Book Connecticut child tax rebate in 2021 eligibility year (like RI/NM)

changelog.d/ct-child-rebate-2021.fixed.md

@@ -0,0 +1 @@
+Move the Connecticut child tax rebate to the 2021 eligibility year as a refundable credit, matching how the analogous Rhode Island and New Mexico prior-year rebates are booked, so it no longer reduces 2022 Connecticut income tax.

policyengine_us/parameters/gov/states/ct/tax/income/credits/non_refundable.yaml

@@ -9,7 +9,6 @@ values:
     - ct_property_tax_credit
   2022-01-01:
     - ct_property_tax_credit
-    - ct_child_tax_rebate
     - ct_stillborn_credit
   2023-01-01:
     - ct_property_tax_credit

policyengine_us/parameters/gov/states/ct/tax/income/credits/refundable.yaml

@@ -3,7 +3,20 @@ metadata:
   unit: list
   period: year
   label: Connecticut refundable credits
-
+  reference:
+    - title: House Bill No. 5506 Public Act No. 22-118 Sec. 411(b)(1)
+      href: https://cga.ct.gov/2022/ACT/PA/PDF/2022PA-00118-R00HB-05506-PA.PDF#page=548
+    - title: House Bill No. 5506 Public Act No. 22-118 Sec. 411(b)(4)
+      href: https://cga.ct.gov/2022/ACT/PA/PDF/2022PA-00118-R00HB-05506-PA.PDF#page=549
 values:
+  # The child tax rebate (PA 22-118 Sec. 411) is a refundable rebate keyed to the
+  # 2021 return, booked in the eligibility year like other prior-year rebates
+  # (cf. ri_child_tax_rebate, nm_2021_income_rebate). TSSB 2022-5 Q5 states the
+  # rebate "is not a credit"; booking it as a refundable credit follows the RI/NM
+  # convention and is the correct cash treatment (it raises household_net_income
+  # and does not touch SALT or ct_withheld_income_tax).
   2021-01-01:
     - ct_eitc
+    - ct_child_tax_rebate
+  2022-01-01:
+    - ct_eitc

policyengine_us/parameters/gov/states/ct/tax/income/rebate/age_limit.yaml

@@ -0,0 +1,15 @@
+description: Connecticut limits its child tax rebate to dependent children this age or younger under the Child Tax Rebate program.
+metadata:
+  unit: year
+  period: year
+  label: Connecticut child tax rebate age limit
+  reference:
+    - title: 2022 Child Tax Rebate
+      href: https://portal.ct.gov/drs/credit-programs/child-tax-rebate/overview
+    - title: House Bill No. 5506 Public Act No. 22-118 Sec. 411(a)(1)
+      href: https://cga.ct.gov/2022/ACT/PA/PDF/2022PA-00118-R00HB-05506-PA.PDF#page=548
+    # The sentinel asymmetry with amount.yaml / child_cap.yaml is deliberate: a
+    # leaked/backdated age_limit is inert while the amount is 0 (rebate =
+    # capped_children * amount = 0), so age_limit need not carry a 2015/2022 sentinel.
+values:
+  2021-01-01: 18

policyengine_us/parameters/gov/states/ct/tax/income/rebate/amount.yaml

@@ -1,15 +1,25 @@
-description: Connecticut provides a child tax rebate of this amount, for each eligible child.
+description: Connecticut provides a child tax rebate of this amount for each eligible child under the Child Tax Rebate program.
 metadata:
   period: year
   unit: currency-USD
   label: Connecticut child tax rebate amount
   reference:
     - title: 2022 Child Tax Rebate
       href: https://portal.ct.gov/drs/credit-programs/child-tax-rebate/overview
-    - title: TSSB 2022-5 - Frequently Asked Questions Concerning the Child Tax Rebate (4)
+    - title: TSSB 2022-5 - Frequently Asked Questions Concerning the Child Tax Rebate Q4
       href: https://portal.ct.gov/-/media/drs/publications/tssb/2022/tssb-2022-5.pdf#page=1
-    - title: House Bill No. 5506 Public Act No. 22-118 Sec. 410 (xxvi)
+    - title: House Bill No. 5506 Public Act No. 22-118 Sec. 411(b)(2)
+      href: https://cga.ct.gov/2022/ACT/PA/PDF/2022PA-00118-R00HB-05506-PA.PDF#page=549
+    - title: House Bill No. 5506 Public Act No. 22-118 Sec. 411(b)(1)
       href: https://cga.ct.gov/2022/ACT/PA/PDF/2022PA-00118-R00HB-05506-PA.PDF#page=548
-    # The legal code section has been repealed
+    # PA 22-118 Sec. 411 is uncodified session law, keyed to TY2021, never added to
+    # the General Statutes; it sunsets to 0 in 2022. The $250 amount is set in the
+    # opening clause of Sec. 411(b)(2) (p. 549); the one-time/TY2021 character is
+    # stated in Sec. 411(b)(1) (p. 548). TSSB 2022-5 cites this as H.B. 5506
+    # Sec. 415; the enrolled act renumbers it Sec. 411 (same provision).
 values:
-  2022-01-01: 250
+  # No rebate before the 2021 tax year; the explicit 0 blocks backdating from
+  # phantoming the 2021 value into prior years at system build.
+  2015-01-01: 0
+  2021-01-01: 250
+  2022-01-01: 0

