policyengine-us 1.424.5__py3-none-any.whl → 1.425.3__py3-none-any.whl

policyengine_us/reforms/ctc/ctc_per_child_phase_out.py

@@ -29,18 +29,29 @@ def create_ctc_per_child_phase_out() -> Reform:
             excess = max_(0, income - phase_out_threshold)
             increments = np.ceil(excess / p.increment)
             reduction_amount = p.amount * qualifying_children
-            base_reduction = increments * reduction_amount
+            base_reduction_uncapped = increments * reduction_amount
 
             # Option to avoid overlap between regular and ARPA phase-outs
             p_contrib = parameters(period).gov.contrib.ctc.per_child_phase_out
             if p_contrib.avoid_overlap:
-                # Subtract ARPA phase-out to prevent double-counting
-                arpa_reduction = tax_unit(
-                    "ctc_arpa_uncapped_phase_out", period
+                # Sequential application: ARPA phase-out reduces ARPA addition only,
+                # then regular phase-out applies to base + remaining ARPA
+                # NOTE: ctc_arpa_addition already has ARPA phase-out subtracted,
+                # so we only need to return the regular phase-out here
+                arpa_addition = tax_unit("ctc_arpa_addition", period)
+                base_ctc = tax_unit("ctc_maximum", period)
+
+                # Regular phase-out applies to base CTC + remaining ARPA addition
+                ctc_before_regular = base_ctc + arpa_addition
+                base_reduction = min_(
+                    base_reduction_uncapped, ctc_before_regular
                 )
-                return max_(0, base_reduction - arpa_reduction)
-            else:
+
+                # Return only the regular phase-out
+                # ARPA phase-out is already applied in ctc_arpa_addition
                 return base_reduction
+            else:
+                return base_reduction_uncapped
 
     class ctc_arpa_uncapped_phase_out(Variable):
         value_type = float
@@ -58,9 +69,20 @@ def create_ctc_per_child_phase_out() -> Reform:
             # The ARPA CTC has two phase-outs: the original, and a new phase-out
             # applying before and only to the increase in the maximum CTC under ARPA.
             # Calculate the income used to assess the new phase-out.
-            threshold = tax_unit("ctc_arpa_phase_out_threshold", period)
+            arpa_threshold = tax_unit("ctc_arpa_phase_out_threshold", period)
             agi = tax_unit("adjusted_gross_income", period)
-            excess = max_(0, agi - threshold)
+
+            # Check if we should cap ARPA phase-out to avoid overlap with regular phase-out
+            p_contrib = parameters(period).gov.contrib.ctc.per_child_phase_out
+            if p_contrib.avoid_overlap:
+                # Cap the ARPA phase-out at the regular phase-out threshold
+                # so ARPA only applies to income between its threshold and the regular threshold
+                regular_threshold = tax_unit("ctc_phase_out_threshold", period)
+                capped_income = min_(agi, regular_threshold)
+                excess = max_(0, capped_income - arpa_threshold)
+            else:
+                excess = max_(0, agi - arpa_threshold)
+
             increments = np.ceil(excess / p.increment)
             qualifying_children = tax_unit("ctc_qualifying_children", period)
             reduction_amount = p.amount * qualifying_children

policyengine_us/reforms/harris/capital_gains/harris_capital_gains.py

@@ -29,9 +29,9 @@ def create_harris_capital_gains() -> Reform:
 
             filing_status = tax_unit("filing_status", period)
 
-            first_threshold = p_ref.brackets.thresholds["1"][filing_status]
-            second_threshold = p_ref.brackets.thresholds["2"][filing_status]
-            third_threshold = p_ref.brackets.thresholds["3"][filing_status]
+            first_threshold = p_ref.thresholds["1"][filing_status]
+            second_threshold = p_ref.thresholds["2"][filing_status]
+            third_threshold = p_ref.thresholds["3"][filing_status]
 
             income_ordinarily_under_second_rate = clip(
                 taxable_income, 0, first_threshold
@@ -82,10 +82,10 @@ def create_harris_capital_gains() -> Reform:
             )
 
