00 CS FOR HOUSE BILL NO. 61(W&M) 01 "An Act relating to tax credits for cash contributions by taxpayers that are accepted for 02 certain educational purposes, including vocational education programs and courses at 03 the secondary school level; and providing for an effective date." 04 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 05 * Section 1. AS 21.89.070 is repealed and reenacted to read: 06 Sec. 21.89.070. Insurance tax education credit. (a) A taxpayer is allowed a 07 credit against the tax due under AS 21.09.210 or AS 21.66.110 for cash contributions 08 accepted for 09 (1) direct instruction, research, and educational support purposes, 10 including library and museum acquisitions, and contributions to endowment, by an 11 Alaska university foundation or by a nonprofit, public or private, Alaska two-year or 12 four-year college accredited by a regional accreditation association; and 13 (2) secondary school level vocational education courses and programs 14 by a school district in the state. 01 (b) The amount of the credit is the lesser of 02 (1) an amount equal to 03 (A) 50 percent of contributions of not more than $100,000; and 04 (B) 100 percent of the next $100,000 of contributions; or 05 (2) 50 percent of the taxpayer's tax liability under this title. 06 (c) Each public college and university shall include in its annual operating 07 budget request contributions received and how the contributions were used. 08 (d) A contribution claimed as a credit under this section may not 09 (1) be claimed as a credit under more than one provision of this title; 10 and 11 (2) when combined with credits taken during the taxpayer's tax year 12 under AS 21.89.075, AS 43.20.014, AS 43.55.019, AS 43.56.018, AS 43.65.018, 13 AS 43.75.018, or AS 43.77.045, exceed $150,000. 14 (e) In this section, 15 (1) "school district" has the meaning given in AS 14.03.126; 16 (2) "vocational education" means organized educational activities that 17 offer a sequence of courses that provides individuals with the academic and technical 18 knowledge and skills the individuals need to prepare for further education and for 19 careers other than careers requiring a baccalaureate, master's, or doctoral degree, in 20 current or emerging employment sectors. 21 * Sec. 2. AS 43.20.014 is repealed and reenacted to read: 22 Sec. 43.20.014. Income tax education credit. (a) A taxpayer is allowed a 23 credit against the tax due under this chapter for cash contributions accepted for 24 (1) direct instruction, research, and educational support purposes, 25 including library and museum acquisitions, and contributions to endowment, by an 26 Alaska university foundation or by a nonprofit, public or private, Alaska two-year or 27 four-year college accredited by a regional accreditation association; and 28 (2) secondary school level vocational education courses and programs 29 by a school district in the state. 30 (b) The amount of the credit is the lesser of 31 (1) an amount equal to 01 (A) 50 percent of contributions of not more than $100,000; and 02 (B) 100 percent of the next $100,000 of contributions; or 03 (2) 50 percent of the taxpayer's tax liability under this title. 04 (c) Each public college and university shall include in its annual operating 05 budget request contributions received and how the contributions were used. 06 (d) A contribution claimed as a credit under this section may not 07 (1) be claimed as a credit under another provision of this title; 08 (2) also be allowed as a deduction under 26 U.S.C. 170 against the tax 09 imposed by this chapter; and 10 (3) when combined with credits taken during the taxpayer's tax year 11 under AS 21.89.070, 21.89.075, AS 43.55.019, AS 43.56.018, AS 43.65.018, 12 AS 43.75.018, or AS 43.77.045, exceed $150,000. 13 (e) In this section, 14 (1) "school district" has the meaning given in AS 14.03.126; 15 (2) "vocational education" has the meaning given in AS 21.89.070. 16 * Sec. 3. AS 43.55.019 is repealed and reenacted to read: 17 Sec. 43.55.019. Oil or gas producer education credit. (a) A producer of oil 18 or gas is allowed a credit against the tax due under this chapter for cash contributions 19 accepted for 20 (1) direct instruction, research, and educational support purposes, 21 including library and museum acquisitions, and contributions to endowment, by an 22 Alaska university foundation or by a nonprofit, public or private, Alaska two-year or 23 four-year college accredited by a regional accreditation association; and 24 (2) secondary school level vocational education courses and programs 25 by a school district in the state. 26 (b) The amount of the credit is 27 (1) 50 percent of contributions of not more than $100,000; and 28 (2) 100 percent of the next $100,000 of contributions. 29 (c) Each public college and university shall include in its annual operating 30 budget request contributions received and how the contributions were used. 31 (d) A contribution claimed as a credit under this section may not 01 (1) be claimed as a credit under another provision of this title; and 02 (2) when combined with credits taken during the taxpayer's tax year 03 under AS 21.89.070, 21.89.075, AS 43.20.014, AS 43.56.018, AS 43.65.018, 04 AS 43.75.018, or AS 43.77.045, exceed $150,000. 05 (e) The department may, by regulation, establish procedures by which a 06 taxpayer may allocate a pro rata share of a credit claimed under this section against 07 monthly tax payments made during the tax year. 08 (f) In this section, 09 (1) "school district" has the meaning given in AS 14.03.126; 10 (2) "vocational education" has the meaning given in AS 21.89.070. 