Originating issue: PolicyEngine/policyengine-taxsim#1083 (OK 2021 MFJ, ages 65/68, pensions $38,458, interest $43,434, SS $24,945). Corrects #8830 / PR #8911. Related: #9005.
#8911 excluded private (IRC §401) employer pensions from ok_pension_subtraction before 2022 on the premise that the 2021 Schedule 511-A line 6 instructions did not list §401 plans. The premise is false: the 2021 Form 511 Packet, page 17 (the same document cited by private_pension_qualifies.yaml), lists as the first qualifying source "An employee pension benefit plan under IRC Section 401". The 2022 packet's line-6 text is word-for-word identical — §401 was not added in 2022.
Effect on the taxsim record: PE ok_pension_subtraction = $0 (should be 2 × $10,000 = $20,000), ok_agi $81,891 vs TaxAct $61,890 / TAXSIM-35 $61,891.36, ok_income_tax $3,004.57 vs $2,004/$2,004.57 — a flat $1,000 (5% × $20,000) overstatement for any pre-2022 MFJ record with ≥$10k/person private pension.
Fix: revert #8911 (drop the private_pension_qualifies gate; restore min_(p.pension_limit, pensions) per person). Verified: with the gate flipped to true for 2021, PE returns exactly $20,000 / $61,891.36 / $2,004.57 on this record.
Integration test:
- name: OK 2021 joint couple with private (IRC 401) employer pensions each claim the 10k other-retirement exclusion (taxsim 1083)
period: 2021
absolute_error_margin: 2
input:
people:
head:
age: 65
taxable_private_pension_income: 19_228.76
taxable_interest_income: 21_716.92
social_security_retirement: 12_472.44
spouse:
age: 68
taxable_private_pension_income: 19_228.76
taxable_interest_income: 21_716.92
social_security_retirement: 12_472.44
tax_units:
tax_unit:
members: [head, spouse]
households:
household:
members: [head, spouse]
state_code: OK
output:
adjusted_gross_income: 103_095
ok_pension_subtraction: 20_000
ok_agi: 61_891
ok_income_tax: 2_005(Expected values from the TaxAct return in the taxsim #1083 bundle and the TAXSIM-35 binary, which agree to the dollar.)
Originating issue: PolicyEngine/policyengine-taxsim#1083 (OK 2021 MFJ, ages 65/68, pensions $38,458, interest $43,434, SS $24,945). Corrects #8830 / PR #8911. Related: #9005.
#8911 excluded private (IRC §401) employer pensions from
ok_pension_subtractionbefore 2022 on the premise that the 2021 Schedule 511-A line 6 instructions did not list §401 plans. The premise is false: the 2021 Form 511 Packet, page 17 (the same document cited byprivate_pension_qualifies.yaml), lists as the first qualifying source "An employee pension benefit plan under IRC Section 401". The 2022 packet's line-6 text is word-for-word identical — §401 was not added in 2022.Effect on the taxsim record: PE
ok_pension_subtraction= $0 (should be 2 × $10,000 = $20,000),ok_agi$81,891 vs TaxAct $61,890 / TAXSIM-35 $61,891.36,ok_income_tax$3,004.57 vs $2,004/$2,004.57 — a flat $1,000 (5% × $20,000) overstatement for any pre-2022 MFJ record with ≥$10k/person private pension.Fix: revert #8911 (drop the
private_pension_qualifiesgate; restoremin_(p.pension_limit, pensions)per person). Verified: with the gate flipped to true for 2021, PE returns exactly $20,000 / $61,891.36 / $2,004.57 on this record.Integration test:
(Expected values from the TaxAct return in the taxsim #1083 bundle and the TAXSIM-35 binary, which agree to the dollar.)