Merge pull request #1 from jdebacker/pr-2628

Update to CDCC_prt
jdebacker · Oct 22, 2021 · 1cf3c04 · 1cf3c04
2 parents fac5f21 + b4b1749
commit 1cf3c04
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Showing 2 changed files with 19 additions and 10 deletions.
diff --git a/taxcalc/calcfunctions.py b/taxcalc/calcfunctions.py
@@ -2119,15 +2119,23 @@ def F2441(MARS, earned_p, earned_s, f2441, CDCC_c, e32800,
     c00100: float
         Adjusted Gross Income (AGI)
     CDCC_ps: float
-        Child/dependent care credit phaseout start
+        Child/dependent care credit first phaseout start
+    CDCC_ps2: float
+        Child/dependent care credit second phaseout start
     CDCC_crt: float
-        Child/dependent care credit phaseout percentage rate ceiling
+        Child/dependent care credit phaseout rate ceiling
+    CDCC_frt: float
+        Child/dependent care credit phaseout rate floor
+    CDCC_prt: float
+        Child/dependent care credit phaseout rate
     c05800: float
         Total (regular + AMT) income tax liability before credits
     e07300: float
         Foreign tax credit from Form 1116
     c07180: float
         Credit for child and dependent care expenses from Form 2441
+    CDCC_refund: bool
+        Indicator for whether CDCC is refundable
 
     Returns
     -------
@@ -2159,6 +2167,7 @@ def F2441(MARS, earned_p, earned_s, f2441, CDCC_c, e32800,
         if c00100 > CDCC_ps2:
             crate = max(0., CDCC_frt -
                         max(((c00100 - CDCC_ps2) * CDCC_prt), 0.))
+
     c33200 = c33000 * crate
     # credit is limited by tax liability if not refundable
     if CDCC_refundable:

diff --git a/taxcalc/policy_current_law.json b/taxcalc/policy_current_law.json
@@ -14063,8 +14063,8 @@
         }
     },
     "CDCC_crt": {
-        "title": "Child & dependent care credit phaseout percentage rate ceiling",
-        "description": "The maximum percentage rate for the CDCC; this percentage rate decreases as AGI rises above the CDCC_ps level.",
+        "title": "Child & dependent care credit phaseout rate ceiling",
+        "description": "The maximum rate for the CDCC; this rate decreases as AGI rises above the CDCC_ps level.",
         "notes": "",
         "section_1": "Nonrefundable Credits",
         "section_2": "Child And Dependent Care",
@@ -14097,8 +14097,8 @@
         }
     },
     "CDCC_frt": {
-        "title": "Child & dependent care credit phaseout percentage rate floor",
-        "description": "The minimum percentage rate for the first AGI phaseout of the CDCC.",
+        "title": "Child & dependent care credit phaseout rate floor",
+        "description": "The minimum rate for the first AGI phaseout of the CDCC.",
         "notes": "",
         "section_1": "Nonrefundable Credits",
         "section_2": "Child And Dependent Care",
@@ -14123,9 +14123,9 @@
         }
     },
     "CDCC_prt": {
-        "title": "Child & dependent care credit phaseout percentage rate",
-        "description": "The CDCC credit rate is reduced by this many percentage points for each dollary of AGI over the phase-out thresholds.",
-        "notes": "In the law, the credit rate is reduced by 1 percentage point for every $2,000 of AGI over the limit.",
+        "title": "Child & dependent care credit phaseout rate",
+        "description": "The CDCC credit rate is reduced by this many percentage points for each dollar of AGI over the phase-out thresholds.",
+        "notes": "In the law, the credit rate is reduced by 1 percentage point for every $2,000 of AGI over the limit. 0.01 / 2000 = 0.000005",
         "section_1": "Nonrefundable Credits",
         "section_2": "Child And Dependent Care",
         "indexable": false,
@@ -14134,7 +14134,7 @@
         "value": [
             {
                 "year": 2013,
-                "value": 0.0005
+                "value": 5e-06
             }
         ],
         "validators": {