IC 6-3.1-2
Chapter 2. Teacher Summer Employment Credits
IC 6-3.1-2-1 Definitions
Sec. 1. As used in this chapter, the following terms have the
following meanings:
(1) "Eligible teacher" means a teacher:
(A) certified in a shortage area by the department of
education established by IC 20-19-3-1; and
(B) employed under contract during the regular school term
by a school corporation in a shortage area.
(2) "Qualified position" means a position that:
(A) is relevant to the teacher's education in a shortage area;
and
(B) has been approved by the Indiana state board of
education under section 6 of this chapter.
(3) "Regular school term" means the period, other than the
school summer recess, during which a teacher is required to
perform duties assigned to the teacher under a teaching
contract.
(4) "School corporation" means any corporation authorized by
law to establish public schools and levy taxes for their
maintenance.
(5) "Shortage area" means the subject areas of mathematics and
science and any other subject area designated as a shortage area
by the Indiana state board of education.
(6) "State income tax liability" means a taxpayer's total income
tax liability incurred under IC 6-3 and IC 6-5.5, as computed
after application of credits that under IC 6-3.1-1-2 are to be
applied before the credit provided by this chapter. As added by P.L.51-1984, SEC.1. Amended by P.L.20-1984, SEC.5;
P.L.46-1992, SEC.1; P.L.192-2002(ss), SEC.84; P.L.1-2005,
SEC.94; P.L.246-2005, SEC.72.
IC 6-3.1-2-2 Credit for employment of eligible teacher
Sec. 2. Subject to the limitation established in sections 4 and 5 of
this chapter, a taxpayer that employs an eligible teacher in a qualified
position during a school summer recess is entitled to a tax credit
against his state income tax liability as provided for under section 3
of this chapter. As added by P.L.51-1984, SEC.1.
IC 6-3.1-2-3 Amount of credit
Sec. 3. A taxpayer is entitled to a credit for a taxable year for each
eligible teacher employed under section 2 of this chapter in an
amount equal to the lesser of:
(1) two thousand five hundred dollars ($2,500); or
(2) fifty percent (50%) of the amount of compensation paid to
the eligible teacher by the taxpayer during the taxable year.
However, the aggregate credits that a taxpayer may receive for a
particular taxable year under this chapter may not exceed the
taxpayer's state income tax liability for that taxable year. As added by P.L.51-1984, SEC.1.
IC 6-3.1-2-4 Disallowance of credit; employer's duty
Sec. 4. (a) The department shall disallow a credit provided under
this chapter with respect to employment of an eligible teacher during
a school summer recess if the teacher discontinues his teaching
duties for the purpose of becoming employed by the taxpayer during
the regular school term that immediately follows the recess. The
taxpayer shall, within thirty (30) days after the eligible teacher had
discontinued his teaching duties, notify the department of that fact
and pay to the department the amount of the credit previously
allowed.
(b) A taxpayer that fails to notify and pay the department as
prescribed in subsection (a) is liable for interest and a penalty on the
amount of the credit in the amounts established in IC 6-8.1-10-1 and
IC 6-8.1-10-2.1. As added by P.L.51-1984, SEC.1. Amended by P.L.1-1991, SEC.53.
IC 6-3.1-2-5 Application of credit against taxes owed; order
Sec. 5. (a) A credit to which a taxpayer is entitled under this
chapter shall be applied against the taxpayer's adjusted gross income
tax liability for the taxable year.
(b) A taxpayer that is subject to the financial institutions tax may
apply the credit provided by this chapter against the taxpayer's
financial institutions tax liability for the taxable year. As added by P.L.51-1984, SEC.1. Amended by P.L.347-1989(ss),
SEC.10; P.L.192-2002(ss), SEC.85.
IC 6-3.1-2-6 Qualified position certificate; applications; determination of
qualified position; issuance; maximum amount of credit; aggregate
amount of credits
Sec. 6. (a) A taxpayer who seeks to obtain the credit provided by
this chapter must file an application for a qualified position
certificate for that year with the state board of education. The board
shall prescribe the form and contents of the application.
