Bill Text: AZ HB2404 | 2012 | Fiftieth Legislature 2nd Regular | Introduced
Bill Title: Voluntary additional school tax payments
Spectrum: Partisan Bill (Republican 2-0)
Status: (Failed) 2012-02-06 - House WM Committee action: Discussed and Held [HB2404 Detail]
Download: Arizona-2012-HB2404-Introduced.html
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REFERENCE TITLE: voluntary additional school tax payments |
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State of Arizona House of Representatives Fiftieth Legislature Second Regular Session 2012
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HB 2404 |
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Introduced by Representative Stevens: Senator Shooter
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AN ACT
amending title 15, chapter 9, article 6, Arizona Revised Statutes, by adding section 15-993.01; amending sections 43-222 and 43-1089.01, Arizona Revised Statutes; amending title 43, chapter 10, article 5, Arizona Revised Statutes, by adding section 43-1089.03; amending title 43, chapter 11, article 6, Arizona Revised Statutes, by adding section 43-1186; relating to individual and corporate income tax credits.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it enacted by the Legislature of the State of Arizona:
Section 1. Title 15, chapter 9, article 6, Arizona Revised Statutes, is amended by adding section 15-993.01, to read:
15-993.01. Voluntary payments to school districts in addition to district taxes
A. In addition to any tax levied pursuant to this article, any owner of real property in a school district in this state may elect to make voluntary payments to the district in which the property is located at the same time and in the same manner as taxes levied by the district.
B. Payments pursuant to this section:
1. Are not a lien on the property and are not collectable pursuant to title 42, chapter 18, article 3.
2. Have no effect on the computation or payment of any state financial aid or assistance to the district.
3. May be used by the district for any purpose as revenues from taxes levied by the district in the sole discretion of and determination by the district governing board.
C. The county treasurer shall include on any statement of tax on real property a space in which the owner of the property may designate the voluntary payment of an amount to the school district in addition to the amount of tax levied by the district. The county treasurer shall separately account for and transmit all amounts paid voluntarily to designated school districts pursuant to this section in the same manner as tax revenues paid to the district.
D. An owner of real property who makes a voluntary payment to a school district under this section may qualify for an income tax credit for all or part of the amount paid as provided by section 43-1089.03 or 43-1186, as applicable.
E. A school district that receives a voluntary payment pursuant to this section shall report to the department of revenue, in a form prescribed by the department, by February 28 of each year the following information:
1. The total number of payments received during the previous calendar year pursuant to this section.
2. The total dollar amount received during the previous calendar year pursuant to this section.
Sec. 2. Section 43-222, Arizona Revised Statutes, is amended to read:
43-222. Income tax credit review schedule
The joint legislative income tax credit review committee shall review the following income tax credits:
1. For years ending in 0 and 5, sections 43‑1075, 43‑1075.01, 43‑1079.01, 43‑1087, 43‑1088, 43‑1090.01, 43‑1163, 43‑1163.01, 43‑1167.01, 43‑1175 and 43‑1182.
2. For years ending in 1 and 6, sections 43‑1074.02, 43‑1083, 43‑1083.02, 43‑1085.01, 43‑1164.02, 43-1164.03 and 43‑1183.
3. For years ending in 2 and 7, sections 43‑1073, 43‑1079, 43‑1080, 43‑1085, 43‑1086, 43‑1089, 43‑1089.01, 43‑1089.02, 43-1089.03, 43‑1090, 43‑1164, 43‑1167, 43‑1169, 43‑1176, and 43‑1181 and 43-1186.
4. For years ending in 3 and 8, sections 43‑1074.01, 43‑1081, 43‑1168, 43‑1170 and 43‑1178.
5. For years ending in 4 and 9, sections 43‑1076, 43‑1081.01, 43‑1083.01, 43‑1084, 43‑1162, 43‑1164.01, 43‑1170.01 and 43-1184.
Sec. 3. Section 43-1089.01, Arizona Revised Statutes, is amended to read:
43-1089.01. Tax credit; public school fees and contributions; definitions
A. A credit is allowed against the taxes imposed by this title for the amount of any fees or cash contributions by a taxpayer or on the taxpayer's behalf pursuant to section 43‑401, subsection I during the taxable year to a public school located in this state for the support of extracurricular activities or character education programs of the public school, but not exceeding:
1. Two hundred dollars for a single individual or a head of household.
2. Three hundred dollars in taxable year 2005 for a married couple filing a joint return.
3. Four hundred dollars in taxable year 2006 and any subsequent taxable year for a married couple filing a joint return.
B. A husband and wife who file separate returns for a taxable year in which they could have filed a joint return may each claim only one‑half of the tax credit that would have been allowed for a joint return.
