Add _ALD_AlimonyReceived_hc policy parameter and logic

RELEASES.md

@@ -24,6 +24,12 @@ for a complete commit history.
 - Change minimum required pandas version from 0.21.0 to 0.22.0 and remove zsum() pandas work-around
   [[#1805](https://github.com/open-source-economics/Tax-Calculator/pull/1805)
   by Martin Holmer]
+- Add policy parameter and logic needed to represent TCJA treatment of alimony received
+  [[#1818](https://github.com/open-source-economics/Tax-Calculator/pull/1818)
+  by Martin Holmer and Cody Kallen]
+- Add policy parameters and logic needed to represent TCJA limits on pass-through income and business losses
+  [[#1819](https://github.com/open-source-economics/Tax-Calculator/pull/1819)
+  by Cody Kallen]
 
 **Bug Fixes**
 - None

taxcalc/current_law_policy.json

@@ -339,13 +339,13 @@
         "out_of_range_action": "stop"
     },
 
-    "_ALD_Alimony_hc": {
-        "long_name": "Adjustment for alimony payment haircut",
-        "description": "Under current law, the full amount of alimony payment is taken as an adjustment from gross income in arriving at AGI. This haircut can be used to limit the deduction allowed.",
+    "_ALD_AlimonyPaid_hc": {
+        "long_name": "Adjustment for alimony-paid haircut",
+        "description": "Under pre-TCJA law, the full amount of alimony paid is taken as an adjustment from gross income in arriving at AGI. This haircut can be used to change the deduction allowed.",
         "section_1": "Above The Line Deductions",
         "section_2": "Misc. Adjustment Haircuts",
         "irs_ref": "Form 1040, line 31",
-        "notes": "The final adjustment amount would be (1-Haircut)*AlimonyPayments.",
+        "notes": "The final adjustment amount would be (1-Haircut)*AlimonyPaid.",
         "row_var": "FLPDYR",
         "row_label": ["2013"],
         "start_year": 2013,
@@ -361,6 +361,28 @@
         "out_of_range_action": "stop"
     },
 
+    "_ALD_AlimonyReceived_hc": {
+        "long_name": "Adjustment for alimony-received haircut",
+        "description": "Under pre-TCJA law, none of alimony received is taken as an adjustment from gross income in arriving at AGI. This haircut can be used to change the deduction allowed.",
+        "section_1": "Above The Line Deductions",
+        "section_2": "Misc. Adjustment Haircuts",
+        "irs_ref": "Form 1040, line ?? (new with TCJA)",
+        "notes": "The final adjustment amount would be (1-Haircut)*AlimonyReceived.",
+        "row_var": "FLPDYR",
+        "row_label": ["2013"],
+        "start_year": 2013,
+        "cpi_inflated": false,
+        "col_var": "",
+        "col_label": "",
+        "boolean_value": false,
+        "integer_value": false,
+        "value": [1.0],
+        "range": {"min": 0, "max": 1},
+        "out_of_range_minmsg": "",
+        "out_of_range_maxmsg": "",
+        "out_of_range_action": "stop"
+    },
+
     "_ALD_EducatorExpenses_hc": {
         "long_name": "Deduction for educator expenses haircut",
         "description": "If greater than zero, this decimal fraction reduces the portion of educator expenses that can be deducted from AGI.",

taxcalc/functions.py

@@ -114,11 +114,11 @@ def DependentCare(nu13, elderly_dependent, earned,
 
 @iterate_jit(nopython=True)
 def Adj(e03150, e03210, c03260,
-        e03270, e03300, e03400, e03500,
+        e03270, e03300, e03400, e03500, e00800,
         e03220, e03230, e03240, e03290, care_deduction,
         ALD_StudentLoan_hc, ALD_SelfEmp_HealthIns_hc, ALD_KEOGH_SEP_hc,
-        ALD_EarlyWithdraw_hc, ALD_Alimony_hc, ALD_EducatorExpenses_hc,
-        ALD_HSADeduction_hc, ALD_IRAContributions_hc,
+        ALD_EarlyWithdraw_hc, ALD_AlimonyPaid_hc, ALD_AlimonyReceived_hc,
+        ALD_EducatorExpenses_hc, ALD_HSADeduction_hc, ALD_IRAContributions_hc,
         ALD_DomesticProduction_hc, ALD_Tuition_hc,
         c02900, c02900_in_ei):
     """
@@ -148,7 +148,9 @@ def Adj(e03150, e03210, c03260,
 
         e03400 : Penalty on early withdrawal of savings deduction
 
-        e03500 : Alimony paid deduction
+        e03500 : Alimony paid
+
+        e00800 : Alimony received
 
         care_deduction : Dependent care expense deduction
 
@@ -162,7 +164,9 @@ def Adj(e03150, e03210, c03260,
 
         ALD_EarlyWithdraw_hc : Penalty on early withdrawal deduction haricut
 
-        ALD_Alimony_hc : Alimony paid deduction haircut
+        ALD_AlimonyPaid_hc : Alimony paid deduction haircut
+
+        ALD_AlimonyReceived_hc : Alimony received deduction haircut
 
         ALD_EducatorExpenses_hc: Eductor expenses haircut
 
@@ -185,7 +189,8 @@ def Adj(e03150, e03210, c03260,
     c02900_in_ei = ((1. - ALD_StudentLoan_hc) * e03210 +
                     c03260 +
                     (1. - ALD_EarlyWithdraw_hc) * e03400 +
-                    (1. - ALD_Alimony_hc) * e03500 +
+                    (1. - ALD_AlimonyPaid_hc) * e03500 +
+                    (1. - ALD_AlimonyReceived_hc) * e00800 +
                     (1. - ALD_EducatorExpenses_hc) * e03220 +
                     (1. - ALD_Tuition_hc) * e03230 +
                     (1. - ALD_DomesticProduction_hc) * e03240 +

taxcalc/reforms/TCJA_Reconciliation.json

@@ -8,7 +8,7 @@
 // -  Repeal personal exemption (4)
 // -  Modification to child tax credit, nonrefundable dependent credits (5)
 // -  Modification of Alternative Minimum Tax exemption (6)
-// -  Repeal of certain above the line deductions (7)
+// -  Changes to certain above the line deductions (7)
 // -  Changes to itemized deductions (8)
 // -  Switch to chained CPI from CPI-U for tax parameter adjustment (9)
 // Reform_Parameter_Map:
@@ -150,9 +150,12 @@
         "_ALD_DomesticProduction_hc":
             {"2018": [1],
              "2026": [0]},
-        "_ALD_Alimony_hc":
+        "_ALD_AlimonyPaid_hc":
             {"2019": [1],
              "2026": [0]},
+        "_ALD_AlimonyReceived_hc":
+            {"2019": [0],
+             "2026": [1]},
         "_ALD_BusinessLosses_c":
             {"2018": [[250000, 500000, 250000, 250000, 500000]],
              "2026": [[9e99, 9e99, 9e99, 9e99, 9e99]]},

taxcalc/tests/reforms.json

@@ -96,8 +96,8 @@
 
   "11": {
       "start_year": 2015,
-      "value": {"_ALD_Alimony_hc": [1]},
-      "name": "Eliminate adjustment for alimony payments",
+      "value": {"_ALD_AlimonyPaid_hc": [1]},
+      "name": "Eliminate AGI adjustment for alimony paid",
       "output_type": "iitax",
       "compare_with": {},
       "expected": "Tax-Calculator,3.2,3.3,3.5,3.4"