HB 1492-FN is a legislative bill that introduces a new chapter to the tax code, specifically addressing the taxation of interest and dividend income. The bill sets a 5% tax rate on such income for individuals, partnerships, limited liability companies, associations, and executors, provided their gross income from these sources exceeds $7,500 during the taxable period. This tax rate is applicable for taxable periods beginning on or after January 1, 2025. The bill also defines key terms related to the tax and outlines exemptions, including those for income from qualified tuition programs, ABLE plans, trusts, foundations, and employee benefit plans. Additionally, it addresses residency determination for tax purposes and the filing of tax returns and declarations.

The fiscal impact of the bill, as estimated by the Department of Revenue Administration, indicates an increase in State General Fund revenue beginning in FY 2025, although the exact amount is indeterminable. The bill is set to take effect on July 1, 2024, and does not require additional funding or authorize new positions for implementation. The fiscal analysis projects an increase in revenue starting in FY 2025, with a cumulative fiscal impact of $265,400,000 by FY 2027. The Department expects to manage any administrative changes within its existing budget. The summary does not mention any specific legal language insertions or deletions from the current law.