2001 Legislation
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HOUSE BILL NO. 275 – Income tax, rebate, credits

HOUSE BILL NO. 275

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H0275aaS............................................by REVENUE AND TAXATION
INCOME TAX - Amends, repeals and adds to existing law to reduce the
individual income tax rates for taxable year 2001 and 2002 and thereafter;
to provide for rebates of 10.6% of the 1999 income tax paid by individuals,
subject to a $25.00 minimum and $25,000 maximum; to increase the grocery
tax credit for individuals; to increase the capital gains deduction; to
permanently reduce the corporate income tax rate by 0.3%; to provide five
new or expanded income tax credits for research and development
expenditures, creation of new jobs, providing new venture capital,
installing broadband communications equipment, and investing in counties
with high unemployment or low personal income; to change the child care
deduction to a credit equal to one-half the federal credit; to permanently
increase credit for caring for a dependent over 65 years of age or caring
for a person who is developmentally disabled from $100 to $500; to provide
for a capital gains deduction for qualifying taxpayers; to provide income
tax credits for personal property taxes; to provide for treatment of a
General Fund surplus; and to provide an income tax credit for up to two
children under the age of sixty months who are being cared for in their
home by their parent.
                                                                        
02/15    House intro - 1st rdg - to printing
02/16    Rpt prt - to 2nd rdg
02/19    2nd rdg - to 3rd rdg
02/20    3rd rdg - PASSED - 54-14-2
      AYES -- Barraclough, Barrett, Bedke, Bell, Bolz, Bradford, Bruneel,
      Callister, Campbell, Clark, Collins, Crow, Cuddy, Deal, Denney,
      Ellis, Ellsworth, Eskridge, Field(13), Field(20), Gagner, Gould,
      Hadley, Hammond, Harwood, Higgins, Hornbeck, Kellogg, Kendell, Kunz,
      Lake, Langford, Mader, McKague, Meyer, Montgomery, Mortensen, Moss,
      Moyle, Pearce, Pischner, Pomeroy, Raybould, Sali, Schaefer, Sellman,
      Smith, Stevenson, Swan, Tilman, Wheeler, Wood, Young, Mr. Speaker
      NAYS -- Bieter, Black, Boe, Chase, Henbest, Jaquet, Jones,
      Loertscher, Marley, Robison, Shepherd, Smylie, Stone, Trail
      Absent and excused -- Ridinger, Roberts
    Floor Sponsor -- Crow
    Title apvd - to Senate
02/21    Senate intro - 1st rdg - to Loc Gov
03/08    Rpt out - to 14th Ord
03/22    Rpt out amen - to 1st rdg as amen
    1st rdg - to 2nd rdg as amen
03/23    2nd rdg - to 3rd rdg as amen
    3rd rdg as amen - PASSED - 34-1-0
      AYES -- Andreason, Boatright, Branch, Brandt, Bunderson, Burtenshaw,
      Cameron, Danielson, Darrington, Davis, Deide, Dunklin, Frasure,
      Geddes, Goedde, Hawkins, Ingram, Ipsen, Keough, King-Barrutia, Lee,
      Lodge, Noh, Richardson, Risch, Sandy, Schroeder, Sims, Sorensen,
      Stegner, Stennett, Thorne, Wheeler, Williams,
      NAYS -- Whitworth
      Absent and excused -- None
    Floor Sponsor --Thorne
    Title apvd - to House
03/26    House NOT concurred in Senate amens
    To Office of the Chief Clerk

Bill Text


                                                                        
                                                                        
  ||||              LEGISLATURE OF THE STATE OF IDAHO             ||||
 Fifty-sixth Legislature                  First Regular Session - 2001
                                                                        
                                                                        
                              IN THE HOUSE OF REPRESENTATIVES
                                                                        
                                     HOUSE BILL NO. 275
                                                                        
                             BY REVENUE AND TAXATION COMMITTEE
                                                                        
  1                                        AN ACT
  2    RELATING TO INCOME TAX RELIEF; AMENDING SECTION 63-3024, IDAHO CODE,  TO  PRO-
  3        VIDE  FOR A REDUCTION IN RATES FOR TAXABLE YEAR 2001 AND TO PROVIDE FOR AN
  4        ADDITIONAL REDUCTION IN RATES FOR TAXABLE YEAR 2002 AND THEREAFTER; AMEND-
  5        ING CHAPTER 30, TITLE 63, IDAHO CODE, BY THE ADDITION  OF  A  NEW  SECTION
  6        63-3081, IDAHO CODE, TO PROVIDE A REBATE OF INCOME TAXES PAID BY INDIVIDU-
  7        ALS  FOR  TAXABLE  YEARS  BEGINNING  IN 1999, TO DETERMINE THE RATE OF THE
  8        REBATE, TO SET MAXIMUM AND MINIMUM  AMOUNTS,  TO  PROVIDE  PROCEDURES,  TO
  9        APPROPRIATE MONEYS AND TO AUTHORIZE CONTRACTS; REPEALING SECTION 63-3022D,
 10        IDAHO  CODE; AMENDING SECTION 63-3022E, IDAHO CODE, TO INCREASE THE DEDUC-
 11        TION FOR DEPENDENTS SIXTY-FIVE YEARS OF  AGE  OR  OLDER  OR  PERSONS  WITH
 12        DEVELOPMENTAL DISABILITIES FROM ONE THOUSAND DOLLARS TO FIVE THOUSAND DOL-
 13        LARS;  AMENDING  SECTION  63-3022H,  IDAHO CODE, TO INCREASE THE DEDUCTION
 14        ALLOWED FOR QUALIFIED CAPITAL GAINS AND TO ADD CERTAIN INVESTMENTS HELD BY
 15        IDAHO PRIVATE VENTURE CAPITAL COMPANIES FOR A PERIOD OF THREE YEARS TO THE
 16        PROPERTY QUALIFYING FOR THE CAPITAL GAINS DEDUCTION AND TO MAKE  TECHNICAL
 17        CORRECTIONS; AMENDING SECTION 63-3024A, IDAHO CODE, TO INCREASE THE INCOME
 18        TAX  CREDIT FOR SALES TAXES PAID BY INDIVIDUALS AND TO MAKE TECHNICAL COR-
 19        RECTIONS; AMENDING SECTION 63-3025, IDAHO CODE, TO  REDUCE  THE  CORPORATE
 20        INCOME  TAX  RATE FROM EIGHT TO SEVEN AND SEVEN-TENTHS PERCENT FOR TAXABLE
 21        YEAR 2001 AND TO SEVEN AND FIVE-TENTHS PERCENT FOR TAXABLE YEAR  2002  AND
 22        THEREAFTER; AMENDING SECTION 63-3025A, IDAHO CODE, TO REDUCE THE CORPORATE
 23        FRANCHISE  TAX RATE FROM EIGHT PERCENT TO THE RATE OF THE CORPORATE INCOME
 24        TAX AND TO MAKE TECHNICAL CORRECTIONS; AMENDING  SECTION  63-3025D,  IDAHO
 25        CODE,  TO  INCREASE  THE PAYMENT FOR DEPENDENTS SIXTY-FIVE YEARS OF AGE OR
 26        OLDER OR PERSONS WITH DEVELOPMENTAL DISABILITIES FROM ONE HUNDRED  DOLLARS
 27        TO  FIVE HUNDRED DOLLARS AND TO MAKE A TECHNICAL CORRECTION; AMENDING SEC-
 28        TION 63-3029B, IDAHO CODE, TO PROVIDE THAT TAXPAYERS  MAKING  EXPENDITURES
 29        FOR QUALIFIED BROADBAND EQUIPMENT ARE ENTITLED TO THE CREDIT AND TO REVISE
 30        PROCEDURES  FOR RECAPTURE;  AMENDING SECTIONS 63-3029E AND 63-3029F, IDAHO
 31        CODE, TO EXPAND THE NEW JOBS CREDIT BY REMOVING THE LIMITATION OF QUALIFY-
 32        ING TAXPAYERS TO REVENUE-PRODUCING ENTERPRISE CREATING VALUE-ADDED NATURAL
 33        RESOURCE PRODUCTS;  AMENDING CHAPTER 30, TITLE  63,  IDAHO  CODE,  BY  THE
 34        ADDITION  OF  A NEW SECTION 63-3029G, IDAHO CODE, TO PROVIDE AN INCOME TAX
 35        CREDIT FOR CERTAIN EXPENDITURES RELATING TO RESEARCH ACTIVITIES  CONDUCTED
 36        IN  IDAHO,  TO PROVIDE A SUNSET, TO PROVIDE A CARRYOVER OF UNUSED CREDITS,
 37        TO  PROVIDE  DEFINITIONS  AND  TO  PROVIDE  PROCEDURES;  AMENDING  SECTION
 38        63-3029H, IDAHO CODE, TO REDESIGNATE THE  SECTION;  AMENDING  CHAPTER  30,
 39        TITLE  63,  IDAHO  CODE, BY THE ADDITION OF  A NEW SECTION 63-3029H, IDAHO
 40        CODE, TO PROVIDE A CREDIT FOR EXPENSES FOR HOUSEHOLD AND  DEPENDENT  CARE;
 41        AMENDING  CHAPTER 30, TITLE 63, IDAHO CODE, BY THE ADDITION OF  A NEW SEC-
 42        TION 63-3029I, IDAHO CODE, TO PROVIDE AN INCOME  TAX  CREDIT  FOR  CERTAIN
 43        EXPENDITURES  RELATING  TO  HIGH  SPEED BROADBAND COMMUNICATIONS ACCESS IN
 44        IDAHO, TO PROVIDE A SUNSET, TO PROVIDE A CARRYOVER OF UNUSED  CREDITS,  TO
 45        PROVIDE  DEFINITIONS AND TO PROVIDE PROCEDURES; AMENDING CHAPTER 30, TITLE
 46        63, IDAHO CODE, BY THE ADDITION OF A NEW SECTION 63-3029J, IDAHO CODE,  TO
                                                                        
                                           2
                                                                        
  1        PROVIDE  AN INCOME TAX CREDIT FOR CERTAIN EXPENDITURES RELATING TO INVEST-
  2        MENT IN AREAS IN IDAHO WITH HIGH UNEMPLOYMENT OR LOW  PERSONAL  INCOME  AT
  3        THE  ELECTION OF THE TAXPAYER, TO PROVIDE A SUNSET, TO PROVIDE A CARRYOVER
  4        OF UNUSED CREDITS, TO  PROVIDE  DEFINITIONS  AND  TO  PROVIDE  PROCEDURES;
  5        AMENDING  CHAPTER  30, TITLE 63, IDAHO CODE, BY THE ADDITION OF A NEW SEC-
  6        TION 63-3029K, IDAHO CODE, TO PROVIDE A TEN PERCENT INCOME TAX CREDIT  FOR
  7        INVESTMENTS  IN IDAHO PRIVATE VENTURE CAPITAL COMPANIES, TO PROVIDE A SUN-
  8        SET, TO PROVIDE A CARRYOVER OF UNUSED CREDITS, TO PROVIDE DEFINITIONS  AND
  9        TO  PROVIDE  PROCEDURES;  REPEALING  SECTIONS 63-3029E AND 63-3029F, IDAHO
 10        CODE; AMENDING CHAPTER 30, TITLE 63, IDAHO CODE, BY THE ADDITION OF A  NEW
 11        SECTION  63-3029E,  IDAHO CODE, TO PROVIDE DEFINITIONS AND CONSTRUCTION OF
 12        TERMS; AMENDING CHAPTER 30, TITLE 63, IDAHO CODE, BY THE ADDITION OF A NEW
 13        SECTION 63-3029F, IDAHO CODE, TO PROVIDE SPECIAL CREDITS TO THE INCOME TAX
 14        FOR NEW EMPLOYEES FOR AN ENTERPRISE THAT PRODUCES,  ASSEMBLES,  FABRICATES
 15        OR  PROCESSES  NATURAL  RESOURCE  PRODUCTS; AMENDING CHAPTER 30, TITLE 63,
 16        IDAHO CODE, BY THE ADDITION OF A NEW SECTION 63-3022Q, IDAHO CODE, TO PRO-
 17        VIDE FOR A DEDUCTION OF CAPITAL GAINS FOR QUALIFYING TAXPAYERS, TO PROVIDE
 18        LIMITATION, TO DEFINE TERMS AND TO PROVIDE  PROCEDURES;  AMENDING  CHAPTER
 19        30, TITLE 63, IDAHO CODE, BY THE ADDITION OF A NEW SECTION 63-3024D, IDAHO
 20        CODE,  TO PROVIDE FOR STATE INCOME TAX CREDITS FOR THE PAYMENT OF PERSONAL
 21        PROPERTY TAXES BY CERTAIN TAXPAYERS DURING TAX YEAR  2001,  TO  PROVIDE  A
 22        DEFINITION OF "AGRICULTURAL MACHINERY AND EQUIPMENT", TO PROVIDE THE MAXI-
 23        MUM  AMOUNT  OF THE CREDIT AND TO PROVIDE PROCEDURES; AMENDING CHAPTER 35,
 24        TITLE 67, IDAHO CODE, BY THE ADDITION OF  A  NEW  SECTION  67-3529,  IDAHO
 25        CODE,  TO  PROVIDE  FOR TREATMENT OF A GENERAL FUND SURPLUS AND TO PROVIDE
 26        FOR REMITTANCE OF CERTAIN MONEYS TO THE STATE REFUND FUND AND  TO  PROVIDE
 27        FOR  REMITTANCE TO THE GENERAL FUND; AMENDING SECTION 63-3067, IDAHO CODE,
 28        TO PROVIDE THAT MONEYS IN THE STATE REFUND FUND MAY BE USED  FOR  REPAYING
 29        TAXPAYERS  FOR  CERTAIN PERSONAL PROPERTY TAXES PAID AND TO MAKE TECHNICAL
 30        CORRECTIONS; AMENDING CHAPTER 30, TITLE 63, IDAHO CODE, BY THE ADDITION OF
 31        A NEW SECTION 63-3029L, IDAHO CODE, TO PROVIDE AN INCOME  TAX  CREDIT  FOR
 32        EACH QUALIFIED CHILD, FOR UP TO TWO QUALIFYING CHILDREN, CARED FOR AT HOME
 33        BY  HIS OWN PARENT; PROVIDING FOR NONSEVERABILITY OF CERTAIN PROVISIONS OF
 34        THIS ACT; DECLARING AN EMERGENCY, PROVIDING  RETROACTIVE  APPLICATION  FOR
 35        CERTAIN PROVISIONS OF THIS ACT AND PROVIDING EFFECTIVE DATES.
                                                                        
 36    Be It Enacted by the Legislature of the State of Idaho:
                                                                        
 37        SECTION  1.  That  Section 63-3024, Idaho Code, be, and the same is hereby
 38    amended to read as follows:
                                                                        
 39        63-3024.  INDIVIDUALS' TAX AND TAX ON ESTATES AND TRUSTS. For taxable year
 40    20001, a tax measured by Idaho taxable income as defined in  this  chapter  is
 41    hereby  imposed upon every individual, trust, or estate required by this chap-
 42    ter to file a return.
 43        (a)  (i)  The tax imposed upon individuals, trusts and  estates  shall  be
 44    computed at the following rates:
 45    When Idaho taxable income is:    The rate is:
 46    Less than $1,000                 One and nine eight-tenths percent (1.98%)
 47    $1,000 but less than $2,000      $198, plus  three and nine eight-tenths
 48                                     percent (3.98%) of the amount over $1,000
 49    $2,000 but less than $3,000      $586, plus four and  four three-tenths
 50                                     percent (4.43%) of the amount over $2,000
 51    $3,000 but less than $4,000      $10299, plus five and  four three-tenths
 52                                     percent (5.43%) of the amount over $3,000
                                                                        
