Bill Text: IA HF362 | 2021-2022 | 89th General Assembly | Introduced
Bill Title: A bill for an act relating to the construction of child care facilities by providing developers with sales and use tax refunds and income, franchise, moneys and credits, and gross premiums tax credits, providing for a fee, and including applicability provisions.(Formerly HF 2; See HF 712.)
Spectrum: Committee Bill
Status: (Introduced - Dead) 2021-03-09 - Withdrawn. H.J. 679. [HF362 Detail]
Download: Iowa-2021-HF362-Introduced.html
House
File
362
-
Introduced
HOUSE
FILE
362
BY
COMMITTEE
ON
ECONOMIC
GROWTH
(SUCCESSOR
TO
HF
2)
A
BILL
FOR
An
Act
relating
to
the
construction
of
child
care
facilities
1
by
providing
developers
with
sales
and
use
tax
refunds
2
and
income,
franchise,
moneys
and
credits,
and
gross
3
premiums
tax
credits,
providing
for
a
fee,
and
including
4
applicability
provisions.
5
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
6
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Section
1.
NEW
SECTION
.
15.361
Short
title.
1
This
part
shall
be
known
as
the
“Workforce
Child
Care
2
Facility
Tax
Incentives
Program”
.
3
Sec.
2.
NEW
SECTION
.
15.362
Definitions.
4
As
used
in
this
part,
unless
the
context
otherwise
requires:
5
1.
“Child
care
facility”
means
the
same
as
defined
in
6
section
237A.1.
7
2.
“Child
care
facility
project”
means
a
project
located
in
8
this
state
meeting
the
requirements
of
section
15.363.
9
3.
“Developer”
means
either
of
the
following:
10
a.
A
business
that
constructs
a
new
child
care
facility
11
structure,
or
rehabilitates,
repairs,
or
redevelops
an
existing
12
structure
for
use
as
a
child
care
facility.
13
b.
The
legal
or
equitable
titleholder
of
record
who
14
furnishes
material
for
or
performs
labor
upon,
or
who
contracts
15
with
a
subcontractor
to
furnish
material
for
or
perform
labor
16
upon
a
new
child
care
facility
structure,
or
upon
an
existing
17
structure
for
use
as
a
child
care
facility,
and
who
proposes
18
to
lease
the
structure
for
use
as
a
child
care
facility,
or
19
intends
to
offer
to
sell
the
structure
to
a
child
care
facility
20
operator
without
occupying
or
using
the
structures
as
a
child
21
care
facility.
22
4.
“Program”
means
the
workforce
child
care
facility
tax
23
credit
program
administered
pursuant
to
this
part.
24
5.
“Qualifying
new
investment”
means
costs
that
are
directly
25
related
to
the
construction,
repair,
rehabilitation,
or
26
redevelopment
of
a
child
care
facility
project.
27
6.
“Small
city”
means
any
city
or
township
located
in
this
28
state,
except
those
located
wholly
within
one
or
more
of
the
29
eleven
most
populous
counties
in
the
state,
as
determined
by
30
the
most
recent
population
estimates
issued
by
the
United
31
States
bureau
of
the
census.
32
Sec.
3.
NEW
SECTION
.
15.363
Child
care
facility
project
33
requirements.
34
To
receive
workforce
child
care
facility
tax
incentives
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pursuant
to
the
program,
a
proposed
child
care
facility
project
1
must
meet
all
of
the
following
requirements:
2
1.
The
project
includes
at
least
one
of
the
following:
3
a.
The
construction
of
a
new
structure
to
be
used
as
a
child
4
care
facility.
5
b.
The
rehabilitation,
repair,
or
redevelopment
of
an
6
existing
structure
to
be
used
as
a
child
care
facility.
7
2.
The
child
care
facility,
when
completed,
meets
all
8
applicable
safety
standards
under
chapter
237A.
9
Sec.
4.
NEW
SECTION
.
15.364
Application
and
agreement.
10
1.
Application.
11
a.
A
developer
seeking
workforce
child
care
facility
12
tax
incentives
shall
apply
to
the
authority
in
the
manner
13
prescribed
by
the
authority.
The
authority
may
accept
14
applications
during
one
or
more
annual
application
periods
to
15
be
determined
by
the
authority
by
rule.
16
b.