(b) Upon receipt of an application filed under subsection (a), the
state board of education shall determine whether the position in
question is a qualified position. The board shall also determine the
amount of compensation that the taxpayer intends to pay to the
eligible teacher in the qualified position during the school summer
recess, or the parts of the school summer recesses that fall within the
taxable year with respect to which the taxpayer is applying for a
certificate. If the board approves the application, it shall issue a
qualified position certificate to the taxpayer for the taxable year. The
certificate shall indicate the maximum amount of credit to which the
taxpayer is entitled for the taxable year under this chapter with
respect to the eligible teacher. That amount is the lesser of:
(1) two thousand five hundred dollars ($2,500); or
(2) fifty percent (50%) of the amount of compensation that the
taxpayer intends to pay to the eligible teacher in the qualified
position during the school summer recess, or the parts of the
school summer recesses that fall within the taxable year.
The taxpayer shall attach the certificate to the income tax return that
is filed for the taxable year for which the credit is claimed.
(c) The state board of education shall record the time of filing of
each application for a qualified position certificate, and shall approve
the applications, if they otherwise qualify, in the chronological order
in which they are filed. However, the board may not approve any
application in a state fiscal year if the aggregate amount of allowable
credits indicated on qualified position certificates issued in the fiscal
year exceeds five hundred thousand dollars ($500,000). As added by P.L.51-1984, SEC.1. Amended by P.L.20-1984, SEC.6.
IC 6-3.1-2-7 Rules; qualified positions
Sec. 7. Notwithstanding IC 6-8.1-3-3, the state board of education
shall adopt rules under IC 4-22-2 for determining which positions are
qualified positions. As added by P.L.51-1984, SEC.1. Amended by P.L.20-1984, SEC.7.
IC 6-3.1-2
Chapter 2. Teacher Summer Employment Credits
IC 6-3.1-2-1 Definitions
Sec. 1. As used in this chapter, the following terms have the
following meanings:
(1) "Eligible teacher" means a teacher:
(A) certified in a shortage area by the department of
education established by IC 20-19-3-1; and
(B) employed under contract during the regular school term
by a school corporation in a shortage area.
(2) "Qualified position" means a position that:
(A) is relevant to the teacher's education in a shortage area;
and
(B) has been approved by the Indiana state board of
education under section 6 of this chapter.
(3) "Regular school term" means the period, other than the
school summer recess, during which a teacher is required to
perform duties assigned to the teacher under a teaching
contract.
(4) "School corporation" means any corporation authorized by
law to establish public schools and levy taxes for their
maintenance.
(5) "Shortage area" means the subject areas of mathematics and
science and any other subject area designated as a shortage area
by the Indiana state board of education.
(6) "State income tax liability" means a taxpayer's total income
tax liability incurred under IC 6-3 and IC 6-5.5, as computed
after application of credits that under IC 6-3.1-1-2 are to be
applied before the credit provided by this chapter. As added by P.L.51-1984, SEC.1. Amended by P.L.20-1984, SEC.5;
P.L.46-1992, SEC.1; P.L.192-2002(ss), SEC.84; P.L.1-2005,
SEC.94; P.L.246-2005, SEC.72.
IC 6-3.1-2-2 Credit for employment of eligible teacher
Sec. 2. Subject to the limitation established in sections 4 and 5 of
this chapter, a taxpayer that employs an eligible teacher in a qualified
position during a school summer recess is entitled to a tax credit
against his state income tax liability as provided for under section 3
of this chapter. As added by P.L.51-1984, SEC.1.
IC 6-3.1-2-3 Amount of credit
Sec. 3. A taxpayer is entitled to a credit for a taxable year for each
eligible teacher employed under section 2 of this chapter in an
amount equal to the lesser of:
(1) two thousand five hundred dollars ($2,500); or
(2) fifty percent (50%) of the amount of compensation paid to
the eligible teacher by the taxpayer during the taxable year.
However, the aggregate credits that a taxpayer may receive for a
particular taxable year under this chapter may not exceed the
taxpayer's state income tax liability for that taxable year. As added by P.L.51-1984, SEC.1.
IC 6-3.1-2-4 Disallowance of credit; employer's duty
Sec. 4. (a) The department shall disallow a credit provided under
this chapter with respect to employment of an eligible teacher during
a school summer recess if the teacher discontinues his teaching
duties for the purpose of becoming employed by the taxpayer during
the regular school term that immediately follows the recess. The
taxpayer shall, within thirty (30) days after the eligible teacher had
discontinued his teaching duties, notify the department of that fact
and pay to the department the amount of the credit previously
allowed.