                                           3
                                                                        
  1    $4,000 but less than $5,000      $1562, plus six and  four three-tenths
  2                                     percent (6.43%) of the amount over $4,000
  3    $5,000 but less than $7,500      $22015, plus seven
  4                                      and  four three-tenths
  5                                     percent (7.43%) of the amount over $5,000
  6    $7,500 but less than $20,000     $405397.50, plus
  7                                      seven and seven six-tenths
  8                                     percent (7.76%) of the amount over $7,500
  9    Over $20,000                     $1,3647.50, plus eight and one-tenth
 10                                     percent (8.10%) of the amount over $20,000
 11        (ii) For  taxable  year 20012 and each taxable year thereafter, a tax mea-
 12    sured by Idaho taxable income as defined in this  chapter  is  hereby  imposed
 13    upon  every  individual,  trust,  or estate required by this chapter to file a
 14    return.
 15    The tax imposed upon individuals, trusts and estates shall be computed at  the
 16    following rates:
 17    When Idaho taxable income is:    The rate is:
 18    Less than $1,000                 Two percent (2.0%)
 19    $1,000 but less than $2,000      $20, plus four percent (4.0%)
 20                                     of the amount over $1,000
 21    $2,000 but less than $3,000      $60, plus four and one-half percent
 22                                     (4.5%) of the amount over $2,000
 23    $3,000 but less than $4,000      $105, plus five and one-half percent
 24                                     (5.5%) of the amount over $3,000
 25    $4,000 but less than $5,000      $160, plus six and one-half percent
 26                                     (6.5%) of the amount over $4,000
 27    $5,000 but less than $7,500      $225, plus seven and one-half percent
 28                                     (7.5%) of the amount over $5,000
 29    $7,500 but less than $20,000     $412.50, plus seven and eight-tenths percent
 30                                     (7.8%) of the amount over $7,500
 31    Over $20,000                     $1,387.50, plus eight and two-tenths percent
 32                                     (8.2%) of the amount over $20,000
 33    Less than $1,000                 One and five-tenths percent (1.5%)
 34    $1,000 but less than $2,000      $15, plus three and five-tenths percent
 35                                     (3.5%) of the amount over $1,000
 36    $2,000 but less than $3,000      $50, plus four percent
 37                                     (4.0%) of the amount over $2,000
 38    $3,000 but less than $4,000      $90, plus five percent
 39                                     (5.0%) of the amount over $3,000
 40    $4,000 but less than $5,000      $140, plus six percent
 41                                     (6.0%) of the amount over $4,000
 42    $5,000 but less than $7,500      $200, plus seven percent
 43                                     (7.0%) of the amount over $5,000
 44    $7,500 but less than $20,000     $375, plus seven and three-tenths percent
 45                                     (7.3%) of the amount over $7,500
 46    Over $20,000                     $1,287.50, plus seven and seven-tenths percent
 47                                     (7.7%) of the amount over $20,000
 48        For  taxable  year 2000 and each year thereafter, the state tax commission
 49    shall prescribe a factor which shall be used to compute the Idaho  income  tax
 50    brackets provided in  subsections (a)(i) and (a)(ii) of this section. The fac-
 51    tor  shall  provide  an adjustment to the Idaho tax brackets so that inflation
 52    will not result in a tax increase. The Idaho tax brackets shall be adjusted as
 53    follows: multiply the bracket amounts by the percentage  (the  consumer  price
 54    index  for  the calendar year immediately preceding the calendar year to which
 55    the adjusted brackets will apply divided by the consumer price index for  cal-
                                                                        
                                           4
                                                                        
  1    endar  year  1998).  For  the  purpose of this computation, the consumer price
  2    index for any calendar year is the average of the consumer price index  as  of
  3    the close of the twelve (12) month period for the immediately preceding calen-
  4    dar year as adopted by the state tax commission. This adoption shall be exempt
  5    from  the  provisions  of chapter 52, title 67, Idaho Code. The consumer price
  6    index shall mean the consumer price index for all U.S.  urban  consumers  pub-
  7    lished  by  the  United  States  department of labor. The state tax commission
  8    shall annually include the factor as provided in this subsection  to  multiply
  9    against  Idaho  taxable  income in the brackets above to arrive at that year's
 10    taxable income for tax bracket purposes.
 11        (b)  In case a joint return is filed by husband and wife pursuant  to  the
 12    provisions  of  section  63-3031,  Idaho Code, the tax imposed by this section
 13    shall be twice the tax which would be imposed on one-half (1/2) of the  aggre-
 14    gate  Idaho  taxable  income.  For the purposes of this section, a return of a
 15    surviving spouse, as defined in section 2(a) of the Internal Revenue Code, and
 16    a head of household, as defined in section 2(b) of the Internal Revenue  Code,
 17    shall  be treated as a joint return and the tax imposed shall be twice the tax
 18    which would be imposed on one-half (1/2) of the Idaho taxable income.
 19        (c)  The state tax commission shall compute and publish Idaho  income  tax
 20    liability  for  taxpayers  at  the  midpoint  of each bracket of Idaho taxable
 21    income in fifty dollar ($50.00) steps to  fifty  thousand  dollars  ($50,000),
 22    rounding  such  calculations  to  the  nearest dollar. Taxpayers having income
 23    within such brackets shall file returns based upon and pay taxes according  to
 24    the schedule thus established. The state tax commission shall promulgate rules
 25    defining the conditions upon which such returns shall be filed.
                                                                        
 26        SECTION  2.  That  Chapter  30,  Title 63, Idaho Code, be, and the same is
 27    hereby amended by the addition thereto of a NEW SECTION, to be known and  des-
 28    ignated as Section 63-3081, Idaho Code, and to read as follows:
                                                                        
 29        63-3081.  REBATE  OF  INCOME  TAX.  (1) Subject to the limitations of this
 30    section, in regard to each individual income tax return required to  be  filed
 31    pursuant  to  section   63-3030, Idaho Code, and that is actually filed, for a
 32    twelve (12) month taxable year beginning in 1999 for which tax is  imposed  by
 33    section  63-3024,  Idaho Code, on at least one dollar ($1.00) of Idaho taxable
 34    income, the state tax commission shall, on a one-time  basis,  rebate  to  the
 35    taxpayer  named  on  the return the amount specified in subsection (2) of this
 36    section. In the case of a joint return, the rebate shall be paid to both  tax-
 37    payers jointly.
 38        (2)  (a)  The  rebate  provided by subsection (1) of this section shall be
 39        ten and six-tenths percent (10.6%) of the amount  of  tax  computed  under
 40        section 63-3024, Idaho Code, reduced by credits provided by:
 41             (i)   Section  63-3029, Idaho Code, relating to taxes paid to another
 42             state;
 43             (ii)  Sections 63-3029A and 63-3029C, Idaho Code, relating to certain
 44             charitable contributions;
 45             (iii) Section 63-3029B, Idaho Code, relating to capital investments;
 46             (iv)  Section 63-3029D, Idaho Code, relating to  qualified  equipment
 47             utilizing postconsumer waste or postindustrial waste.
 48        (b)  When  the  amount of a rebate payable under subsection (2)(a) of this
 49        section is less than twenty-five  dollars  ($25.00),  the  amount  of  the
 50        rebate  shall be twenty-five dollars ($25.00). When the amount of a rebate
 51        payable under subsection (2)(a) of this section is more than two  thousand
 52        five hundred dollars ($2,500), the amount of the rebate shall be two thou-
 53        sand  five hundred dollars ($2,500). In the case of married taxpayers fil-
                                                                        
                                           5
                                                                        
  1        ing separate returns, only one (1) minimum  or  maximum  rebate  shall  be
  2        paid.
  3        (3)  No  rebate  shall  be  paid  pursuant  to this section in regard to a
  4    return described in subsection (1) of this section if the return is not  filed
  5    within  three (3) years of the original due date of the return, without regard
  6    to extensions. In the event that the amount of  tax  due  on  a  return  filed
  7    within  the  time  required  by  this subsection is amended by the taxpayer or
  8    changed by the state tax commission the rebate provided by this section  shall
  9    be  adjusted  proportionally.  The  state  tax  commission may offset a rebate
 10    against taxes assessed the taxpayer but unpaid.
 11        (4)  In the case of a short period return, the rebates  provided  by  this
 12    section shall be reduced in proportion to the portion of calendar year 1999 to
 13    which the return applies.
 14        (5)  Except  as  provided  in this subsection, no application for a rebate
 15    provided in this section shall be required. The  state  tax  commission  shall
 16    cause  each  rebate  to  be mailed to the taxpayer or taxpayers at the address
 17    shown on the return, unless, as a result of a  more  recent  return,  a  newer
 18    address  is  shown  on  the commission's records. The state tax commission may
 19    provide a procedure by which rebates that are returned or undeliverable may be
 20    claimed.
 21        (6)  Any person aggrieved by any action of the  state  tax  commission  in
 22    regard  to the rebates provided in this section shall file a petition with the
 23    state tax commission in the manner provided in section  63-3045,  Idaho  Code.
 24    Such  a petition shall be subject to administrative and judicial review in the
 25    manner provided by sections 63-3045 through 63-3049, Idaho Code.
 26        (7)  Rebates authorized by this section  shall  be  paid  from  the  state
 27    refund  account  established  by  section  63-3067, Idaho Code, from which the
 28    amounts necessary to pay the rebates are hereby  appropriated.  In  the  event
 29    that,  at  the  time the rebates are paid, there is an insufficient balance in
 30    the state refund account, the state board of examiners,  upon  application  by
 31    the  state  tax  commission,  shall transfer sufficient funds from the general
 32    fund to make the rebate payments and any other refunds due  and  payable  from
 33    the state refund account.
 34        (8)  The  state tax commission, the state treasurer and the state control-
 35    ler may contract with a commercial bank for  some  or  all  of  the  services,
 36    including  issuing  payments,    relating to payment of the rebate provided in
 37    this section.
                                                                        
 38        SECTION 3.  That Section 63-3022D, Idaho Code, be, and the same is  hereby
 39    repealed.
                                                                        
 40        SECTION  4.  That Section 63-3022E, Idaho Code, be, and the same is hereby
 41    amended to read as follows:
                                                                        
 42        63-3022E.  HOUSEHOLD DEDUCTION FOR DEPENDENTS SIXTY-FIVE YEARS OF  AGE  OR
 43    OLDER  OR PERSONS WITH DEVELOPMENTAL DISABILITIES. (1) An additional deduction
 44    from taxable income shall be allowed in the case of an  individual  who  main-
 45    tains  a household, which includes as an immediate member of the family resid-
 46    ing in that household, one (1) or more individuals sixty-five  (65)  years  of
 47    age  or  older, or a person with developmental disabilities as defined in sub-
 48    section (5) of section 66-402, Idaho Code, regardless of the age of the person
 49    when such developmental disability appeared, each of whom receives  more  than
 50    one-half  (1/2)  of  his  or  her support for the year from the individual who
 51    maintains the household. The amount of the deduction shall be one  five  thou-
 52    sand  dollars  ($15,000)   for each individual sixty-five (65) years of age or
                                                                        
                                           6
                                                                        
  1    older or with developmental disabilities.
  2        (2)  There shall not be allowed more than three (3) deductions of one five
  3    thousand dollars ($15,000) under the provisions of this section on any one (1)
  4    return.
  5        (3)  No deductions shall be allowed under this section for  the  person(s)
  6    in whose name(s) the income tax return is filed except as set forth in subsec-
  7    tion (4) of this section.
  8        (4)  A  deduction  of one five thousand dollars ($15,000) shall be allowed
  9    under this section for a person with a developmental disability, as defined in
 10    subsection (5) of section 66-402, Idaho Code, who is filing his own return.
                                                                        
 11        SECTION 5.  That Section 63-3022H, Idaho Code, be, and the same is  hereby
 12    amended to read as follows:
                                                                        
 13        63-3022H.  DEDUCTION  OF  CAPITAL  GAINS.  (1)  If  an individual taxpayer
 14    reports a net capital gain in determining taxable income,  sixty  one  hundred
 15    percent (6100%) of the net capital gain from the sale or exchange of qualified
 16    property shall be a deduction in determining taxable income.
 17        (2)  The  deduction  provided  in this section is limited to the amount of
 18    the net capital gain from all property included in federal taxable income. Net
 19    capital gains treated as ordinary income by the iInternal  rRevenue  cCode  do
 20    not qualify for the deduction allowed in this section. The deduction otherwise
 21    allowable  under  this  section  shall be reduced by the amount of any federal
 22    capital gains deduction relating to such property, but not below zero.
 23        (3)  As used in this section  "qualified  property"  means  the  following
 24    property having an Idaho situs at the time of sale:
 25        (a)  Real property held at least eighteen (18) months;
 26        (b)  Tangible  personal  property  used  in Idaho for at least twelve (12)
 27        months by a revenue-producing enterprise;
 28        (c)  Cattle or horses held for breeding, draft, dairy or sporting purposes
 29        for at least twenty-four (24) months if more than one-half  (1/2)  of  the
 30        taxpayer's  gross  income  (as  defined  in section 61(a) of the iInternal
 31        rRevenue cCode) for the taxable year is from farming  or  ranching  opera-
 32        tions in Idaho;
 33        (d)  Breeding  livestock  other than cattle or horses held at least twelve
 34        (12) months if more than one-half (1/2) of the taxpayer's gross income (as
 35        defined in section 61(a) of the iInternal rRevenue cCode) for the  taxable
 36        year is from farming or ranching operations in Idaho;
 37        (e)  Timber grown in Idaho and held at least twenty-four (24) months;
 38        (f)  An  equity  interest held by an Idaho private venture capital company
 39        as defined in section 63-3029K, Idaho Code, including stock in a  corpora-
 40        tion,  interest in a partnership or membership in a limited liability com-
 41        pany, if:
 42             (i)   The Idaho private venture capital company or its investors have
 43             held the equity interest for at least three (3) years from  the  date
 44             of the original investment; and
 45             (ii)  The  equity interest is issued by a business enterprise that is
 46             headquartered and managed in Idaho whose business  activity  for  the
 47             entity's  three  (3)  taxable years immediately preceding the sale is
 48             entirely in Idaho or at least fifty percent (50%) in Idaho as  deter-
 49             mined  by  the  average  property  and  payroll factors under section
 50             63-3027, Idaho Code.
 51        (g)  In determining the period for which property subject to this  section
 52        has  been  held  by  a  taxpayer,  the  provisions  of section 1223 of the
 53        iInternal rRevenue cCode shall apply, except that when the holding  period
                                                                        
                                           7
                                                                        
  1        includes any period during which the taxpayer held property other than the
  2        property  sold,  all  property held during the holding period must qualify
  3        under this section.
  4        (4)  If an individual reports a capital gain from qualified property  from
  5    an  S  corporation  or  a partnership, a deduction shall be allowed under this
  6    section only to the extent the individual held his interest in the  income  of
  7    the  S  corporation or the partnership for the time required by subsection (3)
  8    of this section for the property sold.
  9        (5)  If an individual reports a capital gain from an estate, no  deduction
 10    shall be allowed under this section unless the holding period required in sub-
 11    section  (3) of this section was satisfied by the decedent, the estate, or the
 12    beneficiary, or a combination thereof.
 13        (6)  If an individual reports a capital gain from a  trust,  no  deduction
 14    shall be allowed under this section unless the holding period required in sub-
 15    section  (3)  of  this section was satisfied by the grantor, the trust, or the
 16    beneficiary, or a combination thereof.
 17        (7)  As used in this section "revenue-producing enterprise" means:
 18        (a)  The production, assembly, fabrication, manufacture, or processing  of
 19        any agricultural, mineral or manufactured product;
 20        (b)  The  storage,  warehousing, distribution, or sale at wholesale of any
 21        products of agriculture, mining or manufacturing;
 22        (c)  The feeding of livestock at a feedlot;
 23        (d)  The operation of laboratories or  other  facilities  for  scientific,
 24        agricultural,  animal  husbandry,  or industrial research, development, or
 25        testing.
                                                                        
 26        SECTION 6.  That Section 63-3024A, Idaho Code, be, and the same is  hereby
 27    amended to read as follows:
                                                                        
 28        63-3024A.  CREDITS  AND  REFUNDS. (a) Any resident individual not entitled
 29    to the credit allowed in subsection (b)(1), who is required to file by law and
 30    who has filed an Idaho income tax return, shall be allowed  a  credit  against
 31    taxes due under the Idaho income tax act equal to the amount of fifteen thirty
 32    dollars  ($1530.00)  for each personal exemption for which a deduction is per-
 33    mitted by section 151(b) and (c) of the Internal Revenue Code if  such  deduc-
 34    tion is claimed on the taxpayer's Idaho income tax return, and if the individ-
 35    ual  for whom the deduction is claimed is a resident of the state of Idaho. If
 36    taxes due are less than the total credit allowed, the taxpayer shall be paid a
 37    refund equal to the balance of the unused credit. If the credit or  refund  is
 38    not  claimed for the year for which the individual income tax return is filed,
 39    the right thereafter to claim such credit or refund shall  be  forfeited.  The
 40    state  tax  commission shall prescribe the method by which the refund, if any,
 41    is to be made to the taxpayer.
 42        (b) (1)  A resident individual who has reached  his  sixty-fifth  birthday
 43        before the end of his taxable year, who is required to file by law and who
 44        has  filed  an  Idaho income tax return, shall be allowed a credit against
 45        taxes due under the Idaho income tax act equal to  the  amount  of  thirty
 46        forty-five  dollars  ($3045.00)  for  each personal exemption representing
 47        himself, a spouse over the age of sixty-five (65) years,  or  a  dependent
 48        over  the  age  of  sixty-five  (65)  years, but shall be allowed a credit
 49        against taxes due under the Idaho income tax act equal to  fifteen  thirty
 50        dollars  ($1530.00)  for  each personal exemption representing a spouse or
 51        dependent under the age of sixty-five (65) years. If taxes  due  are  less
 52        than  the  total credit allowed, the taxpayer shall be paid a refund equal
 53        to the balance of the unused credit.  If  the  credit  or  refund  is  not
                                                                        