The
application
must
include
all
of
the
following:
17
(1)
The
following
information
establishing
local
18
participation
for
the
child
care
facility
project:
19
(a)
A
resolution
in
support
of
the
child
care
facility
20
project
by
the
community
where
the
child
care
facility
project
21
will
be
located,
except
in
a
project
where
the
developer
is
22
constructing
a
new
structure,
or
rehabilitating,
repairing,
or
23
redeveloping
an
existing
structure
on
the
grounds
of
a
business
24
for
exclusive
use
by
the
business.
25
(b)
Documentation
of
local
matching
funds
pledged
for
the
26
child
care
facility
project
in
an
amount
equal
to
at
least
27
fifty
thousand
dollars,
or
in
the
case
of
a
small
city
in
an
28
amount
equal
to
at
least
twenty-five
thousand
dollars,
and
29
including
but
not
limited
to
a
funding
agreement
between
the
30
developer
and
the
community
where
the
child
care
facility
31
project
will
be
located.
For
purposes
of
this
paragraph,
32
local
matching
funds
shall
be
in
the
form
of
cash
or
cash
33
equivalents,
or
in
the
form
of
a
local
property
tax
exemption,
34
rebate,
refund,
or
reimbursement.
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(2)
A
report
that
meets
the
requirements
and
conditions
of
1
section
15.330,
subsection
9.
2
(3)
Information
showing
the
total
costs
and
funding
sources
3
of
the
child
care
facility
project
sufficient
to
allow
the
4
authority
to
adequately
determine
the
financing
that
will
be
5
utilized
for
the
project,
and
the
amount
of
the
qualifying
new
6
investment.
7
(4)
Any
other
information
deemed
necessary
by
the
authority
8
to
evaluate
the
eligibility
and
financial
need
of
the
child
9
care
facility
project
under
the
program.
10
2.
Application
review
——
tax
incentive
award.
11
a.
All
completed
applications
shall
be
reviewed
and
scored
12
on
a
competitive
basis
by
the
authority
pursuant
to
rules
13
adopted
by
the
authority.
14
b.
Upon
review
and
scoring
of
all
applications
received
15
during
an
application
period,
the
authority
may
make
a
tax
16
incentive
award
to
a
child
care
facility
project,
which
tax
17
incentive
award
shall
represent
the
maximum
amount
of
tax
18
incentives
the
child
care
facility
project
may
qualify
for
19
under
the
program.
In
determining
a
tax
incentive
award,
the
20
authority
shall
not
use
an
amount
of
project
costs
that
exceeds
21
the
amount
included
in
the
application
of
the
developer.
Tax
22
incentive
awards
shall
be
approved
by
the
director
of
the
23
authority.
24
c.
After
making
a
tax
incentive
award,
the
authority
25
shall
notify
the
developer
of
its
tax
incentive
award.
The
26
notification
shall
include
the
amount
of
tax
incentives
under
27
section
15.365
for
which
the
developer
has
received
an
award
28
and
a
statement
that
the
developer
has
no
right
to
receive
29
a
tax
incentive
certificate
or
claim
a
tax
incentive
until
30
all
requirements
of
the
program,
including
all
requirements
31
imposed
by
the
agreement
entered
into
pursuant
to
subsection
32
3,
are
satisfied.
The
amount
of
tax
credits
included
on
a
tax
33
credit
certificate
issued
pursuant
to
this
section,
or
a
claim
34
for
refund
of
sales
and
use
taxes,
shall
be
contingent
upon
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completion
of
all
requirements
in
subsection
3.
1
d.
An
applicant
that
does
not
receive
a
tax
incentive
award
2
during
an
application
period
may
make
additional
applications
3
during
subsequent
application
periods.
Such
applicant
shall
be
4
required
to
submit
a
new
application
and
shall
be
competitively
5
reviewed
and
scored
in
the
same
manner
as
other
applicants
in
6
that
application
period.
7
3.
Agreement
and
fees.
8
a.
Upon
receipt
of
a
tax
incentive
award
by
the
child
care
9
facility
project,
the
developer
shall
enter
into
an
agreement
10
with
the
authority
for
the
successful
completion
of
all
11
requirements
of
the
program.
The
agreement
shall
identify
the
12
tax
incentive
award
amount,
the
tax
incentive
award
date,
the
13
project
completion
deadline,
and
the
total
costs
of
the
child
14
care
facility
project.
15
b.
The
compliance
cost
fees
imposed
in
section
15.330,
16
subsection
12,
shall
apply
to
all
agreements
entered
into
17
under
this
program
and
shall
be
collected
by
the
authority
in
18
the
same
manner
and
to
the
same
extent
as
described
in
that
19
subsection.
