Bill > HB2553

This bill establishes a new chapter in Arizona law to allow the state to participate in a federal tax credit program for individuals who contribute to scholarship-granting organizations. Specifically, it enables Arizona to elect to participate in the federal tax credit authorized by section 25F of the Internal Revenue Code, which is a federal law that provides tax benefits for certain contributions. The bill requires the Arizona Department of Revenue (referred to as "the department") to comply with federal laws and regulations to ensure the state's eligibility for this tax credit, starting with taxable years after December 31, 2026, and to submit necessary information to the U.S. Secretary of the Treasury annually. It also outlines a process for nonprofit organizations in Arizona, which are exempt from federal taxes under section 501(c)(3) of the Internal Revenue Code, to apply for certification as scholarship-granting organizations. Once certified, these organizations will be placed on a list that the department will submit to the U.S. Secretary of the Treasury and post on its website each year by January 1. Certified organizations can then provide scholarships for qualified elementary or secondary education expenses, as permitted by federal law, to eligible students. The department is also tasked with creating rules and forms to administer these provisions.

Education

https://apps.azleg.gov/BillStatus/BillOverview/84348