             main_cg_tax = (
-                cg_in_first_bracket * p_ref.brackets.rates["1"]
-                + cg_in_second_bracket * p_ref.brackets.rates["2"]
-                + cg_in_third_bracket * p_ref.brackets.rates["3"]
-                + cg_in_fourth_bracket * p_ref.brackets.rates["4"]
+                cg_in_first_bracket * p_ref.rates["1"]
+                + cg_in_second_bracket * p_ref.rates["2"]
+                + cg_in_third_bracket * p_ref.rates["3"]
+                + cg_in_fourth_bracket * p_ref.rates["4"]
             )
 
             unrecaptured_s_1250_gain = tax_unit(

policyengine_us/tests/policy/baseline/gov/states/ks/tax/income/ks_fstc.yaml

@@ -4,7 +4,7 @@
     age_head: 56
     blind_head: false
     adjusted_gross_income: 30_000
-    ks_count_exemptions: 3
+    tax_unit_size: 3
     state_code: KS
   output:
     ks_fstc: 125 * 3
@@ -15,7 +15,7 @@
     age_head: 54
     blind_head: true
     adjusted_gross_income: 30_000
-    ks_count_exemptions: 1
+    tax_unit_size: 1
     state_code: KS
   output:
     ks_fstc: 125 * 1
@@ -26,7 +26,7 @@
     age_head: 54
     blind_head: false
     adjusted_gross_income: 30_000
-    ks_count_exemptions: 1
+    tax_unit_size: 1
     state_code: KS
   output:
     ks_fstc: 0  # tax unit is ineligible
@@ -37,7 +37,7 @@
     age_head: 56
     blind_head: false
     adjusted_gross_income: 31_000
-    ks_count_exemptions: 3
+    tax_unit_size: 3
     state_code: KS
   output:
     ks_fstc: 0  # income ineligible

policyengine_us/tests/policy/baseline/gov/states/ks/tax/income/ks_integration.yaml

@@ -29,3 +29,51 @@
         state_code: KS
   output:  # expected results from patched TAXSIM35 2023-03-22 version
     ks_income_tax: 147.18
+
+- name: 0-KS.yaml
+  absolute_error_margin: 2
+  period: 2024
+  input:
+    people:
+      person1:
+        age: 70
+        employment_income: 0.0
+        ssi: 0
+        wic: 0
+        head_start: 0
+        early_head_start: 0
+        commodity_supplemental_food_program: 0
+        taxable_private_pension_income: 29882.531
+        qualified_dividend_income: 4.5687127
+        taxable_interest_income: 145.75577
+        is_tax_unit_head: true
+      person2:
+        age: 1
+        employment_income: 0
+        ssi: 0
+        wic: 0
+        head_start: 0
+        early_head_start: 0
+        commodity_supplemental_food_program: 0
+        is_tax_unit_dependent: true
+        is_tax_unit_head: false
+        is_tax_unit_spouse: false
+    tax_units:
+      tax_unit:
+        members: [person1, person2]
+        premium_tax_credit: 0
+        local_income_tax: 0
+        state_sales_tax: 0
+    spm_units:
+      spm_unit:
+        members: [person1, person2]
+        snap: 0
+        tanf: 0
+        free_school_meals: 0
+        reduced_price_school_meals: 0
+    households:
+      household:
+        members: [person1, person2]
+        state_fips: 20
+  output:
+    ks_income_tax: 229

policyengine_us/tests/policy/contrib/additional_tax_bracket/additional_tax_bracket_reform.yaml

@@ -22,8 +22,8 @@
     taxable_income: 1_000_000
     filing_status: JOINT
   output:
-    regular_tax_before_credits: 291_360
-    income_tax_main_rates: 291_360
+    regular_tax_before_credits: 290_689
+    income_tax_main_rates: 290_689
 
 - name: Additional tax bracket is applied, taxable income is below the threshold.
   period: 2027
@@ -49,5 +49,5 @@
     taxable_income: 600_000
     filing_status: JOINT
   output:
-    regular_tax_before_credits: 147_196
-    income_tax_main_rates: 147_196
+    regular_tax_before_credits: 146_355
+    income_tax_main_rates: 146_355

policyengine_us/tests/policy/contrib/congress/tlaib/income_security/state_integration.yaml

@@ -36,10 +36,8 @@
         state_code: OK
   output:
     # Federal CTC/EITC calculated for state reference
-    ctc:
-      2026: 4_900  # $2,200 per child + $500 other dependent
-    eitc:
-      2026: 4_225.342  # Joint, 2 children, $50k income
+    ctc: 4_900 
+    eitc: 4_244
 