(b) A taxpayer that fails to notify and pay the department as
prescribed in subsection (a) is liable for interest and a penalty on the
amount of the credit in the amounts established in IC 6-8.1-10-1 and
IC 6-8.1-10-2.1. As added by P.L.51-1984, SEC.1. Amended by P.L.1-1991, SEC.53.
IC 6-3.1-2-5 Application of credit against taxes owed; order
Sec. 5. (a) A credit to which a taxpayer is entitled under this
chapter shall be applied against the taxpayer's adjusted gross income
tax liability for the taxable year.
(b) A taxpayer that is subject to the financial institutions tax may
apply the credit provided by this chapter against the taxpayer's
financial institutions tax liability for the taxable year. As added by P.L.51-1984, SEC.1. Amended by P.L.347-1989(ss),
SEC.10; P.L.192-2002(ss), SEC.85.
IC 6-3.1-2-6 Qualified position certificate; applications; determination of
qualified position; issuance; maximum amount of credit; aggregate
amount of credits
Sec. 6. (a) A taxpayer who seeks to obtain the credit provided by
this chapter must file an application for a qualified position
certificate for that year with the state board of education. The board
shall prescribe the form and contents of the application.
(b) Upon receipt of an application filed under subsection (a), the
state board of education shall determine whether the position in
question is a qualified position. The board shall also determine the
amount of compensation that the taxpayer intends to pay to the
eligible teacher in the qualified position during the school summer
recess, or the parts of the school summer recesses that fall within the
taxable year with respect to which the taxpayer is applying for a
certificate. If the board approves the application, it shall issue a
qualified position certificate to the taxpayer for the taxable year. The
certificate shall indicate the maximum amount of credit to which the
taxpayer is entitled for the taxable year under this chapter with
respect to the eligible teacher. That amount is the lesser of:
(1) two thousand five hundred dollars ($2,500); or
(2) fifty percent (50%) of the amount of compensation that the
taxpayer intends to pay to the eligible teacher in the qualified
position during the school summer recess, or the parts of the
school summer recesses that fall within the taxable year.
The taxpayer shall attach the certificate to the income tax return that
is filed for the taxable year for which the credit is claimed.
(c) The state board of education shall record the time of filing of
each application for a qualified position certificate, and shall approve
the applications, if they otherwise qualify, in the chronological order
in which they are filed. However, the board may not approve any
application in a state fiscal year if the aggregate amount of allowable
credits indicated on qualified position certificates issued in the fiscal
year exceeds five hundred thousand dollars ($500,000). As added by P.L.51-1984, SEC.1. Amended by P.L.20-1984, SEC.6.
IC 6-3.1-2-7 Rules; qualified positions
Sec. 7. Notwithstanding IC 6-8.1-3-3, the state board of education
shall adopt rules under IC 4-22-2 for determining which positions are
qualified positions. As added by P.L.51-1984, SEC.1. Amended by P.L.20-1984, SEC.7.
IC 6-3.1-2
Chapter 2. Teacher Summer Employment Credits
IC 6-3.1-2-1 Definitions
Sec. 1. As used in this chapter, the following terms have the
following meanings:
(1) "Eligible teacher" means a teacher:
(A) certified in a shortage area by the department of
education established by IC 20-19-3-1; and
(B) employed under contract during the regular school term
by a school corporation in a shortage area.
(2) "Qualified position" means a position that:
(A) is relevant to the teacher's education in a shortage area;
and
(B) has been approved by the Indiana state board of
education under section 6 of this chapter.
(3) "Regular school term" means the period, other than the
school summer recess, during which a teacher is required to
perform duties assigned to the teacher under a teaching
contract.
(4) "School corporation" means any corporation authorized by
law to establish public schools and levy taxes for their
maintenance.
(5) "Shortage area" means the subject areas of mathematics and
science and any other subject area designated as a shortage area
by the Indiana state board of education.
(6) "State income tax liability" means a taxpayer's total income
tax liability incurred under IC 6-3 and IC 6-5.5, as computed
after application of credits that under IC 6-3.1-1-2 are to be
applied before the credit provided by this chapter. As added by P.L.51-1984, SEC.1. Amended by P.L.20-1984, SEC.5;
P.L.46-1992, SEC.1; P.L.192-2002(ss), SEC.84; P.L.1-2005,
SEC.94; P.L.246-2005, SEC.72.
