CHAPTER 30.5. SCHOOL SCHOLARSHIP TAX CREDIT

IC 6-3.1-30.5
    Chapter 30.5. School Scholarship Tax Credit

IC 6-3.1-30.5-1
"Credit"
    Sec. 1. As used in this chapter, "credit" refers to a credit grantedunder this chapter.
As added by P.L.182-2009(ss), SEC.205.

IC 6-3.1-30.5-2
"Pass through entity"
    Sec. 2. As used in this chapter, "pass through entity" has themeaning set forth in IC 6-3-1-35.
As added by P.L.182-2009(ss), SEC.205.

IC 6-3.1-30.5-3
"Scholarship granting organization"
    Sec. 3. As used in this chapter, "scholarship grantingorganization" refers to an organization that:
        (1) is exempt from federal income taxation under Section501(c)(3) of the Internal Revenue Code; and
        (2) conducts a school scholarship program.
As added by P.L.182-2009(ss), SEC.205.

IC 6-3.1-30.5-4
"School scholarship program"
    Sec. 4. As used in this chapter, "school scholarship program"refers to a scholarship program certified by the department ofeducation under IC 20-51.
As added by P.L.182-2009(ss), SEC.205.

IC 6-3.1-30.5-5
"State tax liability"
    Sec. 5. As used in this chapter, "state tax liability" means ataxpayer's total tax liability that is incurred under:
        (1) IC 6-3-1 through IC 6-3-7 (the adjusted gross income tax);
        (2) IC 6-5.5 (the financial institutions tax); and
        (3) IC 27-1-18-2 (the insurance premiums tax);
as computed after the application of the credits that underIC 6-3.1-1-2 are to be applied before the credit provided by thischapter.
As added by P.L.182-2009(ss), SEC.205.

IC 6-3.1-30.5-6
"Taxpayer"
    Sec. 6. As used in this chapter, "taxpayer" means an individual orentity that has any state tax liability.
As added by P.L.182-2009(ss), SEC.205.

IC 6-3.1-30.5-7 Credit
    Sec. 7. A taxpayer that makes a contribution to a scholarshipgranting organization for use by the scholarship grantingorganization in a school scholarship program is entitled to a creditagainst the taxpayer's state tax liability in the taxable year in whichthe taxpayer makes the contribution.
As added by P.L.182-2009(ss), SEC.205.

IC 6-3.1-30.5-8
Amount of credit
    Sec. 8. The amount of a taxpayer's credit is equal to fifty percent(50%) of the amount of the contribution made to the scholarshipgranting organization for a school scholarship program.
As added by P.L.182-2009(ss), SEC.205.

IC 6-3.1-30.5-9
Carryover, carryback, or refund not allowed
    Sec. 9. A taxpayer is not entitled to a carryover, carryback, orrefund of an unused credit.
As added by P.L.182-2009(ss), SEC.205.

IC 6-3.1-30.5-10
Pass through entities
    Sec. 10. If a pass through entity is entitled to a credit undersection 7 of this chapter but does not have state tax liability againstwhich the tax credit may be applied, a shareholder, partner, ormember of the pass through entity is entitled to a tax credit equal to:
        (1) the tax credit determined for the pass through entity for thetaxable year; multiplied by
        (2) the percentage of the pass through entity's distributiveincome to which the shareholder, partner, or member is entitled.
As added by P.L.182-2009(ss), SEC.205.

IC 6-3.1-30.5-11
Claim of credit; submission of information
    Sec. 11. To apply a credit against the taxpayer's state tax liability,a taxpayer must claim the credit on the taxpayer's annual state taxreturn or returns in the manner prescribed by the department. Thetaxpayer shall submit to the department the information that thedepartment determines is necessary for the department to determinewhether the taxpayer is eligible for the credit.
As added by P.L.182-2009(ss), SEC.205.

IC 6-3.1-30.5-12
Use of contribution
    Sec. 12. A contribution shall be treated as having been made foruse in a school scholarship program if:
        (1) the contribution is made directly to a scholarship grantingorganization; and
        (2) either:            (A) not later than the date of the contribution, the taxpayerdesignates in writing to the scholarship granting organizationthat the contribution is to be used only for a schoolscholarship program; or
            (B) the scholarship granting organization provides thetaxpayer with written confirmation that the contribution willbe dedicated solely for use in a school scholarship program.
As added by P.L.182-2009(ss), SEC.205.

IC 6-3.1-30.5-13
Maximum amount of credit
    Sec. 13. The total amount of tax credits awarded under thischapter may not exceed two million five hundred thousand dollars($2,500,000) in any state fiscal year.
As added by P.L.182-2009(ss), SEC.205.

IC 6-3.1-30.5-14
Information posted by the department
    Sec. 14. The department, on an Internet web site used by thedepartment to provide information to the public, shall provide thefollowing information:
        (1) The application for the credit provided in this chapter.
        (2) A timeline for receiving the credit provided in this chapter.
        (3) The total amount of credits awarded under this chapterduring the current state fiscal year.
As added by P.L.182-2009(ss), SEC.205.

IC 6-3.1-30.5-15
Adoption of rules
    Sec. 15. The department shall adopt rules under IC 4-22-2 toimplement this chapter.
As added by P.L.182-2009(ss), SEC.205.