     # Oklahoma credits (5% of federal)
     ok_child_care_child_tax_credit:
@@ -91,14 +89,11 @@
         state_code: ME
   output:
     # Federal calculations
-    ctc:
-      2026: 4_400
-    eitc:
-      2026: 7_055.704
+    ctc: 4_400
+    eitc: 7_071
 
     # Maine EITC is 25% of federal
-    me_eitc:
-      2026: 1_763.926
+    me_eitc: 1_767
 
     # Income Security Package
     baby_bonus_act_payment:

policyengine_us/tests/policy/contrib/congress/tlaib/income_security/unit_tests.yaml

@@ -36,7 +36,7 @@
         birth_year: 2027
   output:
     baby_bonus_act_payment:
-      2027: [0, 2_049]  # Only 2027 birth, uprated
+      2027: [0, 2_038]  # Only 2027 birth, uprated
 
 # BOOST Act Payment Tests
 - name: BOOST payment age boundaries

policyengine_us/tests/policy/contrib/crfb/senior_deduction_extension.yaml

@@ -56,7 +56,7 @@
     # standard_deduction: 38_300 (joint filing in 2029, includes additional standard deduction for seniors)
     # qualified_business_income_deduction: 5_000
     # additional_senior_deduction: 12_000 (from extension)
-    taxable_income_deductions_if_not_itemizing: 55_300
+    taxable_income_deductions_if_not_itemizing: 54_250
 
 - name: Integration test - no senior deduction in 2029 without extension
   period: 2029
@@ -111,4 +111,4 @@
     # additional_standard_deduction: 2_450 (single senior aged deduction in 2035)
     # qualified_business_income_deduction: 2_000
     # additional_senior_deduction: 6_000 (from extension)
-    taxable_income_deductions_if_not_itemizing: 30_050
+    taxable_income_deductions_if_not_itemizing: 29_450

policyengine_us/tests/policy/contrib/ctc/integration.yaml

@@ -355,8 +355,8 @@
         members: [person1, person2]
         state_code: TX
   output:
-    ctc_arpa_uncapped_phase_out: 2_375
-    ctc_phase_out: 0
+    ctc_arpa_uncapped_phase_out: 1_875
+    ctc_phase_out: 500
     ctc: 2_425
     refundable_ctc: 2_425
 
@@ -507,7 +507,7 @@
         members: [person1, person2, person3]
         state_code: TX
   output:
-    ctc_arpa_uncapped_phase_out: 6_250
-    ctc_phase_out: 0
-    ctc: 5_850
-    refundable_ctc: 5_850
+    ctc_arpa_uncapped_phase_out: 3_750
+    ctc_phase_out: 2_500
+    ctc: 3_350
+    refundable_ctc: 3_350

policyengine_us/variables/gov/irs/tax/federal_income/alternative_minimum_tax/amt_tax_including_cg.py

@@ -34,7 +34,7 @@ class amt_tax_including_cg(Variable):
         income_taxes_at_amt_rates = p.income.amt.brackets.calc(excess_income)
         # Line 19 - First CG tax bracket threshold
         filing_status = tax_unit("filing_status", period)
-        cg_bracket = p.capital_gains.brackets.thresholds["1"][filing_status]
+        cg_bracket = p.capital_gains.thresholds["1"][filing_status]
         # Line 20 - Schedule D Line 14
         lt_capital_loss_carryover = tax_unit("dwks14", period)
         # Line 21 - Line 20 minus Line 19
@@ -42,7 +42,7 @@ class amt_tax_including_cg(Variable):
         # Line 22 - smaller of Line 12 or Line 13
         smaller_of_income_or_cg = min_(reduced_income, cg_distributions)
         # Line 23 - smaller of Line 22 or Line 21 (amount is taxed at 0%)
-        cg_first_rate = p.capital_gains.brackets.rates["1"]
+        cg_first_rate = p.capital_gains.rates["1"]
         disregarded_gains = (
             min_(smaller_of_income_or_cg, reduced_cg_bracket) * cg_first_rate
         )
@@ -51,9 +51,7 @@ class amt_tax_including_cg(Variable):
             smaller_of_income_or_cg - disregarded_gains, 0
         )
         # Line 25 - Second CG tax bracket threshold
-        second_cg_bracket = p.capital_gains.brackets.thresholds["2"][
-            filing_status
-        ]
+        second_cg_bracket = p.capital_gains.thresholds["2"][filing_status]
         # Line 26 - same as line 21
         # Line 27 - Schedule D Line 21
         loss_limited_net_capital_gains = tax_unit(
@@ -73,16 +71,14 @@ class amt_tax_including_cg(Variable):
         )
         # Line 31 - multiply Line 30by second CG tax rate
         cg_second_bracket_tax = (
-            capped_income_including_cg * p.capital_gains.brackets.rates["2"]
+            capped_income_including_cg * p.capital_gains.rates["2"]
         )
         # Line 32 - Line 23 plus Line 30
         taxed_gains = disregarded_gains + capped_income_including_cg
         # Line 33 - Line 22 minus Line 32
         excess_taxed_gains = max_(0, smaller_of_income_or_cg - taxed_gains)
         # Line 34 - multiply Line 33 by third CG tax rate
-        cg_third_bracket_tax = (
-            excess_taxed_gains * p.capital_gains.brackets.rates["3"]
-        )
+        cg_third_bracket_tax = excess_taxed_gains * p.capital_gains.rates["3"]
         # Line 35 - sum of Line 17, Line 32, Line 33
         final_taxed_income = excess_income + taxed_gains + excess_taxed_gains
         # Line 36 Line 12 minus Line 35