IC 6-3.1-2-2 Credit for employment of eligible teacher
Sec. 2. Subject to the limitation established in sections 4 and 5 of
this chapter, a taxpayer that employs an eligible teacher in a qualified
position during a school summer recess is entitled to a tax credit
against his state income tax liability as provided for under section 3
of this chapter. As added by P.L.51-1984, SEC.1.
IC 6-3.1-2-3 Amount of credit
Sec. 3. A taxpayer is entitled to a credit for a taxable year for each
eligible teacher employed under section 2 of this chapter in an
amount equal to the lesser of:
(1) two thousand five hundred dollars ($2,500); or
(2) fifty percent (50%) of the amount of compensation paid to
the eligible teacher by the taxpayer during the taxable year.
However, the aggregate credits that a taxpayer may receive for a
particular taxable year under this chapter may not exceed the
taxpayer's state income tax liability for that taxable year. As added by P.L.51-1984, SEC.1.
IC 6-3.1-2-4 Disallowance of credit; employer's duty
Sec. 4. (a) The department shall disallow a credit provided under
this chapter with respect to employment of an eligible teacher during
a school summer recess if the teacher discontinues his teaching
duties for the purpose of becoming employed by the taxpayer during
the regular school term that immediately follows the recess. The
taxpayer shall, within thirty (30) days after the eligible teacher had
discontinued his teaching duties, notify the department of that fact
and pay to the department the amount of the credit previously
allowed.
(b) A taxpayer that fails to notify and pay the department as
prescribed in subsection (a) is liable for interest and a penalty on the
amount of the credit in the amounts established in IC 6-8.1-10-1 and
IC 6-8.1-10-2.1. As added by P.L.51-1984, SEC.1. Amended by P.L.1-1991, SEC.53.
IC 6-3.1-2-5 Application of credit against taxes owed; order
Sec. 5. (a) A credit to which a taxpayer is entitled under this
chapter shall be applied against the taxpayer's adjusted gross income
tax liability for the taxable year.
(b) A taxpayer that is subject to the financial institutions tax may
apply the credit provided by this chapter against the taxpayer's
financial institutions tax liability for the taxable year. As added by P.L.51-1984, SEC.1. Amended by P.L.347-1989(ss),
SEC.10; P.L.192-2002(ss), SEC.85.
IC 6-3.1-2-6 Qualified position certificate; applications; determination of
qualified position; issuance; maximum amount of credit; aggregate
amount of credits
Sec. 6. (a) A taxpayer who seeks to obtain the credit provided by
this chapter must file an application for a qualified position
certificate for that year with the state board of education. The board
shall prescribe the form and contents of the application.
(b) Upon receipt of an application filed under subsection (a), the
state board of education shall determine whether the position in
question is a qualified position. The board shall also determine the
amount of compensation that the taxpayer intends to pay to the
eligible teacher in the qualified position during the school summer
recess, or the parts of the school summer recesses that fall within the
taxable year with respect to which the taxpayer is applying for a
certificate. If the board approves the application, it shall issue a
qualified position certificate to the taxpayer for the taxable year. The
certificate shall indicate the maximum amount of credit to which the
taxpayer is entitled for the taxable year under this chapter with
respect to the eligible teacher. That amount is the lesser of:
(1) two thousand five hundred dollars ($2,500); or
(2) fifty percent (50%) of the amount of compensation that the
taxpayer intends to pay to the eligible teacher in the qualified
position during the school summer recess, or the parts of the
school summer recesses that fall within the taxable year.
The taxpayer shall attach the certificate to the income tax return that
is filed for the taxable year for which the credit is claimed.
(c) The state board of education shall record the time of filing of
each application for a qualified position certificate, and shall approve
the applications, if they otherwise qualify, in the chronological order
in which they are filed. However, the board may not approve any
application in a state fiscal year if the aggregate amount of allowable
credits indicated on qualified position certificates issued in the fiscal
year exceeds five hundred thousand dollars ($500,000). As added by P.L.51-1984, SEC.1. Amended by P.L.20-1984, SEC.6.
IC 6-3.1-2-7 Rules; qualified positions
Sec. 7. Notwithstanding IC 6-8.1-3-3, the state board of education
shall adopt rules under IC 4-22-2 for determining which positions are
qualified positions. As added by P.L.51-1984, SEC.1. Amended by P.L.20-1984, SEC.7.