20
c.
(1)
Except
as
provided
in
subparagraph
(2),
a
developer
21
shall
complete
its
child
care
facility
project
within
three
22
years
from
the
date
the
project
is
registered
by
the
authority.
23
(2)
The
authority
may
for
good
cause
within
the
discretion
24
of
the
authority
extend
a
child
care
facility
project’s
25
completion
deadline
once
by
up
to
twelve
months
upon
26
application
by
the
developer,
which
application
shall
be
made
27
prior
to
the
expiration
of
the
three-year
completion
deadline
28
in
subparagraph
(1)
in
the
manner
and
form
prescribed
by
the
29
authority.
30
d.
Upon
completion
of
a
project,
an
examination
of
the
31
project
in
accordance
with
the
American
institute
of
certified
32
public
accountants’
statements
on
standards
for
attestation
33
engagements,
completed
by
a
certified
public
accountant
34
authorized
to
practice
in
this
state,
shall
be
submitted
to
the
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authority.
1
e.
Upon
review
of
the
examination
and
verification
of
the
2
amount
of
the
qualifying
new
investment,
the
authority
may
3
notify
the
developer
of
the
amount
that
the
developer
may
claim
4
as
a
refund
of
the
sales
and
use
tax
under
section
15.365,
5
subsection
2,
and
may
issue
a
tax
credit
certificate
to
the
6
developer
stating
the
amount
of
workforce
child
care
facility
7
tax
credits
under
section
15.365,
subsection
3,
the
developer
8
may
claim.
The
sum
of
the
amount
that
the
developer
may
claim
9
as
a
refund
of
the
sales
and
use
tax
and
the
amount
of
the
10
tax
credit
certificate
shall
not
exceed
the
amount
of
the
tax
11
incentive
award.
12
f.
(1)
If
the
authority
determines
the
developer
to
be
in
13
default
under
the
agreement,
the
authority
shall
revoke
the
tax
14
incentive
award,
and
shall
not
issue
a
tax
credit
certificate.
15
The
developer
shall
not
be
allowed
a
refund
of
sales
and
use
16
tax
under
section
15.365,
subsection
2.
17
(2)
The
authority
shall
adopt
rules
pursuant
to
chapter
17A
18
to
specify
what
constitutes
a
default
of
the
agreement.
19
4.
Maximum
tax
incentives
amount.
20
a.
For
fiscal
years
beginning
on
or
after
July
1,
2022,
the
21
authority
shall
not
award
in
any
fiscal
year
an
amount
of
tax
22
incentives
for
child
care
facility
projects
in
excess
of
three
23
million
dollars
in
the
aggregate.
24
b.
(1)
Of
the
maximum
tax
incentive
amounts
available
each
25
fiscal
year
in
paragraph
“a”
,
sixty
percent
shall
be
awarded
to
26
small
cities.
27
(2)
If
by
May
1
of
a
calendar
year
the
entire
sixty
28
percent
of
the
reserved
tax
credits
is
not
distributed,
the
29
remaining
tax
credits
shall
be
available
to
any
other
eligible
30
applicants.
31
Sec.
5.
NEW
SECTION
.
15.365
Workforce
child
care
facility
32
tax
incentives.
33
1.
A
developer
that
has
entered
into
an
agreement
pursuant
34
to
section
15.364
is
eligible
to
receive
the
tax
incentives
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described
in
subsections
2
and
3,
not
to
exceed
two
hundred
1
thousand
dollars
in
the
aggregate
per
child
care
facility
2
project.
3
2.
A
developer
may
claim
a
refund
of
the
sales
and
use
4
taxes
paid
under
chapter
423
that
are
directly
related
to
a
5
child
care
facility
project
and
specified
in
the
agreement.
6
The
refund
available
pursuant
to
this
subsection
shall
be
as
7
provided
in
section
15.331A,
excluding
subsection
2,
paragraph
8
“c”
,
of
that
section.
For
purposes
of
the
program,
the
term
9
“project
completion”
,
as
used
in
section
15.331A,
shall
mean
the
10
date
on
which
the
authority
notifies
the
department
of
revenue
11
that
all
applicable
requirements
of
an
agreement
entered
into
12
pursuant
to
section
15.364
are
satisfied.
13
3.
a.