policyengine_us/variables/gov/irs/tax/federal_income/alternative_minimum_tax/regular_tax_before_credits.py

@@ -10,29 +10,28 @@ class regular_tax_before_credits(Variable):
     unit = USD
 
     def formula(tax_unit, period, parameters):
+        p = parameters(period).gov.irs
         filing_status = tax_unit("filing_status", period)
         dwks1 = tax_unit("taxable_income", period)
 
-        capital_gains = parameters(period).gov.irs.capital_gains.brackets
-
-        dwks16 = min_(capital_gains.thresholds["1"][filing_status], dwks1)
+        dwks16 = min_(p.capital_gains.thresholds["1"][filing_status], dwks1)
         dwks17 = min_(tax_unit("dwks14", period), dwks16)
         dwks20 = dwks16 - dwks17
-        lowest_rate_tax = capital_gains.rates["1"] * dwks20
+        lowest_rate_tax = p.capital_gains.rates["1"] * dwks20
         # Break in worksheet lines
         dwks13 = tax_unit("dwks13", period)
         dwks21 = min_(dwks1, dwks13)
         dwks22 = dwks20
         dwks23 = max_(0, dwks21 - dwks22)
-        dwks25 = min_(capital_gains.thresholds["2"][filing_status], dwks1)
+        dwks25 = min_(p.capital_gains.thresholds["2"][filing_status], dwks1)
         dwks19 = tax_unit("dwks19", period)
         dwks26 = min_(dwks19, dwks20)
         dwks27 = max_(0, dwks25 - dwks26)
         dwks28 = min_(dwks23, dwks27)
-        dwks29 = capital_gains.rates["2"] * dwks28
+        dwks29 = p.capital_gains.rates["2"] * dwks28
         dwks30 = dwks22 + dwks28
         dwks31 = dwks21 - dwks30
-        dwks32 = capital_gains.rates["3"] * dwks31
+        dwks32 = p.capital_gains.rates["3"] * dwks31
         # Break in worksheet lines
         dwks33 = min_(
             tax_unit("dwks09", period),
@@ -43,18 +42,18 @@ class regular_tax_before_credits(Variable):
         dwks36 = max_(0, dwks34 - dwks1)
         dwks37 = max_(0, dwks33 - dwks36)
 
-        p = parameters(period).gov.irs.income
-
-        dwks38 = p.amt.capital_gains.capital_gain_excess_tax_rate * dwks37
+        dwks38 = (
+            p.income.amt.capital_gains.capital_gain_excess_tax_rate * dwks37
+        )
         # Break in worksheet lines
         dwks39 = dwks19 + dwks20 + dwks28 + dwks31 + dwks37
         dwks40 = dwks1 - dwks39
-        dwks41 = p.amt.brackets.rates[-1] * dwks40
+        dwks41 = p.income.amt.brackets.rates[-1] * dwks40
 
