Homeowner’s Homestead Credit Refund
Starting with property tax refunds based on property taxes payable in 2014, the homeowner’s portion of the property tax refund will be known as the “Homestead Credit Refund.”
The refund tables have been updated. In most cases, this will result in a larger refund. Applicants who haven’t qualified for the refund in the past may now qualify.
Applicants may now subtract some or all of their qualified retirement plan contributions from household income. An addition is still required for retirement plan contributions deducted the income tax return; however, a subtraction of up to $5,500 per applicant ($11,000 for a joint application) is now allowed.
Applicants must now include in their household income distributions from a ROTH style account or any other distribution from a qualified retirement plan account that is not included in Adjusted Gross Income.