A
developer
may
claim
a
tax
credit
in
an
amount
not
14
to
exceed
the
following:
15
(1)
For
a
child
care
facility
project
not
located
in
a
small
16
city,
ten
percent
of
the
qualifying
new
investment
of
a
child
17
care
facility
project
specified
in
the
agreement.
18
(2)
For
a
child
care
facility
project
located
in
a
small
19
city,
twenty
percent
of
the
qualifying
new
investment
of
a
20
child
care
facility
project
specified
in
the
agreement.
21
b.
The
tax
credit
shall
be
allowed
against
the
taxes
imposed
22
in
chapter
422,
subchapters
II,
III,
and
V,
and
in
chapter
23
432,
and
against
the
moneys
and
credits
tax
imposed
in
section
24
533.329.
25
c.
An
individual
may
claim
a
tax
credit
under
this
26
subsection
of
a
partnership,
limited
liability
company,
27
S
corporation,
estate,
or
trust
electing
to
have
income
28
taxed
directly
to
the
individual.
The
amount
claimed
by
the
29
individual
shall
be
based
upon
the
pro
rata
share
of
the
30
individual’s
earnings
from
the
partnership,
limited
liability
31
company,
S
corporation,
estate,
or
trust.
32
d.
Any
tax
credit
in
excess
of
the
taxpayer’s
liability
33
for
the
tax
year
is
not
refundable
but
may
be
credited
to
the
34
tax
liability
for
the
following
five
years
or
until
depleted,
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whichever
is
earlier.
1
e.
(1)
To
claim
a
tax
credit
under
this
subsection,
a
2
taxpayer
shall
include
one
or
more
tax
credit
certificates
with
3
the
taxpayer’s
tax
return.
4
(2)
The
tax
credit
certificate
shall
contain
the
taxpayer’s
5
name,
address,
tax
identification
number,
the
amount
of
6
the
credit,
the
name
of
the
eligible
developer,
any
other
7
information
required
by
the
department
of
revenue,
and
a
place
8
for
the
name
and
tax
identification
number
of
a
transferee
and
9
the
amount
of
the
tax
credit
being
transferred.
10
(3)
The
tax
credit
certificate,
unless
rescinded
by
the
11
authority,
shall
be
accepted
by
the
department
of
revenue
as
12
payment
for
taxes
imposed
pursuant
to
chapter
422,
subchapters
13
II,
III,
and
V,
and
in
chapter
432,
and
for
the
moneys
and
14
credits
tax
imposed
in
section
533.329,
subject
to
any
15
conditions
or
restrictions
placed
by
the
authority
upon
16
the
face
of
the
tax
credit
certificate
and
subject
to
the
17
limitations
of
this
program.
18
(4)
Tax
credit
certificates
issued
under
section
15.364,
19
subsection
3,
paragraph
“e”
,
may
be
transferred
to
any
person.
20
Within
ninety
days
of
transfer,
the
transferee
shall
submit
the
21
transferred
tax
credit
certificate
to
the
department
of
revenue
22
along
with
a
statement
containing
the
transferee’s
name,
tax
23
identification
number,
and
address,
the
denomination
that
each
24
replacement
tax
credit
certificate
is
to
carry,
and
any
other
25
information
required
by
the
department
of
revenue.
However,
26
tax
credit
certificate
amounts
of
less
than
the
minimum
amount
27
established
by
rule
of
the
authority
shall
not
be
transferable.
28
(5)
Within
thirty
days
of
receiving
the
transferred
29
tax
credit
certificate
and
the
transferee’s
statement,
the
30
department
of
revenue
shall
issue
one
or
more
replacement
tax
31
credit
certificates
to
the
transferee.
Each
replacement
tax
32
credit
certificate
must
contain
the
information
required
for
33
the
original
tax
credit
certificate
and
must
have
the
same
34
expiration
date
that
appeared
on
the
transferred
tax
credit
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certificate.
1
(6)
A
tax
credit
shall
not
be
claimed
by
a
transferee
2
under
this
section
until
a
replacement
tax
credit
certificate
3
identifying
the
transferee
as
the
proper
holder
has
been
4
issued.
The
transferee
may
use
the
amount
of
the
tax
credit
5
transferred
against
the
taxes
imposed
in
chapter
422,
6
subchapters
II,
III,
and
V,
and
in
chapter
432,
and
against
the
7
moneys
and
credits
tax
imposed
in
section
533.329,
for
any
tax
8
year
the
original
transferor
could
have
claimed
the
tax
credit.