         # Compute regular tax using bracket rates and thresholds
         reg_taxinc = max_(0, dwks19)
-        bracket_tops = p.bracket.thresholds
-        bracket_rates = p.bracket.rates
+        bracket_tops = p.income.bracket.thresholds
+        bracket_rates = p.income.bracket.rates
         reg_tax = 0
         bracket_bottom = 0
         for i in range(1, len(list(bracket_rates.__iter__())) + 1):

policyengine_us/variables/gov/irs/tax/federal_income/capital_gains/capital_gains_excluded_from_taxable_income.py

@@ -14,15 +14,15 @@ class capital_gains_excluded_from_taxable_income(Variable):
     )
 
     def formula(tax_unit, period, parameters):
+        p = parameters(period).gov.irs.capital_gains
         net_capital_gain = tax_unit("net_capital_gain", period)
         adjusted_net_capital_gain = tax_unit(
             "adjusted_net_capital_gain", period
         )
         taxable_income = tax_unit("taxable_income", period)
         filing_status = tax_unit("filing_status", period)
-        cg = parameters(period).gov.irs.capital_gains.brackets
         income_taxed_below_first_rate = clip(
-            taxable_income, 0, cg.thresholds["1"][filing_status]
+            taxable_income, 0, p.thresholds["1"][filing_status]
         )
         reduced_taxable_income = max_(
             taxable_income - net_capital_gain,

policyengine_us/variables/gov/irs/tax/federal_income/capital_gains/capital_gains_tax.py

@@ -27,8 +27,8 @@ class capital_gains_tax(Variable):
 
         filing_status = tax_unit("filing_status", period)
 
-        first_threshold = cg.brackets.thresholds["1"][filing_status]
-        second_threshold = cg.brackets.thresholds["2"][filing_status]
+        first_threshold = cg.thresholds["1"][filing_status]
+        second_threshold = cg.thresholds["2"][filing_status]
 
         income_ordinarily_under_second_rate = clip(
             taxable_income, 0, first_threshold
@@ -55,9 +55,9 @@ class capital_gains_tax(Variable):
         )
 
         main_cg_tax = (
-            cg_in_first_bracket * cg.brackets.rates["1"]
-            + cg_in_second_bracket * cg.brackets.rates["2"]
-            + cg_in_third_bracket * cg.brackets.rates["3"]
+            cg_in_first_bracket * cg.rates["1"]
+            + cg_in_second_bracket * cg.rates["2"]
+            + cg_in_third_bracket * cg.rates["3"]
         )
 
         unrecaptured_s_1250_gain = tax_unit(

policyengine_us/variables/gov/irs/tax/federal_income/capital_gains/dwks19.py

@@ -9,11 +9,11 @@ class dwks19(Variable):
     unit = USD
 
     def formula(tax_unit, period, parameters):
+        p = parameters(period).gov.irs.capital_gains
         dwks14 = tax_unit("dwks14", period)
-        capital_gains = parameters(period).gov.irs.capital_gains.brackets
         filing_status = tax_unit("filing_status", period)
         dwks01 = tax_unit("taxable_income", period)
-        dwks16 = min_(capital_gains.thresholds["1"][filing_status], dwks01)
+        dwks16 = min_(p.thresholds["1"][filing_status], dwks01)
         dwks17 = min_(dwks14, dwks16)
         dwks10 = tax_unit("dwks10", period)
         dwks18 = max_(0, dwks01 - dwks10)

policyengine_us/variables/gov/states/ks/tax/income/credits/ks_fstc.py

@@ -45,7 +45,7 @@ class ks_fstc(Variable):
         eligible_income = fagi <= p.food_sales_tax.agi_limit
         # compute credit amount
         eligible = eligible_unit & eligible_income
-        exemptions = tax_unit("ks_count_exemptions", period)
+        exemptions = tax_unit("tax_unit_size", period)
         old_dependents = count_all_dependents - count_child_dependents
         fstc_exemptions = max_(0, exemptions - old_dependents)
         return eligible * fstc_exemptions * p.food_sales_tax.amount

{policyengine_us-1.424.5.dist-info → policyengine_us-1.425.3.dist-info}/METADATA

@@ -1,6 +1,6 @@
 Metadata-Version: 2.4
 Name: policyengine-us
-Version: 1.424.5
+Version: 1.425.3
 Summary: Add your description here.
 Author-email: PolicyEngine <hello@policyengine.org>
 License-File: LICENSE