Public/Private Education Investment Tax Credit; created for business entities making contributions. (HB1965)

Introduced By

Del. Chris Saxman (R-Staunton) with support from co-patrons Del. Clay Athey (R-Front Royal), Del. Mark Cole (R-Fredericksburg), Del. Scott Lingamfelter (R-Woodbridge), and Del. Brenda Pogge (R-Williamsburg)

Progress

Introduced
Passed Committee
Passed House
Passed Senate
Signed by Governor
Became Law

Description

Income tax; Public/Private Education Investment Tax Credit. Creates income tax credits for business entities and individual taxpayers who make contributions to eligible public school foundations and eligible scholarship foundations. For individual taxpayers, the amount of the annual credit is 100 percent of the contribution but may not exceed $800 for individual taxpayers and $1,200 for married taxpayers filing jointly. The amount of the annual credit for business entities is 90 percent of the contribution with no limit on the dollar amount. The public school foundations are required to disburse annually 90 percent of the contributions for capital improvement projects approved by the local school board and for extracurricular activities. The scholarship foundations are required to disburse 90 percent of the contributions for qualified educational expenses through scholarships.

There is a $20 million cap on total tax credits awarded annually, with $10 million allocated for contributions made to public school foundations and $10 million allocated for contributions made to scholarship foundations. The credit would be effective for taxable years beginning on and after January 1, 2009. Read the Bill »

Status

02/17/2009: Failed to Pass in Committee

History

DateAction
01/13/2009Committee
01/13/2009Prefiled and ordered printed; offered 01/14/09 097838712
01/13/2009Referred to Committee on Finance
01/16/2009Assigned Finance sub: 3
01/16/2009Impact statement from TAX (HB1965)
01/26/2009Reported from Finance (12-Y 9-N) (see vote tally)
01/26/2009Referred to Committee on Appropriations
01/27/2009Assigned App. sub: Elementary & Secondary Education (Tata)
02/03/2009Subcommittee recommends reporting with amendment(s)
02/04/2009Reported from Appropriations with amendments (18-Y 5-N) (see vote tally)
02/06/2009Read first time
02/08/2009Passed by for the day
02/09/2009Read second time
02/09/2009Committee amendments agreed to
02/09/2009Engrossed by House as amended HB1965E
02/09/2009Printed as engrossed 097838712-E
02/10/2009Read third time and passed House (50-Y 47-N)
02/10/2009VOTE: --- PASSAGE (50-Y 47-N) (see vote tally)
02/10/2009Impact statement from TAX (HB1965E)
02/11/2009Constitutional reading dispensed
02/11/2009Referred to Committee on Finance
02/17/2009Passed by indefinitely in Finance (10-Y 4-N 1-A) (see vote tally)

Video

This bill was discussed on the floor of the General Assembly. Below is all of the video that we have of that discussion, 2 clips in all, totaling 4 minutes.