                                           8
                                                                        
  1        claimed  for the year for which the individual income tax return is filed,
  2        the right thereafter to claim such credit or refund  shall  be  forfeited.
  3        The  state  tax commission shall prescribe the method by which the refund,
  4        if any, is to be made to the taxpayer.
  5        (2)  A resident individual who has reached his sixty-fifth birthday and is
  6        not required by law to file  an  Idaho  income  tax  return  and  who  has
  7        received  no  credit or refund under any other subsection of this section,
  8        shall be entitled to a refund of thirty forty-five dollars ($3045.00). Any
  9        refund shall be paid to such individual only upon his  making  application
 10        therefor at such time and in such manner as may be prescribed by the state
 11        tax commission.
 12        (c)  A resident individual of the state of Idaho who is:
 13        (i)   blind, or
 14        (ii)  a  disabled  American  veteran  of  any war engaged in by the United
 15        States, whose disability is recognized as a service  connected  disability
 16        of a degree of ten per cent percent (10%) or more, or who is in receipt of
 17        a  pension  for nonservice connected disabilities, in accordance with laws
 18        and regulations administered by the United States veterans administration,
 19        substantiated by a statement as to status signed by a responsible  officer
 20        of the United States veterans administration, or
 21        (iii) over sixty-two (62) years of age, and has been allowed none, or less
 22        than  all,  of  the credit provided by subsection (a) or subsection (b) of
 23        this section, shall be entitled to a payment from the refund  fund  in  an
 24        amount  equal  to fifteen thirty dollars ($1530.00), or the balance of his
 25        unused credit, whichever is less, upon making application therefor at such
 26        time and in such manner as the state tax commission may prescribe.
 27        (d)  Any part-year resident entitled to a credit under this section  shall
 28    receive  a  proportionate credit, in the manner above provided, reflecting the
 29    part of the year in which he was domiciled in this state.
 30        (e)  No credit or refund may be claimed for an exemption which  represents
 31    a person who has himself filed an Idaho income tax return claiming a deduction
 32    for  his  own personal exemption, and in no event shall more than one (1) tax-
 33    payer be allowed a credit or refund for the same exemption, or under more than
 34    one (1) subsection of this section.
 35        (f)  The refunds authorized by this section shall be paid from  the  state
 36    refund  fund  in the same manner as the refunds authorized by section 63-3067,
 37    Idaho Code.
 38        (g)  An application for any refund which is due and payable under the pro-
 39    visions of this section must be filed with the  state  tax  commission  within
 40    three (3) years of:
 41        (i)  the due date, including extensions, of the return required under sec-
 42        tion  63-3030,  Idaho Code, if the applicant is required to file a return,
 43        or
 44        (ii) the 15th day of April of the year following the  year  to  which  the
 45        application relates if the applicant is not required to file a return.
                                                                        
 46        SECTION  7.  That  Section 63-3025, Idaho Code, be, and the same is hereby
 47    amended to read as follows:
                                                                        
 48        63-3025.  TAX ON CORPORATE INCOME. For taxable  years  commencing  on  and
 49    after  January  1,  1987  2001,  a  tax is hereby imposed on the Idaho taxable
 50    income of a corporation which transacts or is authorized to transact  business
 51    in this state or which has income attributable to this state. The tax shall be
 52    equal  to eight seven and seven-tenths percent (87.7%) of Idaho taxable income
 53    for taxable year 2001 and seven and five-tenths percent (7.5%) of  Idaho  tax-
                                                                        
                                           9
                                                                        
  1    able  income for taxable year 2002 and thereafter; provided, however, that the
  2    tax shall not be less than twenty dollars ($20.00); provided further that  the
  3    twenty  dollar ($20.00) minimum payment shall not be collected from nonproduc-
  4    tive mining corporations. The tax imposed by this section shall not  apply  to
  5    corporations taxed pursuant to the provisions of section 63-3025A, Idaho Code.
                                                                        
  6        SECTION  8.  That Section 63-3025A, Idaho Code, be, and the same is hereby
  7    amended to read as follows:
                                                                        
  8        63-3025A.  FRANCHISE TAX. For taxable years commencing on and after  Janu-
  9    ary  1,  1987  2001, a franchise tax shall be imposed upon any corporation for
 10    the privilege of exercising its corporate franchise within  the  state  during
 11    such  taxable  year,  including,  but  not limited to, corporations engaged in
 12    business in Idaho for the exclusive purpose of performing contracts  with  the
 13    United States department of energy at the Idaho national engineering and envi-
 14    ronmental laboratory, which tax shall be measured by income which is attribut-
 15    able to this state under the provisions of this chapter and which tax shall be
 16    equal  to  eight  percent (8%) of Idaho taxable income at the rate provided in
 17    section 63-3025, Idaho Code; provided, however, that the tax shall not be less
 18    than twenty dollars ($20.00); provided further that the twenty dollar ($20.00)
 19    minimum payment shall not be collected from nonproductive mining corporations;
 20    but the twenty dollar ($20.00) minimum tax shall apply to corporations  quali-
 21    fied  to file returns and actually filing returns under the provisions of sub-
 22    chapter "S" of the Internal Revenue Code.
                                                                        
 23        SECTION 9.  That Section 63-3025D, Idaho Code, be, and the same is  hereby
 24    amended to read as follows:
                                                                        
 25        63-3025D.  PAYMENT FOR DEPENDENTS SIXTY-FIVE YEARS OF AGE OR OLDER OR PER-
 26    SONS  WITH  DEVELOPMENTAL DISABILITIES. (1) In lieu of the deduction from tax-
 27    able income allowed by section 63-3022E, Idaho Code, a resident individual who
 28    maintains a household, which  includes as an immediate member  of  the  family
 29    residing  in that household, one (1) or more individuals sixty-five (65) years
 30    of age or older or individuals with developmental disabilities, as defined  in
 31    subsection  (5) of section 66-402, Idaho Code, each of whom receives more than
 32    one-half (1/2) of his or her support for the  year  from  the  individual  who
 33    maintains  the  household,  shall  be  entitled  to  a payment from the refund
 34    account of one five hundred dollars ($1500) for each such  elderly  member  of
 35    the  family or family member with a developmental disability. Any such payment
 36    shall be paid to such individual only upon his making application therefor  at
 37    such time and in such manner as may be prescribed by the state tax commission.
 38        (2)  No  more  than three (3) such payments shall be made under the provi-
 39    sions of this section to any one (1) individual in any calendar year.
 40        (3)  No payment may be claimed under the provisions of this section by the
 41    individual himself except as set forth in subsection (4) of this section.
 42        (4)  A credit of one five hundred dollars ($1500) shall be  allowed  under
 43    this  section  for a person with a developmental disability as defined in sub-
 44    section (5) of section 66-402, Idaho Code, who is filing his own tax return.
                                                                        
 45        SECTION 10.  That Section 63-3029B, Idaho Code, be, and the same is hereby
 46    amended to read as follows:
                                                                        
 47        63-3029B.  INCOME TAX CREDIT FOR CAPITAL INVESTMENT. (1) At  the  election
 48    of  the taxpayer there shall be allowed, subject to the applicable limitations
 49    provided herein as a credit against the income  tax  imposed  by  chapter  30,
                                                                        
                                           10
                                                                        
  1    title 63, Idaho Code, an amount equal to the sum of:
  2        (a)  The tax credit carryovers; and
  3        (b)  The tax credit for the taxable year.
  4        (2)  The  maximum  allowable  amount of the credit for the current taxable
  5    year shall be three percent (3%) of the amount of qualified  investments  made
  6    during the taxable year.
  7        (3)  As  used  in this section "qualified investment" means certain depre-
  8    ciable property which:
  9        (a)  (i)  Is eligible for the federal investment tax credit, as defined in
 10             sections 46(c) and 48 of the Internal Revenue  Code  subject  to  the
 11             limitations provided for certain regulated companies in section 46(f)
 12             of  the  Internal Revenue Code and is not a motor vehicle under eight
 13             thousand (8,000) pounds gross weight; or
 14             (ii) Is qualified broadband equipment as defined in section 63-3029I,
 15             Idaho Code; and
 16        (b)  Is acquired, constructed, reconstructed, erected or placed into  ser-
 17        vice after December 31, 1981; and
 18        (c)  Has a situs in Idaho.
 19        (4)  Notwithstanding  the  provisions  of  subsections (1) and (2) of this
 20    section, the amount of the credit allowed shall not exceed fifty percent (50%)
 21    of the tax liability of the taxpayer.
 22        (5)  If the sum of credit carryovers from the credit allowed by subsection
 23    (2) of this section and the amount of credit for the  taxable  year  from  the
 24    credit allowed by subsection (2) of this section exceed the limitation imposed
 25    by  subsection  (4)  of  this section for the current taxable year, the excess
 26    attributable to the current taxable  year's  credit  shall  be  an  investment
 27    credit carryover to the fourteen (14) succeeding taxable years. In the case of
 28    a  group of corporations filing a combined report under section 63-3027, Idaho
 29    Code, or sections 63-3027B through 63-3027E, Idaho Code, credit earned by  one
 30    (1)  member  of  the group but not  used by that member may be used by another
 31    member of the group, subject to the provisions of subsection (4) of this  sec-
 32    tion,  instead  of  carried  over. The entire amount of unused credit shall be
 33    carried forward to the earliest of the succeeding years,  wherein  the  oldest
 34    available  unused credit shall be used first, so long as the qualified invest-
 35    ment property for which the unused credit was granted  still  maintains  Idaho
 36    situs.  For  a  combined  group of corporations, credit carried forward may be
 37    claimed by any member of the group unless the member who earned the credit  is
 38    no longer included in the combined group.
 39        (6)  Any recapture of the credit allowed by subsection (2) of this section
 40    on  property disposed of or ceasing to qualify, prior to the close of its use-
 41    ful life the recapture period, shall be determined according to the applicable
 42    recapture provisions of the Internal Revenue Code. In the case  of  a  unitary
 43    group  of corporations, the increase in tax due to the recapture of investment
 44    tax credit must be reported by the member of the group who earned  the  credit
 45    regardless of which member claimed the credit against tax.
 46        (7)  For  the purpose of determining whether property placed in service is
 47    a "qualified investment" as defined in subsection (3)  of  this  section,  the
 48    provisions of section 49 of the Internal Revenue Code shall be disregarded.
 49        (8)  For  purposes of this section, property has a situs in Idaho during a
 50    taxable year if it is used in Idaho at any time during the taxable year. Prop-
 51    erty not used in Idaho during a taxable year does not have a situs in Idaho in
 52    the taxable year during which the property is not used in Idaho or in any sub-
 53    sequent taxable year. No credit or carryover of credit is permitted under this
 54    section if the credit or carryover relates to property that does  not  have  a
 55    situs  in  Idaho  during the taxable year for which the credit or carryover is
                                                                        
                                           11
                                                                        
  1    claimed. The Idaho situs of property must be established by records maintained
  2    by the taxpayer which are created reasonably contemporaneously with the use of
  3    the property.
  4        (9)  In the case of property used both in and outside Idaho, the taxpayer,
  5    electing to claim the credit provided in this section, must elect  to  compute
  6    the  qualified  investment  in  property  with  a  situs in Idaho for all such
  7    investments first qualifying during that year in one (1), but only one (1), of
  8    the following ways:
  9        (a)  The amount of each qualified investment in a specific asset shall  be
 10        separately computed based on the percentage of the actual use of the prop-
 11        erty  in Idaho by using a measure of the use, such as total miles or total
 12        machine hours, that most accurately reflects the beneficial use during the
 13        taxable year in which it is first  acquired,  constructed,  reconstructed,
 14        erected or placed into service; provided, that the asset is placed in ser-
 15        vice more than ninety (90) days before the end of the taxable year. In the
 16        case  of  assets  acquired,  constructed, reconstructed, erected or placed
 17        into service within ninety (90) days prior to the end of the taxable  year
 18        in  which  the  investment first qualifies, the measure of the use of that
 19        asset within Idaho for that year shall be based upon the percentage of use
 20        in Idaho during the first ninety (90) days of use of the asset;
 21        (b)  The investment in qualified property used  both  inside  and  outside
 22        Idaho  during the taxable year in which it is first acquired, constructed,
 23        reconstructed, erected or placed into service shall be multiplied  by  the
 24        percent  of  the investment that would be included in the numerator of the
 25        Idaho property factor determined pursuant to section 63-3027, Idaho  Code,
 26        for the same year.
 27        (10) Only  for the purposes of subsections (3)(a) and (7) of this section,
 28    references to sections of  the  "Internal  Revenue  Code"  mean  the  sections
 29    referred  to  as  they   existed in the Internal Revenue Code of 1986 prior to
 30    November 5, 1990.
                                                                        
 31        SECTION 11.  That Section 63-3029E, Idaho Code, be, and the same is hereby
 32    amended to read as follows:
                                                                        
 33        63-3029E.  DEFINITIONS -- CONSTRUCTION OF TERMS. As used in  this  section
 34    and in section 63-3029F, Idaho Code:
 35        (1)  (a) "New employee" means a person from whom Idaho income tax has been
 36        withheld, employed by the taxpayer, in a revenue-producing enterprise cre-
 37        ating  value-added natural resource products, and covered for unemployment
 38        insurance purposes under chapter 13, title 72, Idaho Code, during the tax-
 39        able year for which the credit allowed by section 63-3029F, Idaho Code, is
 40        claimed. A person shall be deemed to be so engaged if such person performs
 41        duties on:
 42             (i)   A regular full-time basis; or
 43             (ii)  A part-time basis if such person is customarily performing such
 44             duties at least twenty (20) hours per week.
 45        No credit shall be earned unless the new  employee  shall  have  performed
 46        such  duties  for the taxpayer for a minimum of nine (9) months during the
 47        taxable year for which the credit is claimed.
 48        (b)  The provisions of paragraph (a) of this  subsection  notwithstanding,
 49        no  credit  shall  be  allowed for employment of persons by a taxpayer who
 50        acquires a revenue-producing enterprise from another taxpayer or who oper-
 51        ates in a place of business the same or a substantially identical revenue-
 52        producing value-added natural resource  products  enterprise  business  as
 53        operated  by  another taxpayer within the prior twelve (12) months, except
                                                                        
                                           12
                                                                        
  1        as the prior taxpayer would have qualified under the provisions  of  para-
  2        graph  (c)  of  this subsection. Employees transferred from a related tax-
  3        payer shall not be included in the computation of the credit.
  4        (c)  The number of employees during any  taxable  year  for  any  taxpayer
  5        shall  be  the mathematical average of the number of employees reported to
  6        the Idaho department of labor for employment security purposes during  the
  7        twelve (12) months of the taxable year which qualified under paragraph (a)
  8        of  this  subsection.  In  the event the business is in operation for less
  9        than the entire taxable year, the number of employees of the business  for
 10        the  year  shall be the average number actually employed during the months
 11        of operation, providing that the qualifications of paragraph (a)  of  this
 12        subsection are met.
 13        (2)  "Revenue-producing enterprise" means the production, assembly, fabri-
 14    cation, manufacture or processing of any natural resource product.
 15        (3)  "Same or a substantially identical revenue-producing enterprise busi-
 16    ness" means a revenue-producing enterprise business in which the products pro-
 17    duced  or  sold, or the activities conducted are the same in character and use
 18    and are produced, sold or conducted in the same manner as,  or  for  the  same
 19    types  of customers as, the products or activities produced, sold or conducted
 20    in another revenue-producing enterprise business.
                                                                        
 21        SECTION 12.  That Section 63-3029F, Idaho Code, be, and the same is hereby
 22    amended to read as follows:
                                                                        
 23        63-3029F.  SPECIAL CREDIT AVAILABLE -- NEW  EMPLOYEES.  (1)  Any  taxpayer
 24    shall  be  allowed  a  credit, in an amount determined under subsection (2) of
 25    this section, against  the tax imposed by this chapter,  other  than  the  tax
 26    imposed  by section 63-3082, Idaho Code, for any taxable year during which the
 27    taxpayer's employment of new employees, as defined under section  63-3029E(1),
 28    Idaho  Code, increases above the taxpayer's average employment for either: (a)
 29    the prior taxable year, or (b) the average of three (3) prior  taxable  years,
 30    whichever  is higher. No credit shall be allowed under this section unless the
 31    number of new employees equals or exceeds one (1) person.
 32        (2)  The credit authorized in subsection (1) of this section shall be five
 33    hundred dollars ($500) per new employee, but the total  credit  allowed  shall
 34    not  exceed  three  and  one-quarter  percent  (3.25%)  of net income from the
 35    taxpayer's corporate, proprietorship, partnership, small business  corporation
 36    or  limited  liability  company revenue-producing enterprise business in which
 37    the employment occurred. Additionally, the total of this and all other credits
 38    allowed under this chapter except  for  the  credits  allowed  under  sections
 39    63-3024A,  63-3025D  and  63-3029,  Idaho  Code, taken during any taxable year
 40    shall not exceed forty-five percent (45%) of the tax otherwise imposed on  the
 41    taxpayer for the taxable year for which such credit is allowed.
 42        (3)  If  the  sum of the credit carryovers from the credit allowed by sub-
 43    section (2) of this section and the amount of credit for the taxable year from
 44    the credit allowed by subsection (2) of this  section  exceed  the  limitation
 45    imposed  by  subsection  (2) of this section for the current taxable year, the
 46    excess attributable to the current taxable year's credit  shall  be  a  credit
 47    carryover  to  the  three  (3)  succeeding taxable years. The entire amount of
 48    unused credit shall be carried forward  to  the  earliest  of  the  succeeding
 49    years, wherein the oldest available unused credit shall be used first, so long
 50    as the employment level for which the credit was granted is still maintained.
                                                                        
 51        SECTION  13.  That  Chapter  30, Title 63, Idaho Code, be, and the same is
 52    hereby amended by the addition thereto of a NEW SECTION, to be known and  des-
                                                                        
                                           13
                                                                        
  1    ignated as Section 63-3029G, Idaho Code, and to read as follows:
                                                                        
