Sec. 1. 36 MRSA §5122, sub-§2, ¶L, as amended by PL 1999, c. 708, §35 and c. 731, Pt. S, §2 and affected by §4 and amended by c. 790, Pt. A, §49, is repealed and the following enacted in its place:

L.__For income tax years beginning on or after January 1, 2000, an amount equal to the total premiums spent for qualified long-term care insurance contracts as defined in the Code, Section 7702B(b), as long as the amount subtracted is reduced by the long-term care premiums claimed as an itemized deduction pursuant to section 5125;

Sec. 2. 36 MRSA §5122, sub-§2, ¶M, as enacted by PL 1999, c. 708, §36 and c. 731, Pt. S, §3 and affected by §4, is repealed and the following enacted in its place:

M.__An amount, for each recipient of benefits under an employee retirement plan, that is the lesser of:

(1)__Six thousand dollars reduced by the total amount of social security benefits and railroad retirement benefits paid by the United States, but not less than $0.__The reduction does not apply to benefits paid under the Maine State Retirement System; or

(2)__The aggregate of benefits received under employee retirement plans and included in federal adjusted gross income.

For purposes of this paragraph, "employee retirement plan" means a state or federal retirement plan or any other retirement benefit plan established and maintained by an employer for the benefit of its employees under Section 401(a), Section 403 or Section 457(b) of the Code.__ "Employee retirement plan" does not include a military retirement plan, an individual retirement account under Section 408 of the Code, a Roth IRA under Section 408A of the Code, a rollover individual retirement account, a simplified employee pension under Section 408(k) of the Code or an ineligible deferred compensation plan under Section 457(f) of the Code.__A person who takes a deduction under paragraph O may not take a deduction under this paragraph;

Sec. 3. 36 MRSA §5122, sub-§2, ¶¶N and O are enacted to read: