125 percent of the federal earned income tax credit for an individual who has no

dependent children and may be claimed without regard to the age requirements for

the federal EITC. The bill first applies to taxable years beginning after 2017.

The bill requires the Department of Revenue to work with the Department of

Children and Families and the Department of Health Services to verify the claims

of the claimants. Because the credit is refundable, if the amount of the claim exceeds

the claimant's tax liability, DOR will refund the difference to the claimant by check.