  2        63-3029G.  CREDITS  FOR  RESEARCH  ACTIVITIES  CONDUCTED  IN THIS STATE --
  3    CARRY FORWARD.
  4        (1) (a)  Subject to the limitations of this  section,  for  taxable  years
  5        beginning between January 1, 2001, and December 31, 2005, inclusive, there
  6        shall  be  allowed  to  a  taxpayer  a  nonrefundable credit against taxes
  7        imposed by  sections  63-3024,  63-3025  and  63-3025A,  Idaho  Code,  for
  8        increasing  research  activities  in Idaho during any consecutive five (5)
  9        year period beginning, at the election of the taxpayer, either:
 10             (i)   January 1, 2001, or
 11             (ii)  The first day of the taxpayer's taxable year beginning in 2001.
 12        (b)  The credit allowed by subsection (1)(a) of this section shall be  the
 13        sum of:
 14             (i)   Five  percent (5%) of the excess of qualified research payments
 15             for research conducted in Idaho over the base amount; and
 16             (ii)  Five percent (5%) basic research payments allowable under  sub-
 17             section  (e)  of  section  41  of the Internal Revenue Code for basic
 18             research conducted in Idaho.
 19        (c)  Subject to the limitation in subsection (3) of this section,  a  tax-
 20        payer  making  the election permitted by subsection (1)(a)(i) of this sec-
 21        tion, credit for research activities occurring prior to the  beginning  of
 22        the  taxpayer's  taxable  year  beginning  in 2001 shall be claimed on the
 23        taxpayer's return for its taxable year 2001 in addition to credit relating
 24        to activity in that year.
 25        (2)  As used in this section:
 26        (a)  The terms "qualified research payments," "qualified research," "basic
 27        research payments" and "basic research" shall be as defined in section  41
 28        of the Internal Revenue Code except that the research must be conducted in
 29        Idaho.
 30        (b)  The term "base amount" shall mean an amount calculated as provided in
 31        sections 41(c) and 41(h) of the Internal Revenue Code, except that:
 32             (i)   The  base amount does not include the calculation of the alter-
 33             native incremental credit provided for in  section  41(c)(4)  of  the
 34             Internal Revenue Code;
 35             (ii)  A  taxpayer's  gross receipts include only those gross receipts
 36             attributable  to sources within this state as provided in subsections
 37             (q) and (r) of section 63-3027, Idaho Code; and
 38             (iii) Notwithstanding section 41(c) of the Internal Revenue Code, for
 39             purposes of calculating the base amount, a taxpayer:
 40                  (A)  May elect to be treated as a start-up company  as  provided
 41                  in  section 41(c)(3)(B) of the Internal Revenue Code, regardless
 42                  of whether  the  taxpayer  meets  the  requirements  of  section
 43                  41(c)(3)(B)(i)(I) or (II) of the Internal Revenue Code; and
 44                  (B)  May not revoke an election to be treated as a start-up com-
 45                  pany.
 46        (3)  The credit allowed by subsection (1)(a) of this section together with
 47    any  credits  carried  forward  under subsection (5) of this section shall not
 48    exceed the amount of tax due under sections  63-3024,  63-3025  and  63-3025A,
 49    Idaho  Code,  after allowance for all other credits permitted by this chapter.
 50    When credits earned in more than one (1) taxable year are available, the  old-
 51    est credits shall be applied first.
 52        (4)  In the case of a group of corporations filing a combined report under
 53    subsection (t) of section 63-3027, Idaho Code, credit earned by one (1) member
 54    of  the group but not used by that member may be used by another member of the
                                                                        
                                           14
                                                                        
  1    group. For a combined group of corporations, any member of the group may claim
  2    credit carried forward unless the member who earned the credit  is  no  longer
  3    included in the combined group.
  4        (5)  The  credit  allowed  by  subsection  (1)(a) of this section shall be
  5    claimed for the taxable year during  which  the  taxpayer  qualifies  for  the
  6    credit. If the credit exceeds the limitation under subsection (3) of this sec-
  7    tion,  the  excess  amount  may  be carried forward for a period that does not
  8    exceed the next fourteen (14) taxable years.
  9        (6)  In addition to other needed rules, the state tax commission may  pro-
 10    mulgate rules prescribing, in the case of S corporations, partnerships, trusts
 11    or  estates,  a  method  of  attributing  the credit under this section to the
 12    shareholders, partners or beneficiaries in proportion to their  share  of  the
 13    income from the S corporation, partnership, trust or estate.
                                                                        
 14        SECTION 14.  That Section 63-3029H, Idaho Code, be, and the same is hereby
 15    amended to read as follows:
                                                                        
 16        63-3029HP.  PRIORITY  OF  CREDITS.  When  a  taxpayer subject to any taxes
 17    imposed under this chapter is entitled to two (2) or more credits against such
 18    taxes, the priority of credits shall be determined in the following order:
 19        (a)  Nonrefundable credits. Nonrefundable credits shall be applied to  the
 20    tax liability before application of refundable credits. If a taxpayer is enti-
 21    tled  to  more than one (1) nonrefundable credit, the credits shall be applied
 22    in the order in which the statutes authorizing the credits were enacted by the
 23    legislature.
 24        (b)  Refundable credits. Refundable credits shall be applied  to  the  tax
 25    liability after application of any nonrefundable credits.
                                                                        
 26        SECTION  15.  That  Chapter  30, Title 63, Idaho Code, be, and the same is
 27    hereby amended by the addition thereto of a NEW SECTION, to be known and  des-
 28    ignated as Section 63-3029H, Idaho Code, and to read as follows:
                                                                        
 29        63-3029H.  CREDIT  FOR HOUSEHOLD AND DEPENDENT CARE SERVICES NECESSARY FOR
 30    GAINFUL EMPLOYMENT. (1) A resident individual who  is  entitled,  for  federal
 31    income  tax  purposes, to claim and who does claim the credit provided by sec-
 32    tion 21 of the Internal Revenue Code shall  be  entitled  to  a  nonrefundable
 33    credit against taxes imposed by section 63-3024, Idaho Code, equal to one-half
 34    (1/2)  of  the credit allowable on that taxpayer's federal return for the same
 35    taxable year.
 36        (2)  A nonresident or part-year resident individual who is  entitled,  for
 37    federal  income  tax purposes, to claim and who does claim the credit provided
 38    by section 21 of the Internal Revenue Code shall be entitled to a proportional
 39    part of the credit otherwise provided in subsection (1) of this  section.  The
 40    proportion  shall  be  determined in accordance with the provisions of section
 41    63-3026A(6), Idaho Code.
 42        (3)  The credit allowed by this section shall not exceed the total  amount
 43    of  taxes  due under section 63-3024, Idaho Code, after allowance of all other
 44    credits provided in this chapter.
                                                                        
 45        SECTION 16.  That Chapter 30, Title 63, Idaho Code, be, and  the  same  is
 46    hereby  amended by the addition thereto of a NEW SECTION, to be known and des-
 47    ignated as Section 63-3029I, Idaho Code, and to read as follows:
                                                                        
 48        63-3029I.  INCOME TAX CREDIT FOR INVESTMENT IN  BROADBAND  EQUIPMENT.  (1)
 49    Subject  to  the  limitations  of  this  section,  for taxable years beginning
                                                                        
                                           15
                                                                        
  1    between January 1, 2001, and December 31,  2005,  inclusive,  there  shall  be
  2    allowed to a taxpayer a nonrefundable credit against taxes imposed by sections
  3    63-3024, 63-3025 and 63-3025A, Idaho Code, for qualified expenditures in qual-
  4    ified broadband equipment in Idaho.
  5        (2)  The credit permitted in subsection (1) of this section shall be three
  6    percent  (3%)  of the qualified investment in qualified broadband equipment in
  7    Idaho and shall be in addition to the credit for capital investment  permitted
  8    by section 63-3029B, Idaho Code.
  9        (3)  As used in this section the term:
 10        (a)  "Qualified investment" shall be as defined in section 63-3029B, Idaho
 11        Code.
 12        (b)  "Qualified  broadband  equipment"  means equipment that qualifies for
 13        the credit for capital investment permitted  by  section  63-3029B,  Idaho
 14        Code,  and  is  capable  of transmitting signals at a rate of at least two
 15        hundred thousand (200,000) bits per second to a subscriber  and  at  least
 16        one  hundred  twenty-five  thousand  (125,000) bits per second from a sub-
 17        scriber, and
 18             (i)   In the case of a telecommunications  carrier,  such  qualifying
 19             equipment  shall  be  necessary to the provision of broadband service
 20             and an integral part of a broadband network. "Telecommunications car-
 21             rier" has the meaning given such term by section 3(44) of the  commu-
 22             nications  act of 1934, as amended, but does not include a commercial
 23             mobile service provider.
 24             (ii)  In the case of a commercial mobile service carrier, such quali-
 25             fying equipment shall extend from the subscriber side of  the  mobile
 26             telecommunications   switching  office  to  a  transmitting/receiving
 27             antenna, including such antenna, on the outside of the  structure  in
 28             which  the subscriber is located. "Commercial mobile service carrier"
 29             means any person authorized to provide commercial mobile  radio  ser-
 30             vice  to  subscribers as defined in section 20.3 of title 47, Code of
 31             Federal Regulations (10-1-99 ed.), as amended.
 32             (iii) In the case of a cable or  open  video  system  operator,  such
 33             qualifying  equipment  shall extend from the subscriber's side of the
 34             headend to the outside of the structure in which  the  subscriber  is
 35             located. The terms "cable operator" and "open video system  operator"
 36             have  the  meanings  given  such  terms  by  sections 602(5) and 653,
 37             respectively, of the communications act of 1934, as amended.
 38             (iv)  In the case of a satellite carrier or a wireless carrier  other
 39             than  listed  above, such qualifying equipment is only that equipment
 40             that extends from a transmitting/receiving  antenna,  including  such
 41             antenna,  which  transmits  and  receives signals to or from multiple
 42             subscribers to a transmitting/receiving antenna on the outside of the
 43             structure in which the subscriber  is  located.  "Satellite  carrier"
 44             means  any  person  using  the facilities of a satellite or satellite
 45             services licensed by the federal communications commission and  oper-
 46             ating  a  fixed-satellite  service or direct broadcast satellite ser-
 47             vices to provide point-to-multipoint distribution of signals.  "Other
 48             wireless  carrier"  means any person, other than a telecommunications
 49             carrier, commercial mobile  service  carrier,  cable  operator,  open
 50             video operator, or satellite carrier, providing broadband services to
 51             subscribers through the radio transmission of energy.
 52             (v)   In  the  case of packet switching equipment, such packet equip-
 53             ment installed in connection with other qualifying  equipment  listed
 54             in subsections (2)(b)(i) through (2)(b)(iv) of this section, provided
 55             it  is  the last in a series of equipment that transmits signals to a
                                                                        
                                           16
                                                                        
  1             subscriber or the first in a series of equipment that transmits  sig-
  2             nals from a  subscriber.  "Packet  switching"  means  controlling  or
  3             routing  the path of a digital transmission signal which is assembled
  4             into packets or cells.
  5             (vi)  In the case of multiplexing and demultiplexing equipment,  such
  6             equipment  only  to the extent that it is deployed in connection with
  7             providing broadband services in locations  between  packet  switching
  8             equipment  and  the  structure  in  which  the subscriber is located.
  9             "Multiplexing" means the transmission of two (2) or more signals over
 10             a communications circuit without regard to the  communications  tech-
 11             nology.
 12             (vii) Any property not primarily used to provide services in Idaho to
 13             public subscribers is not qualified broadband equipment.
 14        (3)  No equipment described in subsections (2)(b)(i) through (2)(b)(vi) of
 15    this  section  shall qualify for the credit provided in subsection (1) of this
 16    section until the taxpayer applies to and obtains from the Idaho public utili-
 17    ties commission an order confirming that the installed equipment is  qualified
 18    broadband  equipment.  Applications  submitted to the commission shall be gov-
 19    erned by the commission's rules of procedure. The commission may issue  proce-
 20    dural orders necessary to implement this section.
 21        (4)  The  credit  allowed  by subsection (1) of this section together with
 22    any credits carried forward under subsection (6) of this section shall not, in
 23    any one (1) taxable year, exceed the lesser of:
 24        (a)  The amount of tax due under sections 63-3024, 63-3025  and  63-3025A,
 25        Idaho  Code, after allowance for all other credits permitted by this chap-
 26        ter; or
 27        (b)  Seven hundred fifty thousand dollars ($750,000).
 28    When credits earned in more than one (1) taxable year are available, the  old-
 29    est credits shall be applied first.
 30        (5)  In the case of a group of corporations filing a combined report under
 31    subsection (t) of section 63-3027, Idaho Code, credit earned by one (1) member
 32    of  the group but not used by that member may be used by another member of the
 33    group, subject to the provisions of subsection (6) of this section, instead of
 34    carried over. For a combined group of corporations, credit carried forward may
 35    be claimed by any member of the group unless the member who earned  the credit
 36    is no longer included in the combined group.
 37        (6)  If the credit allowed by subsection (1) of this section  exceeds  the
 38    limitation under subsection (4) of this section, the excess amount may be car-
 39    ried  forward for a period that does not exceed the next fourteen (14) taxable
 40    years.
 41        (7)  In the event that qualified broadband equipment upon which the credit
 42    allowed by this section has been used ceases to qualify for the credit allowed
 43    by section 63-3029B, Idaho Code, or is subject to recapture  of  that  credit,
 44    the recapture of credit under this section shall be in the same proportion and
 45    subject  to  the same provisions as the amount of credit required to be recap-
 46    tured under section 63-3029B, Idaho Code.
 47        (8)  (a)  Subject to the requirements of this subsection, a taxpayer enti-
 48        tled to the credit or to an unused portion of the credit allowed  by  this
 49        section  may  transfer  the  unused credit to another taxpayer required to
 50        file a return under this chapter.
 51        (b)  Before completing a transfer under this  subsection,  the  transferor
 52        shall  notify  the  state  tax commission of its intention to transfer the
 53        credit and the identity of the transferee. The state tax commission  shall
 54        provide  the  transferor  with a written statement of the amount of credit
 55        available under this section as then appearing in the commission's records
                                                                        
                                           17
                                                                        
  1        and the number of years the credit may be  carried  over.  The  transferee
  2        shall  attach a copy of the statement to any return in regard to which the
  3        transferred credit is claimed.
  4        (c)  In the event that after the transfer the state tax commission  deter-
  5        mines  that  the amount of credit properly available under this section is
  6        less than the amount claimed by the transferor of the credit or  that  the
  7        credit  is subject to recapture, the commission shall assess the amount of
  8        overstated or recaptured credit as taxes due from the transferor  and  not
  9        the transferee.  The assessment shall be made in the manner provided for a
 10        deficiency in taxes under this chapter.
 11        (9)  In  addition to other needed rules, the state tax commission may pro-
 12    mulgate rules prescribing, in the case of S corporations, partnerships, trusts
 13    or estates, a method of attributing the  credit  under  this  section  to  the
 14    shareholders,  partners  or  beneficiaries in proportion to their share of the
 15    income from the S corporation, partnership, trust or estate.
                                                                        
 16        SECTION 17.  That Chapter 30, Title 63, Idaho Code, be, and  the  same  is
 17    hereby  amended by the addition thereto of a NEW SECTION, to be known and des-
 18    ignated as Section 63-3029J, Idaho Code, and to read as follows:
                                                                        
 19        63-3029J.  INCENTIVE INCOME TAX INVESTMENT CREDIT. (1) Subject to the lim-
 20    itations of this section, for taxable years beginning between January 1, 2001,
 21    and December 31, 2005, inclusive, there shall be allowed to a taxpayer a  non-
 22    refundable  credit  against  taxes  imposed  by  sections 63-3024, 63-3025 and
 23    63-3025A, Idaho Code, in the amount allowed by subsection (2) of this  section
 24    for  qualified  investments  in  Idaho. The credit shall be in addition to the
 25    credit for capital investment permitted by section 63-3029B, Idaho Code.
 26        (2)  The credit permitted in subsection (1) of this section  shall  be  at
 27    the  percentage  rate  determined  under either subsection (2)(a) or (2)(b) of
 28    this section at the election of the taxpayer.
 29        (a)  (i)   One-half (1/2) of the amount by which  the  average  three-year
 30             unemployment  rate  in  the  county  in which the property is located
 31             exceeds six percent (6%).  In the case of mobile property, the  prop-
 32             erty shall be located in the county in which it is primarily based.
 33             (ii)  For  purposes of this section the director of the department of
 34             labor shall, on or before the first day of September of each calendar
 35             year, establish and certify to the state tax commission  the  average
 36             three-year  unemployment rate in each county in Idaho for the immedi-
 37             ately preceding three (3) calendar years. The  rates  thus  certified
 38             shall  apply  to  the  calculation  of  the  credit  under subsection
 39             (2)(a)(i) of this section for property qualifying in the taxable year
 40             beginning during the next calendar year.
 41        (b)  (i)   One-tenth of one percent (.1%) for each full percent  that  the
 42             three-year  average per capita personal income level in the county in
 43             which the property is located is below ninety percent  (90%)  of  the
 44             average statewide per capita personal income level.
 45             (ii)  For  purposes of this section the director of the department of
 46             commerce shall, on or before the first day of September of each  cal-
 47             endar  year,  establish  and  certify to the state tax commission the
 48             most current three-year average per capita personal income  level  in
 49             each  county  in  Idaho  and the statewide per capita personal income
 50             level for the most current preceding three (3)  calendar  years.  The
 51             levels  thus  certified  shall apply to the calculation of the credit
 52             under subsection (2)(b)(i) of this section for property qualifying in
 53             the taxable year beginning during the next calendar year.
                                                                        