C. The credit allowed by this section:
1. Is in lieu of any deduction pursuant to section 170 of the internal revenue code and taken for state tax purposes.
2. Is in addition to any credit allowed for other payments made to school districts for the purposes prescribed by sections 15-993.01 and 43‑1089.03.
D. If the allowable tax credit exceeds the taxes otherwise due under this title on the claimant's income, or if there are no taxes due under this title, the taxpayer may carry the amount of the claim not used to offset the taxes under this title forward for not more than five consecutive taxable years' income tax liability.
E. The site council of the public school that receives contributions that are not designated for a specific purpose shall determine how the contributions are used at the school site. If a charter school does not have a site council, the principal, director or chief administrator of the charter school shall determine how the contributions that are not designated for a specific purpose are used at the school site. If at the end of a fiscal year a public school has unspent contributions that were previously designated for a specific purpose or program and that purpose or program has been discontinued or has not been used for two consecutive fiscal years, these contributions shall be considered undesignated in the following fiscal year for the purposes of this subsection.
F. A public school that receives fees or a cash contribution pursuant to subsection A of this section shall report to the department, in a form prescribed by the department, by February 28 of each year the following information:
1. The total number of fee and cash contribution payments received during the previous calendar year.
2. The total dollar amount of fees and contributions received during the previous calendar year.
3. The total dollar amount of fees and contributions spent by the school during the previous calendar year, categorized by specific extracurricular activity or character education program.
G. For the purposes of this section:
1. "Character education programs" means a program described in section 15‑719.
2. "Extracurricular activities" means school sponsored activities that require enrolled students to pay a fee in order to participate, including fees for:
(a) Band uniforms.
(b) Equipment or uniforms for varsity athletic activities.
(c) Scientific laboratory materials.
(d) In‑state or out‑of‑state trips that are solely for competitive events. Extracurricular activities do not include any senior trips or events that are recreational, amusement or tourist activities.
3. "Public school" means a school that is part of a school district, a joint technical education district or a charter school.
Sec. 4. Title 43, chapter 10, article 5, Arizona Revised Statutes, is amended by adding section 43-1089.03, to read:
43-1089.03. Credit for voluntary payments to school districts in addition to district taxes
A. For taxable years beginning from and after December 31, 2011, a credit is allowed against the taxes imposed by this title for the amount of any voluntary payment by the taxpayer during the taxable year to a school district in addition to district taxes pursuant to section 15-993.01, but not exceeding:
1. Six hundred dollars for a single individual or a head of household.
2. One thousand two hundred dollars for a married couple filing a joint return.
B. A husband and wife who file separate returns for a taxable year in which they could have filed a joint return may each claim only one‑half of the tax credit that would have been allowed for a joint return.
C. The credit allowed by this section:
1. Is in lieu of any deduction for the amount of the voluntary payment pursuant to section 170 of the internal revenue code and taken for state tax purposes.
2. Is in addition to any credit allowed for other contributions made to public schools for the purposes prescribed by section 43-1089.01.
D. If the allowable tax credit under this section exceeds the taxes otherwise due under this title on the taxpayer's income, or if there are no taxes due under this title, the taxpayer may carry the amount of the claim not used to offset the taxes under this title forward for not more than five consecutive taxable years' income tax liability.
Sec. 5. Title 43, chapter 11, article 6, Arizona Revised Statutes, is amended by adding section 43-1186, to read:
43-1186. Credit for voluntary payments to school districts in addition to district taxes
A. For taxable years beginning from and after December 31, 2011, a credit is allowed against the taxes imposed by this title for the amount of any voluntary payment by the taxpayer during the taxable year to a school district in addition to district taxes pursuant to section 15-993.01, but not exceeding six hundred dollars for any taxable year. Co-owners of a business, including corporate partners in a partnership, may each claim only the pro rata share of the credit allowed under this section, based on the ownership interest. The total of the credits allowed all such owners may not exceed six hundred dollars for any taxable year.
B. The credit allowed by this section is in lieu of any deduction for the amount of the voluntary payment pursuant to section 170 of the internal revenue code and taken for state tax purposes.
C. If the allowable tax credit under this section exceeds the taxes otherwise due under this title on the taxpayer's income, or if there are no taxes due under this title, the taxpayer may carry the amount of the claim not used to offset the taxes under this title forward for not more than five consecutive taxable years' income tax liability.
Sec. 6. Purpose
As provided by section 43-223, Arizona Revised Statutes, the legislature enacts sections 43-1089.03 and 43-1186, Arizona Revised Statutes, as added by this act, to encourage owners of real property to make voluntary contributions, in addition to property taxes, to the school districts in which the property is located.
