CSSB 225(HES): "An Act relating to credits against certain insurance taxes for contributions to certain educational institutions; and providing for an effective date."
00CS FOR SENATE BILL NO. 225(HES) 01 "An Act relating to credits against certain insurance taxes for contributions to 02 certain educational institutions; and providing for an effective date." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. AS 21.09.210 is amended by adding a new subsection to read: 05 (j) The provisions of AS 21.89.070 apply to a taxpayer who is required to pay 06 a tax due under this section. 07 * Sec. 2. AS 21.66.110 is amended by adding a new subsection to read: 08 (b) The provisions of AS 21.89.070 apply to a taxpayer who is required to pay 09 the tax due under this section. 10 * Sec. 3. AS 21.89 is amended by adding a new section to read: 11 Sec. 21.89.070. INSURANCE TAX CREDIT FOR GIFTS TO COLLEGES. 12 (a) A taxpayer is allowed a credit against the tax due under AS 21.09.210 or 13 AS 21.66.110 for cash contributions for direct instruction, research, and educational 14 support purposes, including library and museum acquisitions, and contributions to
01 endowment, that are accepted by a nonprofit, public or private, Alaska two-year or 02 four-year college or university accredited by a regional accreditation association or that 03 are accepted by an Alaska university foundation that supports a university or college 04 that could receive a contribution for which a taxpayer may obtain a credit under this 05 section. The amount of the credit is the lesser of 06 (1) an amount equal to 07 (A) 50 percent of contributions of not more than $100,000; and 08 (B) 100 percent of the next $100,000 of contributions; or 09 (2) 50 percent of the taxpayer's tax liability under this title. 10 (b) By September 30 of each year, the Department of Commerce and 11 Economic Development shall report to the Legislative Budget and Audit Committee 12 on the credits taken during the preceding state fiscal year under this section. Each 13 public college and university shall include in its annual operating budget request 14 contributions received and how the contributions were used. 15 (c) A contribution claimed as a credit under this section 16 (1) may not be claimed as a credit under more than one provision of 17 this title; and 18 (2) may not, when combined with credits taken during the taxpayer's 19 tax year under AS 43.20.014, AS 43.55.019, AS 43.56.018, AS 43.65.018, or 20 AS 43.75.018, exceed $150,000. 21 * Sec. 4. AS 43.20.014(d) is amended to read: 22 (d) A contribution claimed as a credit under this section 23 (1) may not be claimed as a credit under another provision of this title; 24 (2) may not also be allowed as a deduction under 26 U.S.C. 170 against 25 the tax imposed by this chapter; and 26 (3) may not, when combined with credits taken during the taxpayer's 27 tax year under AS 21.89.070, AS 43.55.019, AS 43.56.018, AS 43.65.018, or 28 AS 43.75.018, exceed $150,000. 29 * Sec. 5. AS 43.55.019(d) is amended to read: 30 (d) A contribution claimed as a credit under this section may not 31 (1) be claimed as a credit under another provision of this title; and
01 (2) when combined with credits taken during the taxpayer's tax year 02 under AS 21.89.070, AS 43.20.014, AS 43.56.018, AS 43.65.018, or AS 43.75.018, 03 exceed $150,000. 04 * Sec. 6. AS 43.56.018(d) is amended to read: 05 (d) A contribution claimed as a credit under this section may not 06 (1) be claimed as a credit under another provision of this title; and 07 (2) when combined with credits taken during the taxpayer's tax year 08 under AS 21.89.070, AS 43.20.014, AS 43.55.019, AS 43.65.018, or AS 43.75.018, 09 exceed $150,000. 10 * Sec. 7. AS 43.65.018(d) is amended to read: 11 (d) A contribution claimed as a credit under this section may not 12 (1) be claimed as a credit under another provision of this title; and 13 (2) when combined with credits taken during the taxpayer's tax year 14 under AS 21.89.070, AS 43.20.014, AS 43.55.019, AS 43.56.018, or AS 43.75.018, 15 exceed $150,000. 16 * Sec. 8. AS 43.75.018(d) is amended to read: 17 (d) A contribution claimed as a credit under this section may not 18 (1) be claimed as a credit under another provision of this title; and 19 (2) when combined with credits taken during the taxpayer's tax year 20 under AS 21.89.070, AS 43.20.014, AS 43.55.019, AS 43.56.018, or AS 43.65.018, 21 exceed $150,000. 22 * Sec. 9. This Act is retroactive to January 1, 1994, and applies to contributions made 23 under AS 21.89.070, added by sec. 3 of this Act, after December 31, 1993. 24 * Sec. 10. This Act takes effect immediately under AS 01.10.070(c).