                                           18
                                                                        
  1        (3)  As used in this section the  term  "qualified  investment"  shall  be
  2    defined as in section 63-3029B, Idaho Code.
  3        (4)  The  credit  allowed  by subsection (1) of this section together with
  4    any credits carried forward under subsection (6) of  this  section  shall  not
  5    exceed in any one (1) taxable year the lesser of:
  6        (a)  The  amount  of tax due under sections 63-3024, 63-3025 and 63-3025A,
  7        Idaho Code, after allowance for all other credits permitted by this  chap-
  8        ter; or
  9        (b)  Five hundred thousand dollars ($500,000).
 10        (c)  When  credits earned in more than one (1) taxable year are available,
 11        the oldest credits shall be applied first.
 12        (5)  In the case of a group of corporations filing a combined report under
 13    subsection (t) of section 63-3027, Idaho Code, credit earned by one (1) member
 14    of the group but not used by that member may be used by another member of  the
 15    group, subject to the provisions of subsection (6) of this section, instead of
 16    carried over. For a combined group of corporations, credit carried forward may
 17    be  claimed by any member of the group unless the member who earned the credit
 18    is no longer included in the combined group.
 19        (6)  If the credit allowed by subsection (1) of this section  exceeds  the
 20    limitation under subsection (4) of this section, the excess amount may be car-
 21    ried  forward for a period that does not exceed the next fourteen (14) taxable
 22    years.
 23        (7)  In the event that property upon which the credit allowed by this sec-
 24    tion has been used ceases  to  qualify  for  the  credit  allowed  by  section
 25    63-3029B,  Idaho  Code, the recapture of credit under this section shall be in
 26    the same proportion and subject to the same provisions as the amount of credit
 27    required to be recaptured under section 63-3029B, Idaho Code.
 28        (8)  (a)  Subject to the requirements of this subsection, a taxpayer enti-
 29        tled to the credit or to an unused portion of the credit allowed  by  this
 30        section  may  transfer  the  unused credit to another taxpayer required to
 31        file a return under this chapter.
 32        (b)  Before completing a transfer under this  subsection,  the  transferor
 33        shall  notify  the  state  tax commission of its intention to transfer the
 34        credit and the identity of the transferee. The state tax commission  shall
 35        provide  the  transferor with a written statement  of the amount of credit
 36        available under this section as then appearing in the commission's records
 37        and the number of years the credit may be  carried  over.  The  transferor
 38        shall  provide the transferee with the original statement.  The transferee
 39        shall attach a copy of the statement to any return in regard to which  the
 40        transferred credit is claimed.
 41        (c)  In  the event that after the transfer the state tax commission deter-
 42        mines that the amount of credit properly available under this  section  is
 43        less  than the amount claimed by the transferor of the credit and shown in
 44        the statement described in subsection (8)(b) of this section or  that  the
 45        credit  is subject to recapture, the commission shall assess the amount of
 46        overstated credit as taxes due from the transferor and not the transferee.
 47        The assessment shall be made in the manner provided for  a  deficiency  in
 48        taxes under this chapter.
 49        (9)  In  addition to other needed rules, the state tax commission may pro-
 50    mulgate rules prescribing:
 51        (a)  In the case of S corporations, partnerships,  trusts  or  estates,  a
 52        method  of  attributing the credit under this section to the shareholders,
 53        partners or beneficiaries in proportion to their share of the income  from
 54        the S corporation, partnership, trust or estate.
 55        (b)  A requirement that a transferor under subsection (8) of this section,
                                                                        
                                           19
                                                                        
  1        prior  to obtaining the written statement provided in subsection (8)(b) of
  2        this section, post such bond or security as the state tax  commission  may
  3        require  to  secure any liability referred to in subsection (8)(c) of this
  4        section.  Such rules shall provide an opportunity for a taxpayer,  upon  a
  5        showing  of  financial responsibility, to have the bond waiver, for notice
  6        of denial of waiver in accordance with section 63-3045,  Idaho  Code,  and
  7        for review in accordance with section 63-3045B, Idaho Code.
                                                                        
  8        SECTION  18.  That  Chapter  30, Title 63, Idaho Code, be, and the same is
  9    hereby amended by the addition thereto of a NEW SECTION, to be known and  des-
 10    ignated as Section 63-3029K, Idaho Code, and to read as follows:
                                                                        
 11        63-3029K.  VENTURE  CAPITAL  INCOME  TAX INVESTMENT CREDIT. (1) Subject to
 12    the limitations of this section, for taxable years beginning  between  January
 13    1,  2001,  and  December 31, 2005, inclusive, there shall be allowed to a tax-
 14    payer a nonrefundable  credit  against  taxes  imposed  by  sections  63-3024,
 15    63-3025  and  63-3025A, Idaho Code, in the amount allowed by subsection (2) of
 16    this section for investments described in subsection (2) of this section  made
 17    in  Idaho.   The credit shall be in addition to the credit for capital invest-
 18    ment permitted by section 63-3029B, Idaho Code.
 19        (2)  The credit permitted in subsection (1) of this section shall  be  ten
 20    percent  (10%) of the taxpayer's investment made during the taxable year in an
 21    Idaho private venture capital company.
 22        (3)  As used in this section:
 23        (a)  Definition. "Idaho private venture capital company" means a  corpora-
 24        tion,  limited  liability  company,  partnership or other entity, with its
 25        principal place of business located within Idaho which meets the following
 26        criteria:
 27             (i)   Committed capitalization of not less than five million  dollars
 28             ($5,000,000)  and  contributed  capital  of not less than twenty-five
 29             percent (25%) of its committed capitalization;
 30             (ii)  Having a purpose and objective of making at least fifty percent
 31             (50%) of its venture or risk capital  available  to  business  enter-
 32             prises  that are headquartered and managed in Idaho and whose primary
 33             business activities are reasonably expected to  establish  or  expand
 34             the development of business and industry within Idaho; and
 35             (iii) Investment  of  not  more than twenty-five percent (25%) of its
 36             committed funds in any one (1) company.
 37        (b)  Certification. An entity shall not qualify as an Idaho  private  ven-
 38        ture  capital  company  until  the company applies to and obtains from the
 39        director of the Idaho department of  finance,  hereafter  referred  to  as
 40        "director,"  a  certificate  confirming that it meets the criteria of this
 41        section. Applications submitted to the director shall contain such  infor-
 42        mation  relating to the applicant as the director shall require, and a fee
 43        as set by the director in an amount not to  exceed  five  hundred  dollars
 44        ($500). Unless the Idaho private venture capital company is decertified as
 45        described  in  subsection (3)(f) of this section, a copy of the certifica-
 46        tion shall be provided by the Idaho private venture capital company to the
 47        investor seeking the credit allowed by this section  who  shall  attach  a
 48        copy to the original return on which the credit is claimed.
 49        (c)  Requirements  to  maintain  certification.  To continue in certifica-
 50        tion, an Idaho private venture capital company shall:
 51             (i)   Invest at least thirty percent (30%) of its  original  capital-
 52             ization at the end of the initial three (3) years in such a manner as
 53             to acquire equity in the ventures in which the investments are made;
                                                                        
                                           20
                                                                        
  1             (ii)  Have  invested  at least fifty percent (50%) in the same manner
  2             at the end of  five (5) years;
  3             (iii) At the time of an initial investment, have no investor or  com-
  4             bination  of  investors in that Idaho private venture capital company
  5             who own a controlling equity interest in a business in which the ven-
  6             ture capital company is investing;
  7             (iv)  Not invest funds for use by an Idaho business for oil  and  gas
  8             exploration and development, for real estate development or apprecia-
  9             tion,  or  for  banking  or  lending operations. Any investment by an
 10             Idaho private venture capital company in any of these  sectors  shall
 11             not  be  counted  as equity investments for the purpose of continuing
 12             certification under this section;
 13             (v)   Meet such books and records or other requirements as the direc-
 14             tor may, by rule or order, direct; and
 15             (vi)  Pay an annual renewal fee in an amount set by the director  not
 16             to exceed five hundred dollars ($500).
 17        (d)  Reporting  requirements. Each certified Idaho private venture capital
 18        company shall report to the director on an annual basis  such  information
 19        as  the  director requires to be submitted to maintain certification. As a
 20        part of such information, each Idaho private venture capital company shall
 21        report the name, address and taxpayer identification number of each inves-
 22        tor who has invested in such company, the amounts invested  by  each  such
 23        investor and the companies in which the Idaho private venture capital com-
 24        pany has invested. The director shall provide the information contained in
 25        this subsection to the state tax commission on an annual basis.
 26        (e)  Compliance examinations. All the records of a certified Idaho private
 27        venture  capital  company are subject at any time to such reasonable peri-
 28        odic, special or other examinations by representatives of the director, as
 29        the director deems necessary or appropriate in the  public  interest.  The
 30        director,  or  his  designee, may examine  under oath any of the officers,
 31        directors, agents, employees, or investors of  an  Idaho  private  venture
 32        capital  company  regarding  the  affairs and business of the company. The
 33        director may administer oaths, subpoena witnesses, require the  production
 34        of  any books, papers, correspondence, or other documents or records which
 35        the director deems relevant or material to the inquiry.  In  the  case  of
 36        refusal  to  obey  a  subpoena  issued to a person, any court of competent
 37        jurisdiction, upon application of the director, may issue to  that  person
 38        an order requiring him to appear before the director or the officer desig-
 39        nated  by  him,  there to produce documentary evidence if so ordered or to
 40        give evidence relating to the matter under inquiry. Any  failure  to  obey
 41        such order of the court may be punished by the court as contempt of court.
 42        (f)  Decertification.  If  the  director determines that a certified Idaho
 43        private venture capital company is not in substantial compliance with  the
 44        requirements  for continuing certification or is in violation of any other
 45        provision of this act, the director shall, by written notice,  inform  the
 46        officers  of  the company and the board of directors or partners that they
 47        will be decertified in one hundred twenty (120)  days  from  the  date  of
 48        mailing  of  the  notice unless they correct the deficiencies and are once
 49        again in compliance with the requirements for certification.  At  the  end
 50        of  the  one hundred twenty (120) day period, if the Idaho private venture
 51        capital company is still not in substantial compliance, the director shall
 52        send a notice of decertification to the company and to the state tax  com-
 53        mission.
 54        (g)  Liability  disclaimed.  The state of Idaho, the department of finance
 55        and its employees and agents may not be held civilly or criminally  liable
                                                                        
                                           21
                                                                        
  1        or  liable upon their official bonds to any person including, but not lim-
  2        ited to, investors, Idaho private venture capital  companies,  and  appli-
  3        cants to become an Idaho private venture capital company, for action taken
  4        under this section or for any failure to act under it.
  5        (h)  To  facilitate furtherance of the purposes of this section with other
  6        state and federal programs including, but not limited to,  small  business
  7        investment  companies  and  business and industrial development companies,
  8        the director shall have authority to waive any provision of  this  subsec-
  9        tion  (3) which for good cause shown, he deems appropriate and in the pub-
 10        lic interest.
 11        (i)  The director may promulgate rules or issue  orders  as  necessary  to
 12        implement this section.
 13        (j)  Documents and other materials submitted by Idaho private venture cap-
 14        ital companies or by Idaho businesses pursuant to this subsection shall be
 15        exempt from public disclosure.
 16        (4)  The  credit  allowed  by subsection (1) of this section together with
 17    any credits carried forward under subsection (6) of  this  section  shall  not
 18    exceed in any one (1) taxable year either:
 19        (a)  Fifty  percent (50%) of the amount of tax due under sections 63-3024,
 20        63-3025 and 63-3025A, Idaho Code, after allowance for  all  other  credits
 21        permitted by this chapter; or
 22        (b)  One hundred fifty thousand dollars ($150,000).
 23        (5)  In the case of a group of corporations filing a combined report under
 24    subsection (t) of section 63-3027, Idaho Code, credit earned by one (1) member
 25    of  the group but not used by that member may be used by another member of the
 26    group, subject to the provisions of subsection (6) of this section, instead of
 27    carried over. For a combined group of corporations, credit carried forward may
 28    be claimed by any member of the group unless the member who earned the  credit
 29    is no longer included in the combined group.
 30        (6)  If  the  credit allowed by subsection (1) of this section exceeds the
 31    limitation under subsection (4) of this section the excess amount may be  car-
 32    ried  forward for a period that does not exceed the next fourteen (14) taxable
 33    years. When credits earned in more than one (1) taxable  year  are  available,
 34    the oldest credits shall be applied first.
 35        (7)  In the event that the company in which the investment was made ceases
 36    to  qualify  as an Idaho private venture capital company before the expiration
 37    of the carryover period provided in subsection (6) of this section,  the  por-
 38    tion  of  the credit equal to the portion of the carryover period during which
 39    the company did not so qualify shall be subject to  recapture.  The  recapture
 40    must  be  reported  on  the  income  tax return of the taxpayer who earned the
 41    credit subject to  the  requirements  for  amounts  recaptured  under  section
 42    63-3029B, Idaho Code.
 43        (8)  (a)  Subject to the requirements of this subsection, a taxpayer enti-
 44        tled  to  the credit or to an unused portion of the credit allowed by this
 45        section may transfer the unused credit to  another  taxpayer  required  to
 46        file a return under this chapter.
 47        (b)  Before  completing  a  transfer under this subsection, the transferor
 48        shall notify the state tax commission of its  intention  to  transfer  the
 49        credit  and the identity of the transferee. The state tax commission shall
 50        provide the transferor with a written statement of the  amount  of  credit
 51        available under this section as then appearing in the commission's records
 52        and  the  number  of  years the credit may be carried over. The transferor
 53        shall provide the transferee with the original statement.  The  transferee
 54        shall  attach a copy of the statement to any return in regard to which the
 55        transferred credit is claimed.
                                                                        
                                           22
                                                                        
  1        (c)  In the event that after the transfer the state tax commission  deter-
  2        mines  that  the amount of credit properly available under this section is
  3        less than the amount claimed by the transferor of the credit and shown  in
  4        the  statement described in subsection (8)(b) of this section, the commis-
  5        sion shall assess the amount of overstated credit as taxes  due  from  the
  6        transferor  and  not  the  transferee. The assessment shall be made in the
  7        manner provided for a deficiency in taxes under this chapter.
  8        (9)  In addition to other needed rules, the state tax commission may  pro-
  9    mulgate rules prescribing:
 10        (a)  In  the  case  of  S corporations, partnerships, trusts or estates, a
 11        method of attributing the credit under this section to  the  shareholders,
 12        partners  or beneficiaries in proportion to their share of the income from
 13        the S corporation, partnership, trust or estate.
 14        (b)  A requirement that a transferor under subsection (8) of this section,
 15        prior to obtaining the written statement provided in subsection (8)(b)  of
 16        this  section,  post such bond or security as the state tax commission may
 17        require to secure any liability referred to in subsection (8)(c)  of  this
 18        section.   Such  rule  shall provide an opportunity for a taxpayer, upon a
 19        showing of financial responsibility, to have the bond waiver,  for  notice
 20        of  denial  of  waiver in accordance with section 63-3045, Idaho Code, and
 21        for review in accordance with section 63-3045B, Idaho Code.
                                                                        
 22        SECTION 19.  That Sections 63-3029E and 63-3029F, Idaho Code, be, and  the
 23    same are hereby repealed.
                                                                        
 24        SECTION  20.  That  Chapter  30, Title 63, Idaho Code, be, and the same is
 25    hereby amended by the addition thereto of a NEW SECTION, to be known and  des-
 26    ignated as Section 63-3029E, Idaho Code, and to read as follows:
                                                                        
 27        63-3029E.  DEFINITIONS  --  CONSTRUCTION OF TERMS. As used in this section
 28    and in section 63-3029F, Idaho Code:
 29        (1)  (a)  "New employee" means a person from whom  Idaho  income  tax  has
 30        been  withheld, employed by the taxpayer in a revenue-producing enterprise
 31        creating value-added natural resource products, and covered for  unemploy-
 32        ment insurance purposes under chapter 13, title 72, Idaho Code, during the
 33        taxable year for which the credit allowed by section 63-3029F, Idaho Code,
 34        is  claimed. A person shall be deemed to be so engaged if such person per-
 35        forms duties on:
 36             (i)   A regular full-time basis; or
 37             (ii)  A part-time basis if such person is customarily performing such
 38             duties at least twenty (20) hours per week.
 39        No credit shall be earned unless the new  employee  shall  have  performed
 40        such  duties  for the taxpayer for a minimum of nine (9) months during the
 41        taxable year for which the credit is claimed.
 42        (b)  The provisions of paragraph (a) of this  subsection  notwithstanding,
 43        no  credit  shall  be  allowed for employment of persons by a taxpayer who
 44        acquires a revenue-producing enterprise from another taxpayer or who oper-
 45        ates in a place of business the same or a substantially identical revenue-
 46        producing value-added natural resource products enterprise as operated  by
 47        another  taxpayer within the prior twelve (12) months, except as the prior
 48        taxpayer would have qualified under the provisions  of  paragraph  (c)  of
 49        this  subsection.  Employees transferred from a related taxpayer shall not
 50        be included in the computation of the credit.
 51        (c)  The number of employees during any  taxable  year  for  any  taxpayer
 52        shall  be  the mathematical average of the number of employees reported to
                                                                        
