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Alter VA reduced itemized deductions based on changes to TCJA #5280

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merged 3 commits into from
Oct 30, 2024

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anth-volk
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Fixes #5279

Virginia follows pre-TCJA tax policy, but does not follow its removal of two tax parameters. To keep Virginia calculations in line with federal policy (minus TCJA), we previously hardcoded a method of determining the value of these parameters based on date. However, TCJA extension policies that set these params to inf in order to simulate continued nullification of said params were not properly handled by the hardcoded date, causing NaN issues for certain calculations that then crashed the front end.

This PR attempts to better represent Virginia's response to the TCJA by instead taking the standard federal params and filtering inf values out. In this way, we create two custom internal parameters that track the federal ones, but aren't explicitly tied to them.

This PR also adds a test for one of the offending years, 2027, to ensure that the changes work properly.

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@PavelMakarchuk PavelMakarchuk left a comment

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LGTM

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@MaxGhenis MaxGhenis left a comment

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Merging as it's causing issues, though filed #5283 to add statutory references and ensure this logic aligns

@MaxGhenis MaxGhenis merged commit 27a40c2 into master Oct 30, 2024
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@MaxGhenis MaxGhenis deleted the fix/va-reduced-itemized-deductions branch October 30, 2024 02:19
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va_reduced_itemized_deductions doesn't properly handle changes to federal income tax policy
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