policyengine_us/parameters/gov/states/ct/tax/income/rebate/child_cap.yaml

@@ -1,15 +1,20 @@
-description: Connecticut caps the child for tax rebate at this number.
+description: Connecticut caps its child tax rebate at this number of children under the Child Tax Rebate program.
 metadata:
   period: year
-  unit: currency-USD
-  label: Connecticut tax rebate child cap
+  unit: person
+  label: Connecticut child tax rebate child cap
   reference:
     - title: 2022 Child Tax Rebate
       href: https://portal.ct.gov/drs/credit-programs/child-tax-rebate/overview
-    - title: TSSB 2022-5 - Frequently Asked Questions Concerning the Child Tax Rebate (4)
+    - title: TSSB 2022-5 - Frequently Asked Questions Concerning the Child Tax Rebate Q4
       href: https://portal.ct.gov/-/media/drs/publications/tssb/2022/tssb-2022-5.pdf#page=1
-    - title: House Bill No. 5506 Public Act No. 22-118 Sec. 411 (b) (1)
+    - title: House Bill No. 5506 Public Act No. 22-118 Sec. 411(b)(1)
       href: https://cga.ct.gov/2022/ACT/PA/PDF/2022PA-00118-R00HB-05506-PA.PDF#page=548
-    # The legal code section has been repealed
+    # PA 22-118 Sec. 411 is uncodified session law, keyed to TY2021, never added to
+    # the General Statutes; it sunsets to 0 in 2022.
 values:
-  2022-01-01: 3
+  # No rebate before the 2021 tax year; the explicit 0 blocks backdating from
+  # phantoming the 2021 value into prior years at system build.
+  2015-01-01: 0
+  2021-01-01: 3
+  2022-01-01: 0

policyengine_us/parameters/gov/states/ct/tax/income/rebate/reduction/increment.yaml

@@ -1,11 +1,16 @@
-description: Connecticut reduces the child tax rebate amount for each of these increments of state adjusted gross income exceeding the threshold.
+description: Connecticut reduces the child tax rebate amount for each of these increments of federal adjusted gross income exceeding the threshold under the Child Tax Rebate program.
 metadata:
   period: year
   unit: currency-USD
   label: Connecticut child tax rebate reduction increment
   reference:
-    - title: House Bill No. 5506 Public Act No. 22-118 Sec. 411 (b)(2)
+    - title: House Bill No. 5506 Public Act No. 22-118 Sec. 411(b)(2)
       href: https://cga.ct.gov/2022/ACT/PA/PDF/2022PA-00118-R00HB-05506-PA.PDF#page=549
-      # The legal code section has been repealed
+    # PA 22-118 Sec. 411 is uncodified session law, keyed to TY2021, never added to
+    # the General Statutes. This file does NOT carry the 2022 sunset: that is carried
+    # by amount.yaml / child_cap.yaml (rebate = capped_children * amount, both 0
+    # outside 2021), so this reduction increment is inert outside 2021. `increment`
+    # is deliberately NEVER zeroed because a 0 here divides by zero in
+    # ct_child_tax_rebate.py (np.ceil(excess / increment)).
 values:
-  2022-01-01: 1_000
+  2021-01-01: 1_000

policyengine_us/parameters/gov/states/ct/tax/income/rebate/reduction/rate.yaml

@@ -1,11 +1,14 @@
-description: Connecticut reduces the personal exemption amount by this rate for each increment of state adjusted gross income exceeding the threshold.
+description: Connecticut reduces the child tax rebate by this share for each increment of federal adjusted gross income exceeding the threshold under the Child Tax Rebate program.
 metadata:
   period: year
   unit: /1
   label: Connecticut child tax rebate reduction rate
   reference:
-    - title: House Bill No. 5506 Public Act No. 22-118 Sec. 411 (b)(2)
+    - title: House Bill No. 5506 Public Act No. 22-118 Sec. 411(b)(2)
       href: https://cga.ct.gov/2022/ACT/PA/PDF/2022PA-00118-R00HB-05506-PA.PDF#page=549
-      # The legal code section has been repealed
+    # PA 22-118 Sec. 411 is uncodified session law, keyed to TY2021, never added to
+    # the General Statutes. This file does NOT carry the 2022 sunset: that is carried
+    # by amount.yaml / child_cap.yaml (rebate = capped_children * amount, both 0
+    # outside 2021), so this reduction rate is inert outside 2021.
 values:
-  2022-01-01: .1
+  2021-01-01: 0.1

