HI HB131

Increases the income tax credit for low-income household renters by replacing a flat $50 credit with tiered brackets ranging from $100-$200 per exemption based on adjusted gross income.

Establishes different income eligibility thresholds for three filing categories: single/married filing separately (up to $40,000), heads of household (up to $60,000), and joint filers/surviving spouses (up to $80,000).

Requires automatic adjustments to all dollar amounts in the credit tables every three years based on the consumer price index for June, with the first adjustment occurring for tax years after December 31, 2022.

Allows taxpayers age 65 and over to claim double the applicable tax credit, and permits individuals with no income tax liability to receive the credit as a refund or payment.

Applies to taxable years beginning after December 31, 2020, with an effective date of July 1, 2050.