9
Any
consideration
received
for
the
transfer
of
the
tax
credit
10
shall
not
be
included
as
income
under
chapter
422,
subchapters
11
II,
III,
and
V.
Any
consideration
paid
for
the
transfer
of
the
12
tax
credit
shall
not
be
deducted
from
income
under
chapter
422,
13
subchapters
II,
III,
and
V.
14
f.
For
purposes
of
the
individual
and
corporate
income
15
taxes
and
the
franchise
tax,
the
increase
in
the
basis
of
the
16
property
that
would
otherwise
result
from
the
qualifying
new
17
investment
shall
be
reduced
by
the
amount
of
the
tax
credit
18
computed
under
this
subsection.
19
Sec.
6.
NEW
SECTION
.
422.12O
Workforce
child
care
facility
20
tax
credit.
21
The
taxes
imposed
under
this
subchapter,
less
the
credits
22
allowed
under
section
422.12,
shall
be
reduced
by
a
workforce
23
child
care
facility
tax
credit
received
pursuant
to
section
24
15.365.
25
Sec.
7.
Section
422.33,
Code
2021,
is
amended
by
adding
the
26
following
new
subsection:
27
NEW
SUBSECTION
.
31.
The
taxes
imposed
under
this
subchapter
28
shall
be
reduced
by
a
workforce
child
care
facility
tax
credit
29
received
pursuant
to
section
15.365.
30
Sec.
8.
Section
422.60,
Code
2021,
is
amended
by
adding
the
31
following
new
subsection:
32
NEW
SUBSECTION
.
14.
The
taxes
imposed
under
this
subchapter
33
shall
be
reduced
by
a
workforce
child
care
facility
tax
credit
34
received
pursuant
to
section
15.365.
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Sec.
9.
NEW
SECTION
.
432.12N
Workforce
child
care
facility
1
tax
credit.
2
The
taxes
imposed
under
this
chapter
shall
be
reduced
by
a
3
workforce
child
care
facility
tax
credit
received
pursuant
to
4
section
15.365.
5
Sec.
10.
Section
533.329,
subsection
2,
Code
2021,
is
6
amended
by
adding
the
following
new
paragraph:
7
NEW
PARAGRAPH
.
l.
The
moneys
and
credits
tax
imposed
8
under
this
section
shall
be
reduced
by
a
workforce
child
care
9
facility
tax
credit
received
pursuant
to
section
15.365.
10
Sec.
11.
APPLICABILITY.
This
Act
applies
to
tax
years
11
beginning
on
or
after
January
1,
2022,
for
qualifying
new
12
investment
costs
occurring
on
or
after
that
date.
13
EXPLANATION
14
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
15
the
explanation’s
substance
by
the
members
of
the
general
assembly.
16
This
bill
creates
a
workforce
child
care
facility
incentives
17
program
(program)
that
will
be
administered
by
the
economic
18
development
authority
(EDA)
and
that
will
provide
tax
19
incentives
to
developers
that
complete
child
care
facility
20
projects
in
the
state.
A
“developer”
is
defined
in
the
bill.
21
In
order
to
qualify
for
the
tax
incentives
under
the
program,
a
22
child
care
facility
project
must
meet
certain
requirements.
23
First,
the
project
includes
at
least
one
of
the
following:
24
the
construction
of
a
new
structure
to
be
used
as
a
child
care
25
facility;
or
the
rehabilitation,
repair,
or
redevelopment
of
26
an
existing
structure
to
be
used
as
a
child
care
facility.
27
Second,
the
child
care
facility,
when
completed,
meets
all
28
applicable
safety
standards
under
Code
chapter
237A.
29
A
developer
seeking
tax
incentives
for
a
child
care
facility
30
project
under
the
bill
is
required
to
apply
to
the
EDA.
The
31
application
must
include
a
resolution
in
support
of
the
child
32
care
facility
project
by
the
community
where
the
project
will
33
be
located,
except
in
situations
where
the
child
care
facility
34
will
be
exclusively
used
by
the
employees
of
a
business,
and
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include
documentation
of
local
matching
funds
in
an
amount
1
equal
to
at
least
$50,000,
or
in
the
case
of
a
small
city
in
an
2
amount
equal
to
at
least
$25,000,
and
other
information
for
the
3
EDA
to
evaluate
the
eligibility
and
financial
need
of
the
child
4
care
facility
project
under
the
program.