policyengine_us/parameters/gov/states/ct/tax/income/rebate/reduction/start.yaml

@@ -1,23 +1,26 @@
-description: Connecticut reduces the child tax rebate for filers with state adjusted gross income above this amount, based on filing status.
+description: Connecticut reduces the child tax rebate for filers with federal adjusted gross income above this amount, based on filing status, under the Child Tax Rebate program.
 metadata:
   period: year
   unit: currency-USD
   label: Connecticut child tax rebate reduction start
   breakdown:
     - filing_status
   reference:
-    - title: TSSB 2022-5 - Frequently Asked Questions Concerning the Child Tax Rebate (11)
+    - title: TSSB 2022-5 - Frequently Asked Questions Concerning the Child Tax Rebate Q11
       href: https://portal.ct.gov/-/media/drs/publications/tssb/2022/tssb-2022-5.pdf#page=2
-    - title: House Bill No. 5506 Public Act No. 22-118 Sec. 410 (xxvi)
+    - title: House Bill No. 5506 Public Act No. 22-118 Sec. 411(b)(2)
       href: https://cga.ct.gov/2022/ACT/PA/PDF/2022PA-00118-R00HB-05506-PA.PDF#page=549
-    # The legal code section has been repealed
+    # PA 22-118 Sec. 411 is uncodified session law, keyed to TY2021, never added to
+    # the General Statutes. This file does NOT carry the 2022 sunset: that is carried
+    # by amount.yaml / child_cap.yaml (rebate = capped_children * amount, both 0
+    # outside 2021), so this reduction start is inert outside 2021.
 SINGLE:
-  2022-01-01: 100_000
-HEAD_OF_HOUSEHOLD:
-  2022-01-01: 160_000
+  2021-01-01: 100_000
 JOINT:
-  2022-01-01: 200_000
-SURVIVING_SPOUSE:
-  2022-01-01: 200_000
+  2021-01-01: 200_000
 SEPARATE:
-  2022-01-01: 100_000
+  2021-01-01: 100_000
+HEAD_OF_HOUSEHOLD:
+  2021-01-01: 160_000
+SURVIVING_SPOUSE:
+  2021-01-01: 200_000

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

@@ -15,6 +15,7 @@
       tax_unit:
         members: [person1, person2]
         aca_ptc: 0  # not in TAXSIM35
+        ct_child_tax_rebate: 0  # not in TAXSIM35
     spm_units:
       spm_unit:
         members: [person1, person2]
@@ -44,6 +45,7 @@
       tax_unit:
         members: [person1, person2, person3, person4]
         aca_ptc: 0  # not in TAXSIM35
+        ct_child_tax_rebate: 0  # not in TAXSIM35
     spm_units:
       spm_unit:
         members: [person1, person2, person3, person4]
@@ -132,3 +134,48 @@
     ct_social_security_benefit_adjustment: 12_246
     ct_agi: 100_559
     ct_income_tax: 4_671
+
+- name: CT 2021 single parent, one child - child tax rebate flows through ct_income_tax
+  period: 2021
+  absolute_error_margin: 0.01
+  input:
+    people:
+      parent:
+        age: 40
+        is_tax_unit_dependent: false
+      child:
+        age: 8
+        is_tax_unit_dependent: true
+    tax_units:
+      tax_unit:
+        members: [parent, child]
+        adjusted_gross_income: 50_000
+        filing_status: SINGLE
+    households:
+      household:
+        members: [parent, child]
+        state_code: CT
+  output:
+    # --- Rebate (booked in the 2021 eligibility year; the chain this PR fixes) ---
+    # 1 eligible child (age 8 <= 18, dependent); AGI 50,000 < SINGLE threshold
+    # 100,000 -> no phase-out -> 1 * 250 = 250.
+    ct_child_tax_rebate: 250
+    # --- Refundable credits = ct_eitc + ct_child_tax_rebate ---
+    # No earned income -> federal EITC 0 -> ct_eitc 0; so aggregate = rebate = 250.
+    ct_refundable_credits: 250
+    # --- Baseline ct_income_tax, hand-derived from 2021 CT parameters ---
+    # ct_agi = adjusted_gross_income 50,000 (no CT additions/subtractions).
+    # Personal exemption (SINGLE): max 15,000; reduction start 30,000;
+    #   excess 20,000 -> ceil(20,000/1,000)=20 increments * 1,000 = 20,000 reduction
+    #   -> max(15,000 - 20,000, 0) = 0 (fully phased out).
+    # ct_taxable_income = max(50,000 - 0, 0) = 50,000.
+    # Tax (SINGLE 2021 brackets): 10,000 @ 3% = 300; 40,000 @ 5% = 2,000
+    #   (50,000 is the start of the 5.5% bracket, 0 there) -> 2,300.
+    # Phase-out add-back: SINGLE start 56,500 > 50,000 -> 0.
+    # Recapture: low bracket not in effect in 2021; middle start 200,000 -> 0.
+    # Personal credit rate at ct_agi 50,000 (SINGLE agi table, bracket
+    #   [33,300, 60,000)) = 0.10 -> credit 0.10 * 2,300 = 230.
+    # ct_income_tax_after_personal_credits = max(0, 2,300 - 230) = 2,070.
+    # ct_amt 0; non-refundable credits 0 (no property tax) -> before-refundable 2,070.
+    # ct_income_tax = 2,070 - ct_refundable_credits 250 = 1,820.
+    ct_income_tax: 1_820