IN HB1014

Creates a refundable individual income tax credit for taxpayers whose annual copayment or coinsurance costs for specialty drugs exceed 8% of their federal adjusted gross income

Defines "specialty drug" as a medication with copayments/coinsurance exceeding $600 per month, included in a specialty pricing tier, typically used for chronic conditions, and requiring special handling and high-degree patient management

Credit amount equals total specialty drug copayments/coinsurance paid minus 8% of the taxpayer's federal adjusted gross income, with any excess refunded to the taxpayer

Applies retroactively to taxable years beginning after December 31, 2012, with the enabling section expiring July 1, 2017

Prepared by the health finance commission and referred to the House Committee on Ways and Means on January 7, 2013