                                           23
                                                                        
  1        the Idaho department of labor for employment security purposes during  the
  2        twelve (12) months of the taxable year which qualified under paragraph (a)
  3        of  this  subsection.  In  the event the business is in operation for less
  4        than the entire taxable year, the number of employees of the business  for
  5        the  year  shall be the average number actually employed during the months
  6        of operation, providing that the qualifications of paragraph (a)  of  this
  7        subsection are met.
  8        (2)  "Revenue-producing enterprise" means the production, assembly, fabri-
  9    cation, manufacture or processing of any natural resource product.
 10        (3)  "Same  or  a  substantially  identical  revenue-producing enterprise"
 11    means a revenue-producing enterprise in which the products produced  or  sold,
 12    or  the  activities  conducted  are the same in character and use and are pro-
 13    duced, sold or conducted in the same manner as, or for the same types of  cus-
 14    tomers  as,  the products or activities produced, sold or conducted in another
 15    revenue-producing enterprise.
                                                                        
 16        SECTION 21.  That Chapter 30, Title 63, Idaho Code, be, and  the  same  is
 17    hereby  amended by the addition thereto of a NEW SECTION, to be known and des-
 18    ignated as Section 63-3029F, Idaho Code, and to read as follows:
                                                                        
 19        63-3029F.  SPECIAL CREDIT AVAILABLE -- NEW  EMPLOYEES.  (1)  Any  taxpayer
 20    shall  be  allowed  a  credit, in an amount determined under subsection (2) of
 21    this section, against the tax imposed by this  chapter,  other  than  the  tax
 22    imposed  by section 63-3082, Idaho Code, for any taxable year during which the
 23    taxpayer's employment of new employees, as defined under section  63-3029E(1),
 24    Idaho Code, increases above the taxpayer's average employment for either:  (a)
 25    the  prior  taxable year, or (b) the average of three (3) prior taxable years,
 26    whichever is higher. No credit shall be allowed under this section unless  the
 27    number of new employees equals or exceeds one (1) person.
 28        (2)  The credit authorized in subsection (1) of this section shall be five
 29    hundred  dollars  ($500)  per new employee, but the total credit allowed shall
 30    not exceed three and one-quarter  percent  (3.25%)  of  net  income  from  the
 31    taxpayer's  corporate, proprietorship, partnership, small business corporation
 32    or limited liability company revenue-producing enterprise in which the employ-
 33    ment occurred. Additionally, the total of this and all other  credits  allowed
 34    under  this  chapter  except  for the credits allowed under sections 63-3024A,
 35    63-3025D and 63-3029, Idaho Code, taken during  any  taxable  year  shall  not
 36    exceed  forty-five  percent (45%) of the tax otherwise imposed on the taxpayer
 37    for the taxable year for which such credit is allowed.
 38        (3)  If the sum of the credit carryovers from the credit allowed  by  sub-
 39    section (2) of this section and the amount of credit for the taxable year from
 40    the  credit  allowed  by  subsection (2) of this section exceed the limitation
 41    imposed by subsection (2) of this section for the current  taxable  year,  the
 42    excess  attributable  to  the  current taxable year's credit shall be a credit
 43    carryover to the three (3) succeeding taxable  years.  The  entire  amount  of
 44    unused  credit  shall  be  carried  forward  to the earliest of the succeeding
 45    years, wherein the oldest available unused credit shall be used first, so long
 46    as the employment level for which the credit was granted is still maintained.
                                                                        
 47        SECTION 22.  That Chapter 30, Title 63, Idaho Code, be, and  the  same  is
 48    hereby  amended by the addition thereto of a NEW SECTION, to be known and des-
 49    ignated as Section 63-3022Q, Idaho Code, and to read as follows:
                                                                        
 50        63-3022Q.  DEDUCTION OF CAPITAL GAINS FOR QUALIFYING TAXPAYERS. (1)  If  a
 51    qualifying  taxpayer reports a net capital gain in determining taxable income,
                                                                        
                                           24
                                                                        
  1    one hundred percent (100%) of the net capital gain from the sale  or  exchange
  2    of qualified property shall be a deduction in determining taxable income.
  3        (2)  The  deduction  provided  in this section is limited to the amount of
  4    the net capital gain from all property included in federal taxable income. Net
  5    capital gains treated as ordinary income by the Internal Revenue Code  do  not
  6    qualify  for  the  deduction  allowed in this section. The deduction otherwise
  7    allowable under this section shall be reduced by the  amount  of  any  federal
  8    capital gains deduction relating to such property, but not below zero (0).
  9        (3)  As  used  in  this  section  "qualified property" means the following
 10    property having an Idaho situs at the time of sale:
 11        (a)  Real property held at least eighteen (18) months;
 12        (b)  Tangible personal property used in Idaho for  at  least  twelve  (12)
 13        months by a revenue-producing enterprise;
 14        (c)  Cattle or horses held for breeding, draft, dairy or sporting purposes
 15        for  at  least  twenty-four (24) months if more than one-half (1/2) of the
 16        taxpayer's gross income, as defined in section 61(a) of the Internal Reve-
 17        nue Code, for the taxable year is from farming or ranching  operations  in
 18        Idaho;
 19        (d)  Breeding  livestock  other than cattle or horses held at least twelve
 20        (12) months if more than one-half (1/2) of the taxpayer's gross income, as
 21        defined in section 61(a) of the Internal Revenue  Code,  for  the  taxable
 22        year is from farming or ranching operations in Idaho;
 23        (e)  Timber grown in Idaho and held at least twenty-four (24) months;
 24        (f)  An  equity  interest held by an Idaho private venture capital company
 25        as defined in section 63-3029K, Idaho Code, including stock in a  corpora-
 26        tion,  interest in a partnership or membership in a limited liability com-
 27        pany, if:
 28             (i)  The Idaho private venture capital company or its investors  have
 29             held the equity interest for at least three (3) years; and
 30             (ii) The  equity  interest  is  used by a business enterprise that is
 31             headquartered and managed in Idaho whose business  activity  for  the
 32             entity's  three  (3)  taxable years immediately preceding the sale is
 33             entirely in Idaho or at least fifty percent (50%) in Idaho as  deter-
 34             mined  by  the  average  property  and  payroll factors under section
 35             63-3027, Idaho Code.
 36        (g)  In determining the period for which property subject to this  section
 37        has  been held by a qualifying taxpayer, the provisions of section 1223 of
 38        the Internal Revenue Code shall apply, except that when the holding period
 39        includes any period during which the  qualifying  taxpayer  held  property
 40        other  than the property sold, all property held during the holding period
 41        must qualify under this section.
 42        (4)  If a qualifying taxpayer  reports a capital gain from qualified prop-
 43    erty from an S corporation or a partnership,  a  deduction  shall  be  allowed
 44    under  this section only to the extent the qualifying taxpayer held his inter-
 45    est in the income of the  S  corporation  or  the  partnership  for  the  time
 46    required by subsection (3) of this section for the property sold.
 47        (5)  If  a  qualifying taxpayer  reports a capital gain from an estate, no
 48    deduction shall be allowed  under  this  section  unless  the  holding  period
 49    required  in subsection (3) of this section was satisfied by the decedent, the
 50    estate, or the beneficiary, or a combination thereof.
 51        (6)  If a qualifying taxpayer  reports a capital gain  from  a  trust,  no
 52    deduction  shall  be  allowed  under  this  section  unless the holding period
 53    required in subsection (3) of this section was satisfied by the  grantor,  the
 54    trust, or the beneficiary, or a combination thereof.
 55        (7)  As used in this section, "revenue-producing enterprise" means:
                                                                        
                                           25
                                                                        
  1        (a)  The  production,  assembly, fabrication, manufacture or processing of
  2        any agricultural, mineral, timber or manufactured product;
  3        (b)  The storage, warehousing, distribution, or sale at wholesale  of  any
  4        products of agriculture, mining, timber or manufacturing;
  5        (c)  The feeding of livestock at a feedlot;
  6        (d)  The  operation  of  laboratories  or other facilities for scientific,
  7        agricultural, animal husbandry, or  industrial  research,  development  or
  8        testing.
  9        (8)  As used in this section, "qualifying taxpayer" means a corporation, a
 10    trust, estate, partnership, an association, a limited liability company, or an
 11    S corporation, but does not include an individual.
                                                                        
 12        SECTION  23.  That  Chapter  30, Title 63, Idaho Code, be, and the same is
 13    hereby amended by the addition thereto of a NEW SECTION, to be known and  des-
 14    ignated as Section 63-3024D, Idaho Code, and to read as follows:
                                                                        
 15        63-3024D.  INCOME TAX CREDITS FOR PERSONAL PROPERTY TAXES. (1) For taxable
 16    year  2001  only,  there  shall be allowed as a credit against taxes due under
 17    this chapter one hundred percent (100%) of the  amount of taxes due in  Decem-
 18    ber  2001 on class 2 property that is agricultural machinery and equipment and
 19    is defined in section 63-204, Idaho Code, and used solely in agriculture  dur-
 20    ing that tax year. For purposes of this section:
 21        (a)  "Agricultural  machinery  and equipment" shall mean any machinery and
 22        equipment that is used in:
 23             (i)   Production of  field  crops  including,  but  not  limited  to,
 24             grains, feed crops, fruits and vegetables; or
 25             (ii)  The grazing, feeding, or raising of livestock, fur-bearing ani-
 26             mals, fish, fowl, and bees to be sold or used as part of a net profit
 27             making agricultural enterprise or dairy.
 28        (b)  Buildings  shall  not  be considered to be agricultural machinery and
 29        equipment.
 30        (2)  The maximum amount of the credit established by this section shall be
 31    that enumerated in subsection (1)  of this section. If taxes due are less than
 32    the total credit allowed, the taxpayer shall be paid a refund. If  the  credit
 33    or  refund  is  not  claimed  for the year for which the  income tax return is
 34    filed, the right thereafter to claim such credit or refund shall be forfeited.
 35    The state tax commission shall prescribe the method by which  the  refund,  if
 36    any, is to be made to the taxpayer.
 37        (3)  The  refunds  authorized by this section shall be paid from the state
 38    refund fund in the same manner as the refunds authorized by  section  63-3067,
 39    Idaho Code.   An application for any refund which is due and payable under the
 40    provisions of this section must be filed with the state tax commission by  the
 41    due  date, including extensions, of the return required under section 63-3030,
 42    Idaho Code, if the applicant is required to file a return or the fifteenth day
 43    of April of the year following the year to which the  application  relates  if
 44    the applicant is not required to file a return.
 45        (4)  The state tax commission may promulgate rules to implement the provi-
 46    sions of this section. The commission may require such receipts and documenta-
 47    tion from taxpayers and county assessors necessary to implement the provisions
 48    of  this  section.  If sufficient moneys are not available in the state refund
 49    fund to pay in full credits or refunds, the state tax commission may  grant  a
 50    pro rata share to all taxpayers based on the amount of the credit for personal
 51    property  taxes  paid  pursuant  to   the  formula provided in this section to
 52    ensure soundness of the fund.
                                                                        
                                           26
                                                                        
  1        SECTION 24.  That Chapter 35, Title 67, Idaho Code, be, and  the  same  is
  2    hereby  amended by the addition thereto of a NEW SECTION, to be known and des-
  3    ignated as Section 67-3529, Idaho Code, and to read as follows:
                                                                        
  4        67-3529.  TREATMENT OF GENERAL FUND SURPLUS --  MONEYS  FOR  PROPERTY  TAX
  5    RELIEF.  Subject  to  the requirements of section 63-3203, Idaho Code, if  the
  6    state controller certifies that the fiscal year has ended with  an  unexpended
  7    and  unencumbered balance in the general fund, the unexpended and unencumbered
  8    balance shall be treated as follows during 2001 only:
  9        (1)  The state controller shall deduct any funds to be transferred to  the
 10    budget  stabilization  fund  in the following fiscal year, pursuant to section
 11    57-814, Idaho Code.
 12        (2)  If any unexpended and unencumbered  balance remains after the  imple-
 13    mentation  of  subsection (1) of this section, then the state controller shall
 14    deduct this excess from the unexpended and unencumbered balance, up to a maxi-
 15    mum of one percent (1%) of the general fund revenue collection for the  fiscal
 16    year just ended to be retained by the general fund.
 17        (3)  If  any unexpended and unencumbered balance  remains after the imple-
 18    mentation of subsections (1) and (2) of this section, and this unexpended  and
 19    unencumbered balance represents more than one percent (1%) of the general fund
 20    revenue  collections for the fiscal year just ended, then seventy-five percent
 21    (75%) of this remaining unexpended and unencumbered balance shall be  remitted
 22    to  the  state  refund fund in section 63-3067, Idaho Code, for payment of the
 23    income tax credits and refunds of personal property taxes pursuant to  section
 24    63-3024D, Idaho Code, for taxable year 2001.
                                                                        
 25        SECTION  25.  That Section 63-3067, Idaho Code, be, and the same is hereby
 26    amended to read as follows:
                                                                        
 27        63-3067.  REVENUE RECEIVED -- STATE REFUND ACCOUNT FUND. (1) A  sum  equal
 28    to  the  amount withheld under section 63-3035A, Idaho Code, shall be distrib-
 29    uted fifty percent (50%) to the public school income fund to  be  utilized  to
 30    facilitate  and  provide substance abuse programs in the public school system,
 31    and fifty percent (50%) shall be distributed to the counties  to  be  utilized
 32    for county juvenile probation services. These funds shall be distributed quar-
 33    terly  to  the counties based upon the percentage the population of the county
 34    bears to the population of the state as a whole.
 35        (2)  All moneys except as provided in subsection (1) of this section,  and
 36    except  as hereinafter provided, received by the state of Idaho under this act
 37    shall be deposited by the state tax commission, as received by  it,  with  the
 38    state  treasurer  and  shall  be  placed  in  and become a part of the general
 39    account fund under the custody of the state treasurer. Providing however, that
 40    an amount equal to twenty percent (20%) of the amount deposited with the state
 41    treasurer shall be placed in the "state refund account fund" which  is  hereby
 42    created  for the purpose of repaying overpayments, for the purpose of repaying
 43    taxpayers for personal property taxes paid as provided  in  section  63-3024D,
 44    Idaho  Code,  for the purpose of depositing in the trust accounts specified in
 45    section 63-3067A, Idaho Code, such amounts as may be designated by individuals
 46    for the purpose of depositing in the Idaho ag  in  the  classroom  account  an
 47    amount  as  may  be  designated  by the individual receiving a refund for such
 48    overpayment, and for the purpose of paying any other erroneous receipts  ille-
 49    gally  assessed  or collected, penalties collected without authority and taxes
 50    and licenses unjustly assessed, collected or which are  excessive  in  amount.
 51    Whenever  necessary  for  the purpose of making prompt payment of refunds, the
 52    board of examiners, upon request from the  state  tax  commission,  and  after
                                                                        
                                           27
                                                                        
  1    review, may authorize the state tax commission to transfer any additional spe-
  2    cific  amount  from income tax collections to the "state refund account fund."
  3    There is appropriated out of the state refund account fund so much thereof  as
  4    may  be  necessary for the payment of the refunds herein provided. Claims for,
  5    and payment of refunds under the provisions of this section shall be  made  in
  6    the same manner as other claims against the state of Idaho.
  7        Any  unencumbered  balance  remaining  in the state refund account fund on
  8    June 30 of each and every year in excess of the sum of one million  five  hun-
  9    dred thousand dollars ($1,500,000) shall be transferred to the general account
 10    fund  and the state controller is hereby authorized and directed on such dates
 11    to make such transfers unless the board of examiners, which is  hereby  autho-
 12    rized to do so, changes the date of transfer or sum to be transferred.
                                                                        
 13        SECTION  26.  That  Chapter  30, Title 63, Idaho Code, be, and the same is
 14    hereby amended by the addition thereto of a NEW SECTION, to be known and  des-
 15    ignated as Section 63-3029L, Idaho Code, and to read as follows:
                                                                        
 16        63-3029L.  INCOME TAX CREDIT FOR AT-HOME PARENT. (1)  For income tax years
 17    beginning on and after January 1, 2001, there shall be allowed at the election
 18    of  the  taxpayer,  subject to the applicable limitations provided herein as a
 19    credit against the income tax imposed by the provisions  of  section  63-3024,
 20    Idaho  Code,  a  nonrefundable  credit of one hundred fifty dollars ($150) for
 21    each qualifying child, for up to two (2) qualifying children, if
 22        (a)  The taxpayer or another taxpayer filing a joint individual income tax
 23        return with the taxpayer is an at-home parent; and
 24        (b)  The federal adjusted gross income of all of the taxpayers filing  the
 25        individual  income tax return is fifty thousand dollars ($50,000) or less;
 26        and
 27        (c)  No taxpayer filing the individual income tax return  received  public
 28        assistance  from  the  state of Idaho or any political subdivision thereof
 29        during the taxable year for which the credit is being claimed; and
 30        (d)  No taxpayer filing the individual income tax return is  claiming  any
 31        federal child care tax credit during the taxable year for which the credit
 32        is being claimed.
 33        (2)  For purposes of this section:
 34        (a)  "At-home parent" means a parent:
 35             (i)   Who  provides  full-time care at the parent's residence for one
 36             (1) or more of the parent's own qualifying children; and
 37             (ii)  Who claims the qualifying child as a dependent on the  parent's
 38             individual  income tax return for the taxable year for which the par-
 39             ent claims the credit.
 40        (b)  "Parent" means an individual who:
 41             (i)   Is the biological mother or father of a qualifying child;
 42             (ii)  Is the stepfather or stepmother of a qualifying child;
 43             (iii) Has legally adopted a qualifying child;
 44             (iv)  Is a foster parent of a qualifying child; or
 45             (v)   Is a legal guardian of a qualifying child.
 46        (c)  "Qualifying child" means a child who is  no  older  than  sixty  (60)
 47        months  of age on the last day of the taxable year for which the credit is
 48        claimed.
 49        (3)  If the credit is not claimed for the year in  which  the  income  tax
 50    return is filed, the right thereafter to claim such credit shall be forfeited.
 51        (4)  The  state tax commission may promulgate rules as necessary to imple-
 52    ment the provisions of this section.
                                                                        
                                           28
                                                                        
  1        SECTION 27.  The provisions of Section 5, Sections 10 through 13 and  Sec-
  2    tions  16,  17  and 18 of this act are hereby declared to be nonseverable from
  3    other provisions within each section and if any provision of any of those sec-
  4    tions or the application of such provision to any person  or  circumstance  is
  5    declared invalid for any reason, such declaration shall render the entire sec-
  6    tion invalid but not other sections of this act.
                                                                        
  7        SECTION  28.  An  emergency  existing  therefor, which emergency is hereby
  8    declared to exist, Sections 1 through 18 and Sections 22 through  27  of  this
  9    act  shall  be in full force and effect on and after passage and approval, and
 10    retroactively to January 1, 2001. Sections 19, 20 and 21 of this act shall  be
 11    in full force and effect on and after January 1, 2006.

