Section 206.4. Household income" defined.

(1) "Income" means the sum of federal adjusted  gross   income    as defined in the internal revenue code, 26 U.S.C. S62 plus:

(a)     Benefits  received   from   federal     social     security,     including supplemental security income (SSI), and railroad retirement benefits.

(b)   Cash public assistance payments paid by a governmental unit.

(c)   Unemployment insurance benefits.

(d)  Worker's compensation payments  whether for temporary    disability, permanent disability, or death.

(e)   Veteran's disability payments, pension benefits, or mustering out payments.

(f)  Amounts received for loss of wages due to permanent disability.

(g)   Amounts received as damages for personal injury or sickness.

(h)   Amounts in excess of the claimant's contributions     received    from    a pension plan or annuity.

(i)   Life insurance proceeds, except benefits from insurance on a spouse.

(j)    Money received from a person not a member of the same household   who is legally obligated to support a member of the household.

(k)   An inheritance, bequest, or devise, excluding an  inheritance  from  a spouse.

(l)   Educational benefits received under  federal   or     state     legislation with respect to services in the military or naval forces  of  the  United States.

(m)   ) A scholarship or other educational grant.

(n)   Income from an  obligation  issued  by  a  state    or    its    political subdivisions, including this state.

(o)   Gifts  in  cash  or  kind  from  nongovernmental   sources   exceeding $300.00.

(p)   The portion of capital gains and dividends excluded or deducted from federal gross income.

(q)   Death benefits paid by, or on behalf of, an employer.

(r)   The portion of lump sum distributions from pension deducted from federal gross income.

(s)   Earned income from foreign sources  excluded   from  federal  gross income.

(t)   Accumulation distributions received from   a  trust  not  previously included in the claimant's adjusted gross income.

(2)   "Household income" does not include:

(a)   Surplus foods.

(b)   Relief in kind by a governmental unit such as medicaid payments to a nursing home or doctor, or rent paid, in whole or in part, directly to the landlord. Chore service payments are income to the provider but  not to the person receiving the benefits.

(c)    Governmental grants which must be used by the claimant to improve a homestead.

(d)   State and city income tax refunds, including homestead property tax credits. Farmland preservation tax credits shall be included in  federal adjusted gross income and household income.

(e)     Amounts deducted from social security or railroad retirement benefits for medicare premiums.

(f)  Amounts paid by an employer for life, health, or accident insurance.

(g)    The first $300.00 in income from gambling, bingo, lottery, or prizes and awards.

(3)   Effective with the calendar year 1977, any health or accident insurance premiums paid, in whole or in part, by the claimant, and not by an employer, for himself and his family are deductible from  gross   income  to arrive at household income.

History: 1979 AC.