SB 576 - This act authorizes a state tax credit for contributions to authorized scholarship charities. To qualify as a scholarship charity, the organization must be a 501(c)(3) charitable organization and must allocate at least ninety percent of its annual revenue for educational scholarships to children attending qualified schools of their choice.

The credit may be claimed in an amount equal to 50% of the taxpayer's contribution to the scholarship charity. The credit is not refundable but may be carried over for up to four succeeding taxable years. The cumulative amount of all scholarship charity tax credits is limited to a total of twenty million dollars per fiscal year, with up to ten million dollars per fiscal year for public qualified schools and up to ten million dollars per fiscal year for non-public qualified schools. The Director of Revenue is authorized to allocate the tax credits as necessary to ensure their maximum use.

This act is similar to SB 74 (2001).
OTTO FAJEN