Amendment


                                                                        
                                                                        
  ||||              LEGISLATURE OF THE STATE OF IDAHO             ||||
 Fifty-fifth Legislature                  Second Regular Session - 2000
                                                                        
                                                                        
                                                        Moved by    Thorne           
                                                                        
                                                        Seconded by Bunderson        
                                                                        
                                                                        
                                       IN THE SENATE
                             SENATE AMENDMENTS TO H.B. NO. 275
                                                                        
  1                                AMENDMENT TO THE BILL
  2        On page 2 of the printed bill, delete lines  37  through  52;  and  delete
  3    pages 3 through 28, and insert:
  4        "SECTION  1.  That Section 63-3024, Idaho Code, be, and the same is hereby
  5    amended to read as follows:
                                                                        
  6        63-3024.  INDIVIDUALS' TAX AND TAX ON ESTATES AND TRUSTS. For taxable year
  7    20001, a tax measured by Idaho taxable income as defined in  this  chapter  is
  8    hereby  imposed upon every individual, trust, or estate required by this chap-
  9    ter to file a return.
 10        (a)  (i)  The tax imposed upon individuals, trusts and  estates  shall  be
 11    computed at the following rates:
 12    When Idaho taxable income is:    The rate is:
 13    Less than $1,000                 One and ninefive-tenths percent (1.95%)
 14    $1,000 but less than $2,000      $195, plus  three and ninefive-tenths
 15                                     percent (3.95%) of the amount over $1,000
 16    $2,000 but less than $3,000      $580, plus four and  four-tenths
 17                                     percent (4.4%) of the amount over $2,000
 18    $3,000 but less than $4,000      $10290, plus five and  four-tenths
 19                                     percent (5.4%) of the amount over $3,000
 20    $4,000 but less than $5,000      $15640, plus six and  four-tenths
 21                                     percent (6.4%) of the amount over $4,000
 22    $5,000 but less than $7,500      $2200, plus seven and  four-tenths
 23                                     percent (7.4%) of the amount over $5,000
 24    $7,500 but less than $20,000     $40375, plus seven and seventhree-tenths
 25                                     percent (7.73%) of the amount over $7,500
 26    Over $20,000                     $1,36287.50, plus eight and oneseven and
 27                                     seven-tenths percent (8.17.7%) of the
 28                                     amount over $20,000
 29        (ii) For  taxable  year 20012 and each taxable year thereafter, a tax mea-
 30    sured by Idaho taxable income as defined in this  chapter  is  hereby  imposed
 31    upon  every  individual,  trust,  or estate required by this chapter to file a
 32    return.
 33        The tax imposed upon individuals, trusts and estates shall be computed  at
 34    the following rates:
 35    When Idaho taxable income is:    The rate is:
 36    Less than $1,000                 Two percent (2.0%)
 37    $1,000 but less than $2,000      $20, plus four percent (4.0%)
 38                                     of the amount over $1,000
 39    $2,000 but less than $3,000      $60, plus four and one-half percent
 40                                     (4.5%) of the amount over $2,000
 41    $3,000 but less than $4,000      $105, plus five and one-half percent
 42                                     (5.5%) of the amount over $3,000
 43    $4,000 but less than $5,000      $160, plus six and one-half percent
                                                                        
                                       2
                                                                        
  1                                     (6.5%) of the amount over $4,000
  2    $5,000 but less than $7,500      $225, plus seven and one-half percent
  3                                     (7.5%) of the amount over $5,000
  4    $7,500 but less than $20,000     $412.50, plus seven and eight-tenths percent
  5                                     (7.8%) of the amount over $7,500
  6    Over $20,000                     $1,387.50, plus eight and two-tenths percent
  7                                     (8.2%) of the amount over $20,000
  8    Less than $1,000                 One and seventy-five hundredths
  9                                     percent (1.75%)
 10    $1,000 but less than $2,000      $17.50, plus three and seventy-five
 11                                     hundredths percent (3.75%)
 12                                     of the amount over $1,000
 13    $2,000 but less than $3,000      $55, plus four and  twenty-five
 14                                     hundredths percent (4.25%)
 15                                     of the amount over $2,000
 16    $3,000 but less than $4,000      $97.50, plus five and  twenty-five
 17                                     hundredths percent (5.25%)
 18                                     of the amount over $3,000
 19    $4,000 but less than $5,000      $150, plus six and  twenty-five
 20                                     hundredths percent (6.25%)
 21                                     of the amount over $4,000
 22    $5,000 but less than $7,500      $212.50, plus seven and  twenty-five
 23                                     hundredths percent (7.25%)
 24                                     of the amount over $5,000
 25    $7,500 but less than $20,000     $393.75, plus seven and fifty-five
 26                                     hundredths percent (7.55%)
 27                                     of the amount over $7,500
 28    Over $20,000                     $1,337.50, plus seven and ninety-five
 29                                     hundredths percent (7.95%)
 30                                     of the amount over $20,000
 31        For  taxable  year 2000 and each year thereafter, the state tax commission
 32    shall prescribe a factor which shall be used to compute the Idaho  income  tax
 33    brackets provided in  subsections (a)(i) and (a)(ii) of this section. The fac-
 34    tor  shall  provide  an adjustment to the Idaho tax brackets so that inflation
 35    will not result in a tax increase. The Idaho tax brackets shall be adjusted as
 36    follows: multiply the bracket amounts by the percentage  (the  consumer  price
 37    index  for  the calendar year immediately preceding the calendar year to which
 38    the adjusted brackets will apply divided by the consumer price index for  cal-
 39    endar  year  1998).  For  the  purpose of this computation, the consumer price
 40    index for any calendar year is the average of the consumer price index  as  of
 41    the close of the twelve (12) month period for the immediately preceding calen-
 42    dar year as adopted by the state tax commission. This adoption shall be exempt
 43    from  the  provisions  of chapter 52, title 67, Idaho Code. The consumer price
 44    index shall mean the consumer price index for all U.S.  urban  consumers  pub-
 45    lished  by  the  United  States  department of labor. The state tax commission
 46    shall annually include the factor as provided in this subsection  to  multiply
 47    against  Idaho  taxable  income in the brackets above to arrive at that year's
 48    taxable income for tax bracket purposes.
 49        (b)  In case a joint return is filed by husband and wife pursuant  to  the
 50    provisions  of  section  63-3031,  Idaho Code, the tax imposed by this section
 51    shall be twice the tax which would be imposed on one-half (1/2) of the  aggre-
 52    gate  Idaho  taxable  income.  For the purposes of this section, a return of a
 53    surviving spouse, as defined in section 2(a) of the Internal Revenue Code, and
 54    a head of household, as defined in section 2(b) of the Internal Revenue  Code,
 55    shall  be treated as a joint return and the tax imposed shall be twice the tax
                                                                        
                                       3
                                                                        
  1    which would be imposed on one-half (1/2) of the Idaho taxable income.
  2        (c)  The state tax commission shall compute and publish Idaho  income  tax
  3    liability  for  taxpayers  at  the  midpoint  of each bracket of Idaho taxable
  4    income in fifty dollar ($50.00) steps to  fifty  thousand  dollars  ($50,000),
  5    rounding  such  calculations  to  the  nearest dollar. Taxpayers having income
  6    within such brackets shall file returns based upon and pay taxes according  to
  7    the schedule thus established. The state tax commission shall promulgate rules
  8    defining the conditions upon which such returns shall be filed.
                                                                        
  9        SECTION  2.  That Section 63-3024A, Idaho Code, be, and the same is hereby
 10    amended to read as follows:
                                                                        
 11        63-3024A.  CREDITS AND REFUNDS. (a) Any resident individual  not  entitled
 12    to the credit allowed in subsection (b)(1), who is required to file by law and
 13    who  has  filed  an Idaho income tax return, shall be allowed a credit against
 14    taxes due under the Idaho income tax act equal to the amount of fifteen twenty
 15    dollars ($1520.00) for each personal exemption for which a deduction  is  per-
 16    mitted  by  section 151(b) and (c) of the Internal Revenue Code if such deduc-
 17    tion is claimed on the taxpayer's Idaho income tax return, and if the individ-
 18    ual for whom the deduction is claimed is a resident of the state of Idaho.  If
 19    taxes due are less than the total credit allowed, the taxpayer shall be paid a
 20    refund  equal  to the balance of the unused credit. If the credit or refund is
 21    not claimed for the year for which the individual income tax return is  filed,
 22    the  right  thereafter  to claim such credit or refund shall be forfeited. The
 23    state tax commission shall prescribe the method by which the refund,  if  any,
 24    is to be made to the taxpayer.
 25        (b) (1)  A  resident  individual  who has reached his sixty-fifth birthday
 26        before the end of his taxable year, who is required to file by law and who
 27        has filed an Idaho income tax return, shall be allowed  a  credit  against
 28        taxes  due  under  the  Idaho  income  tax  act  equal  to  the  amount of
 29        thirty-five dollars ($305.00) for  each  personal  exemption  representing
 30        himself,  a  spouse  over the age of sixty-five (65) years, or a dependent
 31        over the age of sixty-five (65) years,  but  shall  be  allowed  a  credit
 32        against  taxes  due under the Idaho income tax act equal to fifteen twenty
 33        dollars ($1520.00) for each personal exemption representing  a  spouse  or
 34        dependent  under  the  age of sixty-five (65) years. If taxes due are less
 35        than the total credit allowed, the taxpayer shall be paid a  refund  equal
 36        to  the  balance  of  the  unused  credit.  If the credit or refund is not
 37        claimed for the year for which the individual income tax return is  filed,
 38        the  right  thereafter  to claim such credit or refund shall be forfeited.
 39        The state tax commission shall prescribe the method by which  the  refund,
 40        if any, is to be made to the taxpayer.
 41        (2)  A resident individual who has reached his sixty-fifth birthday and is
 42        not  required  by  law  to  file  an  Idaho  income tax return and who has
 43        received no credit or refund under any other subsection of  this  section,
 44        shall be entitled to a refund of thirty-five dollars ($305.00). Any refund
 45        shall be paid to such individual only upon his making application therefor
 46        at such time and in such manner as may be prescribed by the state tax com-
 47        mission.
 48        (c)  A resident individual of the state of Idaho who is:
 49        (i)   blind, or
 50        (ii)  a  disabled  American  veteran  of  any war engaged in by the United
 51        States, whose disability is recognized as a service  connected  disability
 52        of a degree of ten per cent percent (10%) or more, or who is in receipt of
 53        a  pension  for nonservice connected disabilities, in accordance with laws
                                                                        
                                       4
                                                                        
  1        and regulations administered by the United States veterans administration,
  2        substantiated by a statement as to status signed by a responsible  officer
  3        of the United States veterans administration, or
  4        (iii) over sixty-two (62) years of age, and has been allowed none, or less
  5        than  all,  of  the credit provided by subsection (a) or subsection (b) of
  6        this section, shall be entitled to a payment from the refund  fund  in  an
  7        amount  equal  to fifteen twenty dollars ($1520.00), or the balance of his
  8        unused credit, whichever is less, upon making application therefor at such
  9        time and in such manner as the state tax commission may prescribe.
 10        (d)  Any part-year resident entitled to a credit under this section  shall
 11    receive  a  proportionate credit, in the manner above provided, reflecting the
 12    part of the year in which he was domiciled in this state.
 13        (e)  No credit or refund may be claimed for an exemption which  represents
 14    a person who has himself filed an Idaho income tax return claiming a deduction
 15    for  his  own personal exemption, and in no event shall more than one (1) tax-
 16    payer be allowed a credit or refund for the same exemption, or under more than
 17    one (1) subsection of this section.
 18        (f)  The refunds authorized by this section shall be paid from  the  state
 19    refund  fund  in the same manner as the refunds authorized by section 63-3067,
 20    Idaho Code.
 21        (g)  An application for any refund which is due and payable under the pro-
 22    visions of this section must be filed with the  state  tax  commission  within
 23    three (3) years of:
 24        (i)  the due date, including extensions, of the return required under sec-
 25        tion  63-3030,  Idaho Code, if the applicant is required to file a return,
 26        or
 27        (ii) the 15th day of April of the year following the  year  to  which  the
 28        application relates if the applicant is not required to file a return.
                                                                        
 29        SECTION  3.  That  Section 63-3025, Idaho Code, be, and the same is hereby
 30    amended to read as follows:
                                                                        
 31        63-3025.  TAX ON CORPORATE INCOME. For taxable  years  commencing  on  and
 32    after  January  1,  1987  2001,  a  tax is hereby imposed on the Idaho taxable
 33    income of a corporation which transacts or is authorized to transact  business
 34    in this state or which has income attributable to this state. The tax shall be
 35    equal  to  eight seven and five-tenths percent (87.5%) of Idaho taxable income
 36    for taxable year 2001 and seven and seventy-five hundredths percent (7.75%) of
 37    Idaho taxable income for taxable year 2002 and thereafter; provided,  however,
 38    that  the tax shall not be less than twenty dollars ($20.00); provided further
 39    that the twenty dollar ($20.00) minimum payment shall not  be  collected  from
 40    nonproductive  mining  corporations. The tax imposed by this section shall not
 41    apply to corporations taxed pursuant to the provisions  of  section  63-3025A,
 42    Idaho Code.
                                                                        
 43        SECTION  4.  That Section 63-3025A, Idaho Code, be, and the same is hereby
 44    amended to read as follows:
                                                                        
 45        63-3025A.  FRANCHISE TAX. For taxable years commencing on and after  Janu-
 46    ary  1,  1987  2001, a franchise tax shall be imposed upon any corporation for
 47    the privilege of exercising its corporate franchise within  the  state  during
 48    such  taxable  year,  including,  but  not limited to, corporations engaged in
 49    business in Idaho for the exclusive purpose of performing contracts  with  the
 50    United States department of energy at the Idaho national engineering and envi-
 51    ronmental laboratory, which tax shall be measured by income which is attribut-
                                                                        
                                       5
                                                                        
  1    able to this state under the provisions of this chapter and which tax shall be
  2    equal  to  eight  percent (8%) of Idaho taxable income at the rate provided in
  3    section 63-3025, Idaho Code; provided, however, that the tax shall not be less
  4    than twenty dollars ($20.00); provided further that the twenty dollar ($20.00)
  5    minimum payment shall not be collected from nonproductive mining corporations;
  6    but the twenty dollar ($20.00) minimum tax shall apply to corporations  quali-
  7    fied  to file returns and actually filing returns under the provisions of sub-
  8    chapter "S" of the Internal Revenue Code.
                                                                        