11 * Sec. 4. AS 43.56.018 is repealed and reenacted to read: 12 Sec. 43.56.018. Property tax education credit. (a) The owner of property 13 taxable under this chapter is allowed a credit against the tax due under this chapter for 14 cash contributions accepted for 15 (1) direct instruction, research, and educational support purposes, 16 including library and museum acquisitions, and contributions to endowment, by an 17 Alaska university foundation or by a nonprofit, public or private, Alaska two-year or 18 four-year college accredited by a regional accreditation association; and 19 (2) secondary school level vocational education courses and programs 20 by a school district in the state. 21 (b) The amount of the credit is 22 (1) 50 percent of contributions of not more than $100,000; and 23 (2) 100 percent of the next $100,000 of contributions. 24 (c) Each public college and university shall include in its annual operating 25 budget request contributions received and how the contributions were used. 26 (d) A contribution claimed as a credit under this section may not 27 (1) be claimed as a credit under another provision of this title; and 28 (2) when combined with credits taken during the taxpayer's tax year 29 under AS 21.89.070, 21.89.075, AS 43.20.014, AS 43.55.019, AS 43.65.018, 30 AS 43.75.018, or AS 43.77.045, exceed $150,000. 31 (e) In this section, 01 (1) "school district" has the meaning given in AS 14.03.126; 02 (2) "vocational education" has the meaning given in AS 21.89.070. 03 * Sec. 5. AS 43.65.018 is repealed and reenacted to read: 04 Sec. 43.65.018. Mining business education credit. (a) A person engaged in 05 the business of mining in the state is allowed a credit against the tax due under this 06 chapter for cash contributions accepted for 07 (1) direct instruction, research, and educational support purposes, 08 including library and museum acquisitions, and contributions to endowment, by an 09 Alaska university foundation or by a nonprofit, public or private, Alaska two-year or 10 four-year college accredited by a regional accreditation association; and 11 (2) secondary school level vocational education courses and programs 12 by a school district in the state. 13 (b) The amount of the credit is 14 (1) 50 percent of contributions of not more than $100,000; and 15 (2) 100 percent of the next $100,000 of contributions. 16 (c) Each public college and university shall include in its annual operating 17 budget request contributions received and how the contributions were used. 18 (d) A contribution claimed as a credit under this section may not 19 (1) be claimed as a credit under another provision of this title; and 20 (2) when combined with credits taken during the taxpayer's tax year 21 under AS 21.89.070, 21.89.075, AS 43.20.014, AS 43.55.019, AS 43.56.018, 22 AS 43.75.018, or AS 43.77.045, exceed $150,000. 23 (e) In this section, 24 (1) "school district" has the meaning given in AS 14.03.126; 25 (2) "vocational education" has the meaning given in AS 21.89.070. 26 * Sec. 6. AS 43.75.018 is repealed and reenacted to read: 27 Sec. 43.75.018. Fisheries business education credit. (a) A person engaged in 28 a fisheries business is allowed a credit against the tax due under this chapter for cash 29 contributions accepted for 30 (1) direct instruction, research, and educational support purposes, 31 including library and museum acquisitions, and contributions to endowment, by an 01 Alaska university foundation or by a nonprofit, public or private, Alaska two-year or 02 four-year college accredited by a regional accreditation association; and 03 (2) secondary school level vocational education courses and programs 04 by a school district in the state. 05 (b) The amount of the credit is 06 (1) 50 percent of contributions of not more than $100,000; and 07 (2) 100 percent of the next $100,000 of contributions. 08 (c) Each public college and university shall include in its annual operating 09 budget request contributions received and how the contributions were used. 10 (d) A contribution claimed as a credit under this section may not 11 (1) be claimed as a credit under another provision of this title; and 12 (2) when combined with credits taken during the taxpayer's tax year 13 under AS 21.89.070, 21.89.075, AS 43.20.014, AS 43.55.019, AS 43.56.018, 14 AS 43.65.018, or AS 43.77.045, exceed $150,000. 15 (e) In this section, 16 (1) "school district" has the meaning given in AS 14.03.126; 17 (2) "vocational education" has the meaning given in AS 21.89.070. 18 * Sec. 7. AS 43.77.045 is repealed and reenacted to read: 19 Sec. 43.77.045. Floating fisheries business education credit. (a) In addition 20 to the credit allowed under AS 43.77.040, a person engaged in a floating fisheries 21 business is allowed a credit against the tax due under this chapter for cash 22 contributions accepted for 23 (1) direct instruction, research, and educational support purposes, 24 including library and museum acquisitions, and contributions to endowment, by an 25 Alaska university foundation or by a nonprofit, public or private, Alaska two-year or 26 four-year college accredited by a regional accreditation association; and 27 (2) secondary school level vocational education courses and programs 28 by a school district in the state. 29 (b) The amount of the credit is 30 (1) 50 percent of contributions of not more than $100,000; and 31 (2) 100 percent of the next $100,000 of contributions. 01 (c) Each public college and university shall include in its annual operating 02 budget request contributions received and how the contributions were used. 03 (d) A contribution claimed as a credit under this section may not 04 (1) be claimed as a credit under another provision of this title; and 05 (2) when combined with credits taken during the taxpayer's tax year 06 under AS 21.89.070, 21.89.075, AS 43.20.014, AS 43.55.019, AS 43.56.018, 07 AS 43.65.018, or AS 43.75.018, exceed $150,000. 08 (e) In this section, 09 (1) "school district" has the meaning given in AS 14.03.126; 10 (2) "vocational education" has the meaning given in AS 21.89.070. 11 * Sec. 8. This Act takes effect January 1, 2008.