The
bill
defines
5
“small
city”
to
mean
any
city
or
township
located
in
this
6
state,
except
those
located
wholly
within
one
or
more
of
the
11
7
most
populous
counties
in
the
state,
as
determined
by
the
most
8
recent
population
estimates
issued
by
the
United
States
bureau
9
of
the
census.
10
The
bill
requires
the
EDA
to
review
and
score
each
11
application
on
a
competitive
basis
based
upon
the
rules
of
the
12
EDA.
The
EDA
is
required
to
notify
a
developer
of
a
successful
13
application
and
the
amount
of
tax
incentives
for
which
the
EDA
14
preliminarily
determines
it
qualifies
for
under
the
bill.
A
15
developer
is
then
required
to
enter
into
an
agreement
with
the
16
EDA
for
the
successful
completion
of
its
child
care
facility
17
project
within
three
years
from
the
date
it
was
registered
by
18
the
EDA.
The
bill
also
assesses
a
compliance
cost
fee
in
the
19
amount
of
$500.
20
If
the
EDA
determines
the
developer
to
be
in
default
under
21
the
agreement,
the
bill
requires
the
EDA
to
revoke
the
tax
22
incentive
award,
and
to
not
issue
the
tax
credit
certificate
or
23
a
sales
and
use
tax
refund.
The
bill
requires
the
EDA
to
adopt
24
rules
pursuant
to
Code
chapter
17A
to
specify
what
constitutes
25
a
default
of
the
agreement.
26
Upon
completion
of
a
child
care
facility
project,
the
27
bill
requires
the
developer
to
have
its
project
audited
by
28
an
independent
certified
public
accountant
licensed
in
this
29
state.
The
EDA
will
then
review
the
audit,
verify
the
amount
30
of
workforce
child
care
facility
tax
credits
the
developer
may
31
claim,
and
issue
a
tax
credit
certificate
for
that
amount.
32
The
bill
limits
the
amount
of
tax
incentives
for
child
care
33
facility
projects
at
$3
million
in
the
aggregate
per
fiscal
34
year.
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The
bill
specifies
that
of
the
maximum
tax
incentive
amounts
1
available
each
fiscal
year,
60
percent
shall
be
awarded
to
2
small
cities.
If
the
amount
of
tax
credits
reserved
for
small
3
cities
has
not
been
distributed
by
May
1
of
any
calendar
year,
4
the
remaining
reserved
tax
credits
shall
be
available
to
any
5
other
eligible
applicants.
6
The
maximum
amount
of
tax
incentives
that
may
be
awarded
by
7
the
EDA
to
a
developer
for
a
child
care
facility
project
shall
8
not
exceed
$200,000.
9
The
bill
provides
two
different
tax
incentives.
The
first
10
is
a
refund
of
the
sales
and
use
taxes
paid
that
are
directly
11
related
to
the
child
care
facility
project.
The
second
is
12
a
workforce
child
care
facility
investment
tax
credit
in
13
an
amount
not
to
exceed
20
percent
of
the
qualifying
new
14
investment
of
the
child
care
facility
project
in
a
small
15
city,
and
10
percent
of
the
qualifying
new
investment
of
the
16
child
care
facility
project
in
any
other
area.
“Qualifying
17
new
investment”
means
the
costs
directly
related
to
the
18
construction,
repair,
rehabilitation,
or
redevelopment
of
the
19
child
care
facility.
20
The
workforce
child
care
facility
investment
tax
credit
may
21
be
claimed
against
the
individual
income
tax,
the
corporate
22
income
tax,
the
franchise
tax,
the
insurance
companies
tax,
and
23
the
moneys
and
credits
tax.
To
claim
a
tax
credit,
a
taxpayer
24
must
include
a
tax
credit
certificate
with
the
taxpayer’s
25
tax
return.
The
credit
is
nonrefundable
but
may
be
credited
26
to
the
tax
liability
for
five
years.
The
tax
credit
may
be
27
transferred
to
any
person
or
entity,
and
the
bill
establishes
28
procedures
for
the
proper
transfer
of
the
tax
credit.
For
29
purposes
of
the
individual
and
corporate
income
taxes
and
the
30
franchise
tax,
when
the
tax
basis
of
property
is
increased
as
31
a
result
of
qualifying
new
investment,
that
tax
basis
shall
32
be
reduced
by
the
amount
of
the
workforce
child
care
facility
33
investment
tax
credit
issued
under
the
program.
34
The
bill
applies
to
tax
years
beginning
on
or
after
January
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