Add US government bond interest exemption to AL, AR, CA, DC, DE state income taxes (+ tests for AZ, CO, CT, GA, HI)

changelog.d/bond-interest-batch-1.added.md

@@ -0,0 +1 @@
+Add US government bond interest exemption for AL, AR, CA, DC, DE. Add tests for all 10 states (AL, AR, AZ, CA, CO, CT, DC, DE, GA, HI).

policyengine_us/parameters/gov/states/al/tax/income/agi/deductions.yaml

@@ -5,11 +5,13 @@ values:
     - traditional_ira_contributions # Line 1 
     - alimony_expense # Line 4
     - self_employed_health_insurance_ald # Line 7
+    - us_govt_interest
   2023-01-01:
   # IRA distributions prior to 1982 are not deductible.
     - traditional_ira_contributions # Line 1 
     - alimony_expense # Line 4
     - self_employed_health_insurance_ald # Line 7
+    - us_govt_interest
     - al_retirement_exemption #Schedule RS Line 10
 
 metadata:

policyengine_us/parameters/gov/states/ar/tax/income/exemptions/exemptions.yaml

@@ -2,6 +2,7 @@ description: Arkansas exempts these sources from state gross income.
 values:
   2021-01-01:
     - ar_capped_retirement_or_disability_benefits_exemption_person # Item 12
+    - us_govt_interest_person
 
 metadata:
   unit: list

policyengine_us/parameters/gov/states/ca/tax/income/agi/subtractions.yaml

@@ -3,6 +3,7 @@ values:
   2021-01-01:
     - taxable_social_security
     - taxable_unemployment_compensation
+    - us_govt_interest
 
 metadata:
   reference:

policyengine_us/parameters/gov/states/dc/tax/income/subtractions/sources.yaml

@@ -19,3 +19,4 @@ values:
     - taxable_unemployment_compensation
     - dc_disabled_exclusion_subtraction
     - dc_disability_exclusion
+    - us_govt_interest_person

policyengine_us/parameters/gov/states/de/tax/income/subtractions/subtractions.yaml

@@ -3,6 +3,7 @@ values:
   2021-01-01:
     - de_pension_exclusion # (3)
     - taxable_social_security # (4)
+    - us_govt_interest_person
     # The elderly or disabled income exclusion is computed separately
     # - de_elderly_or_disabled_income_exclusion # (2)
 

policyengine_us/tests/policy/baseline/gov/states/al/tax/income/al_us_govt_bond_interest.yaml

@@ -0,0 +1,8 @@
+- name: AL includes US government bond interest in AGI deductions
+  period: 2024
+  input:
+    state_code: AL
+    interest_income: 10_000
+    us_govt_interest: 5_000
+  output:
+    al_agi: 5_000

policyengine_us/tests/policy/baseline/gov/states/ar/tax/income/ar_us_govt_bond_interest.yaml

@@ -0,0 +1,7 @@
+- name: AR includes US government bond interest in exemptions
+  period: 2024
+  input:
+    state_code: AR
+    us_govt_interest_person: 5_000
+  output:
+    ar_exemptions: 5_000

policyengine_us/tests/policy/baseline/gov/states/az/tax/income/az_us_govt_bond_interest.yaml

@@ -0,0 +1,7 @@
+- name: AZ includes US government bond interest in subtractions
+  period: 2024
+  input:
+    state_code: AZ
+    us_govt_interest: 5_000
+  output:
+    az_subtractions: 5_000

policyengine_us/tests/policy/baseline/gov/states/ca/tax/income/ca_us_govt_bond_interest.yaml

@@ -0,0 +1,7 @@
+- name: CA includes US government bond interest in AGI subtractions
+  period: 2024
+  input:
+    state_code: CA
+    us_govt_interest: 5_000
+  output:
+    ca_agi_subtractions: 5_000

policyengine_us/tests/policy/baseline/gov/states/co/tax/income/co_us_govt_bond_interest.yaml

@@ -0,0 +1,7 @@
+- name: CO includes US government bond interest in subtractions
+  period: 2024
+  input:
+    state_code: CO
+    us_govt_interest: 5_000
+  output:
+    co_subtractions: 5_000

policyengine_us/tests/policy/baseline/gov/states/ct/tax/income/ct_us_govt_bond_interest.yaml

@@ -0,0 +1,7 @@
+- name: CT includes US government bond interest in AGI subtractions
+  period: 2024
+  input:
+    state_code: CT
+    us_govt_interest: 5_000
+  output:
+    ct_agi_subtractions: 5_000

policyengine_us/tests/policy/baseline/gov/states/dc/tax/income/dc_us_govt_bond_interest.yaml

@@ -0,0 +1,7 @@
+- name: DC includes US government bond interest in income subtractions
+  period: 2024
+  input:
+    state_code: DC
+    us_govt_interest_person: 5_000
+  output:
+    dc_income_subtractions: 5_000

policyengine_us/tests/policy/baseline/gov/states/de/tax/income/de_us_govt_bond_interest.yaml

@@ -0,0 +1,7 @@
+- name: DE includes US government bond interest in subtractions
+  period: 2024
+  input:
+    state_code: DE
+    us_govt_interest_person: 5_000
+  output:
+    de_subtractions: 5_000

policyengine_us/tests/policy/baseline/gov/states/ga/tax/income/ga_us_govt_bond_interest.yaml

@@ -0,0 +1,7 @@
+- name: GA includes US government bond interest in subtractions
+  period: 2024
+  input:
+    state_code: GA
+    us_govt_interest: 5_000
+  output:
+    ga_subtractions: 5_000

policyengine_us/tests/policy/baseline/gov/states/hi/tax/income/hi_us_govt_bond_interest.yaml

@@ -0,0 +1,7 @@
+- name: HI includes US government bond interest in subtractions
+  period: 2024
+  input:
+    state_code: HI
+    us_govt_interest: 5_000
+  output:
+    hi_subtractions: 5_000