§257-10  Tax credit.  (a)  Taxpayers
subject to the tax imposed under chapter 235 who contribute matching funds for
individual development accounts may be eligible for the tax credit provided
under section 235-5.6.



(b)  Individuals, organizations, and businesses
seeking the tax credit can contribute a matching share to designated
individuals or contribute to a fiduciary organization and permit it to allocate
the funds to all of its participants on a proportionate basis.



(c)  The administrator of the fiduciary
organization, with the cooperation of the participating organizations, shall
maintain records of the names of contributors and the total amount each
contributor contributes to an individual development account match fund for the
taxable year.  All contributions shall be verified by the department of human
services.  The department of human services shall total all contributions that
the department certifies.  Upon each determination, the department of human
services shall issue a certificate to the taxpayer.  The taxpayer shall file
the certificate with the taxpayer's tax return with the department of taxation.



When the total amount of certified
contributions reaches $1,000,000, the department shall immediately discontinue
certifying contributions and notify the department of taxation.  In no
instance, shall the total amount of certified contributions exceed $1,000,000
over the five-year period between January 1, 2000, and December 31, 2004.



(d)  The State shall provide no more than
$1,000,000 in tax credits for private individuals, businesses, and
organizations contributing funds to individual development account programs. [L
1999, c 160, pt of §25; am L 2000, c 184, §2]



 



Note



 



  The 2000 amendment
applies to taxable years beginning after December 31, 1999 and before January
1, 2005.  L 2000, c 184, §5.