State Rep. Peter Lucido this week introduced a bill allowing a Michigan income tax exemption for adult children who help financially support their aging parents.
The bill would allow Michigan taxpayers to claim an exemption if they provide more than half of the support for a parent who is not eligible for Medicaid and can’t be claimed as a dependent.
“This legislation will help encourage children to do the right thing and take care of their parents when they get older,” said Lucido, of Shelby Township. “In those situations where we’re saving the state money by supporting our aging parents, it makes sense to provide some help with taxes. We give exemptions for parents taking care of kids. When those kids grow up and the roles are reversed, why wouldn’t we do the same thing?”
Lucido’s bill could provide some tax relief related to mortgage or rent costs, medical expenses and other financial obligations families face when parents grow older and children assume more responsibility for their care.
“That’s what ‘family’ is – taking care of each other,” Lucido said. “With people living longer and more families in that situation every year, we need to update our tax policies to reflect the change in times.”
Lucido’s legislation is House Bill 5081.