  9        SECTION 5.  That Section 63-3029B, Idaho Code, be, and the same is  hereby
 10    amended to read as follows:
                                                                        
 11        63-3029B.  INCOME  TAX  CREDIT FOR CAPITAL INVESTMENT. (1) At the election
 12    of the taxpayer there shall be allowed, subject to the applicable  limitations
 13    provided  herein  as  a  credit  against the income tax imposed by chapter 30,
 14    title 63, Idaho Code, an amount equal to the sum of:
 15        (a)  The tax credit carryovers; and
 16        (b)  The tax credit for the taxable year.
 17        (2)  The maximum allowable amount of the credit for  the  current  taxable
 18    year  shall  be three percent (3%) of the amount of qualified investments made
 19    during the taxable year.
 20        (3)  As used in this section "qualified investment" means  certain  depre-
 21    ciable property which:
 22        (a)  (i)  Is eligible for the federal investment tax credit, as defined in
 23             sections  46(c)  and  48  of the Internal Revenue Code subject to the
 24             limitations provided for certain regulated companies in section 46(f)
 25             of the Internal Revenue Code and is not a motor vehicle  under  eight
 26             thousand (8,000) pounds gross weight; or
 27             (ii) Is qualified broadband equipment as defined in section 63-3029I,
 28             Idaho Code; and
 29        (b)  Is  acquired, constructed, reconstructed, erected or placed into ser-
 30        vice after December 31, 1981; and
 31        (c)  Has a situs in Idaho.
 32        (4)  Notwithstanding the provisions of subsections (1)  and  (2)  of  this
 33    section, the amount of the credit allowed shall not exceed fifty percent (50%)
 34    of the tax liability of the taxpayer.
 35        (5)  If the sum of credit carryovers from the credit allowed by subsection
 36    (2)  of  this  section  and the amount of credit for the taxable year from the
 37    credit allowed by subsection (2) of this section exceed the limitation imposed
 38    by subsection (4) of this section for the current  taxable  year,  the  excess
 39    attributable  to  the  current  taxable  year's  credit shall be an investment
 40    credit carryover to the fourteen (14) succeeding taxable years. In the case of
 41    a group of corporations filing a combined report under section 63-3027,  Idaho
 42    Code,  or sections 63-3027B through 63-3027E, Idaho Code, credit earned by one
 43    (1) member of the group but not  used by that member may be  used  by  another
 44    member  of the group, subject to the provisions of subsection (4) of this sec-
 45    tion, instead of carried over. The entire amount of  unused  credit  shall  be
 46    carried  forward  to  the earliest of the succeeding years, wherein the oldest
 47    available unused credit shall be used first, so long as the qualified  invest-
 48    ment  property  for  which the unused credit was granted still maintains Idaho
 49    situs. For a combined group of corporations, credit  carried  forward  may  be
 50    claimed  by any member of the group unless the member who earned the credit is
 51    no longer included in the combined group.
 52        (6)  Any recapture of the credit allowed by subsection (2) of this section
 53    on property disposed of or ceasing to qualify, prior to the close of its  use-
                                                                        
                                       6
                                                                        
  1    ful life the recapture period, shall be determined according to the applicable
  2    recapture  provisions  of  the Internal Revenue Code. In the case of a unitary
  3    group of corporations, the increase in tax due to the recapture of  investment
  4    tax  credit  must be reported by the member of the group who earned the credit
  5    regardless of which member claimed the credit against tax.
  6        (7)  For the purpose of determining whether property placed in service  is
  7    a  "qualified  investment"  as  defined in subsection (3) of this section, the
  8    provisions of section 49 of the Internal Revenue Code shall be disregarded.
  9        (8)  For purposes of this section, property has a situs in Idaho during  a
 10    taxable year if it is used in Idaho at any time during the taxable year. Prop-
 11    erty not used in Idaho during a taxable year does not have a situs in Idaho in
 12    the taxable year during which the property is not used in Idaho or in any sub-
 13    sequent taxable year. No credit or carryover of credit is permitted under this
 14    section  if  the  credit or carryover relates to property that does not have a
 15    situs in Idaho during the taxable year for which the credit  or  carryover  is
 16    claimed. The Idaho situs of property must be established by records maintained
 17    by the taxpayer which are created reasonably contemporaneously with the use of
 18    the property.
 19        (9)  In the case of property used both in and outside Idaho, the taxpayer,
 20    electing  to  claim the credit provided in this section, must elect to compute
 21    the qualified investment in property with  a  situs  in  Idaho  for  all  such
 22    investments first qualifying during that year in one (1), but only one (1), of
 23    the following ways:
 24        (a)  The  amount of each qualified investment in a specific asset shall be
 25        separately computed based on the percentage of the actual use of the prop-
 26        erty in Idaho by using a measure of the use, such as total miles or  total
 27        machine hours, that most accurately reflects the beneficial use during the
 28        taxable  year  in  which it is first acquired, constructed, reconstructed,
 29        erected or placed into service; provided, that the asset is placed in ser-
 30        vice more than ninety (90) days before the end of the taxable year. In the
 31        case of assets acquired, constructed,  reconstructed,  erected  or  placed
 32        into  service within ninety (90) days prior to the end of the taxable year
 33        in which the investment first qualifies, the measure of the  use  of  that
 34        asset within Idaho for that year shall be based upon the percentage of use
 35        in Idaho during the first ninety (90) days of use of the asset;
 36        (b)  The  investment  in  qualified  property used both inside and outside
 37        Idaho during the taxable year in which it is first acquired,  constructed,
 38        reconstructed,  erected  or placed into service shall be multiplied by the
 39        percent of the investment that would be included in the numerator  of  the
 40        Idaho  property factor determined pursuant to section 63-3027, Idaho Code,
 41        for the same year.
 42        (10) Only for the purposes of subsections (3)(a) and (7) of this  section,
 43    references  to  sections  of  the  "Internal  Revenue  Code" mean the sections
 44    referred to as they  existed in the Internal Revenue Code  of  1986  prior  to
 45    November 5, 1990.
                                                                        
 46        SECTION  6.  That  Chapter  30,  Title 63, Idaho Code, be, and the same is
 47    hereby amended by the addition thereto of a NEW SECTION, to be known and  des-
 48    ignated as Section 63-3029G, Idaho Code, and to read as follows:
                                                                        
 49        63-3029G.  CREDITS  FOR  RESEARCH  ACTIVITIES  CONDUCTED  IN THIS STATE --
 50    CARRY FORWARD.
 51        (1) (a)  Subject to the limitations of this section, for taxable year 2001
 52        only, there shall be allowed to a taxpayer a nonrefundable credit  against
 53        taxes  imposed  by sections 63-3024, 63-3025 and 63-3025A, Idaho Code, for
                                                                        
                                       7
                                                                        
  1        increasing research activities in  Idaho  during  any  twelve  (12)  month
  2        period beginning, at the election of the taxpayer, either:
  3             (i)   January 1, 2001, or
  4             (ii)  The first day of the taxpayer's taxable year beginning in 2001.
  5        (b)  The  credit allowed by subsection (1)(a) of this section shall be the
  6        sum of:
  7             (i)   Five percent (5%) of the excess of qualified research  payments
  8             for research conducted in Idaho over the base amount; and
  9             (ii)  Five  percent (5%) basic research payments allowable under sub-
 10             section (e) of section 41 of the  Internal  Revenue  Code  for  basic
 11             research conducted in Idaho.
 12        (2)  As used in this section:
 13        (a)  The terms "qualified research payments," "qualified research," "basic
 14        research  payments" and "basic research" shall be as defined in section 41
 15        of the Internal Revenue Code except that the research must be conducted in
 16        Idaho.
 17        (b)  The term "base amount" shall mean an amount calculated as provided in
 18        sections 41(c) and 41(h) of the Internal Revenue Code, except that:
 19             (i)   The base amount does not include the calculation of the  alter-
 20             native  incremental  credit  provided  for in section 41(c)(4) of the
 21             Internal Revenue Code;
 22             (ii)  A taxpayer's gross receipts include only those  gross  receipts
 23             attributable  to sources within this state as provided in subsections
 24             (q) and (r) of section 63-3027, Idaho Code; and
 25             (iii) Notwithstanding section 41(c) of the Internal Revenue Code, for
 26             purposes of calculating the base amount, a taxpayer:
 27                  (A)  May  elect  to be treated as a start-up company as provided
 28                  in section 41(c)(3)(B) of the Internal Revenue Code,  regardless
 29                  of  whether  the  taxpayer  meets  the  requirements  of section
 30                  41(c)(3)(B)(i)(I) or (II) of the Internal Revenue Code; and
 31                  (B)  May not revoke an election to be treated as a start-up com-
 32                  pany.
 33        (3)  The credit allowed by subsection (1)(a) of this section together with
 34    any credits carried forward under subsection (5) of  this  section  shall  not
 35    exceed  the  amount  of  tax due under sections 63-3024, 63-3025 and 63-3025A,
 36    Idaho Code, after allowance for all other credits permitted by  this  chapter.
 37    When  credits earned in more than one (1) taxable year are available, the old-
 38    est credits shall be applied first.
 39        (4)  In the case of a group of corporations filing a combined report under
 40    subsection (t) of section 63-3027, Idaho Code, credit earned by one (1) member
 41    of the group but not used by that member may be used by another member of  the
 42    group. For a combined group of corporations, any member of the group may claim
 43    credit  carried  forward  unless the member who earned the credit is no longer
 44    included in the combined group.
 45        (5)  The credit allowed by subsection (1)(a)  of  this  section  shall  be
 46    claimed  for  the  taxable  year  during  which the taxpayer qualifies for the
 47    credit. If the credit exceeds the limitation under subsection (3) of this sec-
 48    tion, the excess amount may be carried forward for  a  period  that  does  not
 49    exceed the next fourteen (14) taxable years.
 50        (6)  In  addition to other needed rules, the state tax commission may pro-
 51    mulgate rules prescribing, in the case of S corporations, partnerships, trusts
 52    or estates, a method of attributing the  credit  under  this  section  to  the
 53    shareholders,  partners  or  beneficiaries in proportion to their share of the
 54    income from the S corporation, partnership, trust or estate.
                                                                        
                                       8
                                                                        
  1        SECTION 7.  That Section 63-3029H, Idaho Code, be, and the same is  hereby
  2    amended to read as follows:
                                                                        
  3        63-3029HP.  PRIORITY  OF  CREDITS.  When  a  taxpayer subject to any taxes
  4    imposed under this chapter is entitled to two (2) or more credits against such
  5    taxes, the priority of credits shall be determined in the following order:
  6        (a)  Nonrefundable credits. Nonrefundable credits shall be applied to  the
  7    tax liability before application of refundable credits. If a taxpayer is enti-
  8    tled  to  more than one (1) nonrefundable credit, the credits shall be applied
  9    in the order in which the statutes authorizing the credits were enacted by the
 10    legislature.
 11        (b)  Refundable credits. Refundable credits shall be applied  to  the  tax
 12    liability after application of any nonrefundable credits.
                                                                        
 13        SECTION  8.  That  Chapter  30,  Title 63, Idaho Code, be, and the same is
 14    hereby amended by the addition thereto of a NEW SECTION, to be known and  des-
 15    ignated as Section 63-3029I, Idaho Code, and to read as follows:
                                                                        
 16        63-3029I.  INCOME  TAX  CREDIT  FOR INVESTMENT IN BROADBAND EQUIPMENT. (1)
 17    Subject to the limitations of this section, for taxable year 2001 only,  there
 18    shall be allowed to a taxpayer a nonrefundable credit against taxes imposed by
 19    sections 63-3024, 63-3025 and 63-3025A, Idaho Code, for qualified expenditures
 20    in qualified broadband equipment in Idaho.
 21        (2)  The credit permitted in subsection (1) of this section shall be three
 22    percent  (3%)  of the qualified investment in qualified broadband equipment in
 23    Idaho and shall be in addition to the credit for capital investment  permitted
 24    by section 63-3029B, Idaho Code.
 25        (3)  As used in this section the term:
 26        (a)  "Qualified investment" shall be as defined in section 63-3029B, Idaho
 27        Code.
 28        (b)  "Qualified  broadband  equipment"  means equipment that qualifies for
 29        the credit for capital investment permitted  by  section  63-3029B,  Idaho
 30        Code,  and  is  capable  of transmitting signals at a rate of at least two
 31        hundred thousand (200,000) bits per second to a subscriber  and  at  least
 32        one  hundred  twenty-five  thousand  (125,000) bits per second from a sub-
 33        scriber, and
 34             (i)   In the case of a telecommunications  carrier,  such  qualifying
 35             equipment  shall  be  necessary to the provision of broadband service
 36             and an integral part of a broadband network. "Telecommunications car-
 37             rier" has the meaning given such term by section 3(44) of the  commu-
 38             nications  act of 1934, as amended, but does not include a commercial
 39             mobile service provider.
 40             (ii)  In the case of a commercial mobile service carrier, such quali-
 41             fying equipment shall extend from the subscriber side of  the  mobile
 42             telecommunications   switching  office  to  a  transmitting/receiving
 43             antenna, including such antenna, on the outside of the  structure  in
 44             which  the subscriber is located. "Commercial mobile service carrier"
 45             means any person authorized to provide commercial mobile  radio  ser-
 46             vice  to  subscribers as defined in section 20.3 of title 47, Code of
 47             Federal Regulations (10-1-99 ed.), as amended.
 48             (iii) In the case of a cable or  open  video  system  operator,  such
 49             qualifying  equipment  shall extend from the subscriber's side of the
 50             headend to the outside of the structure in which  the  subscriber  is
 51             located. The terms "cable operator" and "open video system  operator"
 52             have  the  meanings  given  such  terms  by  sections 602(5) and 653,
                                                                        
                                       9
                                                                        
  1             respectively, of the communications act of 1934, as amended.
  2             (iv)  In the case of a satellite carrier or a wireless carrier  other
  3             than  listed  above, such qualifying equipment is only that equipment
  4             that extends from a transmitting/receiving  antenna,  including  such
  5             antenna,  which  transmits  and  receives signals to or from multiple
  6             subscribers to a transmitting/receiving antenna on the outside of the
  7             structure in which the subscriber  is  located.  "Satellite  carrier"
  8             means  any  person  using  the facilities of a satellite or satellite
  9             services licensed by the federal communications commission and  oper-
 10             ating  a  fixed-satellite  service or direct broadcast satellite ser-
 11             vices to provide point-to-multipoint distribution of signals.  "Other
 12             wireless  carrier"  means any person, other than a telecommunications
 13             carrier, commercial mobile  service  carrier,  cable  operator,  open
 14             video operator, or satellite carrier, providing broadband services to
 15             subscribers through the radio transmission of energy.
 16             (v)   In  the  case of packet switching equipment, such packet equip-
 17             ment installed in connection with other qualifying  equipment  listed
 18             in subsections (2)(b)(i) through (2)(b)(iv) of this section, provided
 19             it  is  the last in a series of equipment that transmits signals to a
 20             subscriber or the first in a series of equipment that transmits  sig-
 21             nals from a  subscriber.  "Packet  switching"  means  controlling  or
 22             routing  the path of a digital transmission signal which is assembled
 23             into packets or cells.
 24             (vi)  In the case of multiplexing and demultiplexing equipment,  such
 25             equipment  only  to the extent that it is deployed in connection with
 26             providing broadband services in locations  between  packet  switching
 27             equipment  and  the  structure  in  which  the subscriber is located.
 28             "Multiplexing" means the transmission of two (2) or more signals over
 29             a communications circuit without regard to the  communications  tech-
 30             nology.
 31             (vii) Any property not primarily used to provide services in Idaho to
 32             public subscribers is not qualified broadband equipment.
 33        (4)  No equipment described in subsections (2)(b)(i) through (2)(b)(vi) of
 34    this  section  shall qualify for the credit provided in subsection (1) of this
 35    section until the taxpayer applies to and obtains from the Idaho public utili-
 36    ties commission an order confirming that the installed equipment is  qualified
 37    broadband  equipment.  Applications  submitted to the commission shall be gov-
 38    erned by the commission's rules of procedure. The commission may issue  proce-
 39    dural orders necessary to implement this section.
 40        (5)  The  credit  allowed  by subsection (1) of this section together with
 41    any credits carried forward under subsection (7) of this section shall not, in
 42    any one (1) taxable year, exceed the lesser of:
 43        (a)  The amount of tax due under sections 63-3024, 63-3025  and  63-3025A,
 44        Idaho  Code, after allowance for all other credits permitted by this chap-
 45        ter; or
 46        (b)  Seven hundred fifty thousand dollars ($750,000).
 47    When credits earned in more than one (1) taxable year are available, the  old-
 48    est credits shall be applied first.
 49        (6)  In the case of a group of corporations filing a combined report under
 50    subsection (t) of section 63-3027, Idaho Code, credit earned by one (1) member
 51    of  the group but not used by that member may be used by another member of the
 52    group, subject to the provisions of subsection (7) of this section, instead of
 53    carried over. For a combined group of corporations, credit carried forward may
 54    be claimed by any member of the group unless the member who earned the  credit
 55    is no longer included in the combined group.
                                                                        
                                       10
                                                                        
  1        (7)  If  the  credit allowed by subsection (1) of this section exceeds the
  2    limitation under subsection (5) of this section, the excess amount may be car-
  3    ried forward for a period that does not exceed the next fourteen (14)  taxable
  4    years.
  5        (8)  In the event that qualified broadband equipment upon which the credit
  6    allowed by this section has been used ceases to qualify for the credit allowed
  7    by  section  63-3029B,  Idaho Code, or is subject to recapture of that credit,
  8    the recapture of credit under this section shall be in the same proportion and
  9    subject to the same provisions as the amount of credit required to  be  recap-
 10    tured under section 63-3029B, Idaho Code.
 11        (9)  (a)  Subject to the requirements of this subsection, a taxpayer enti-
 12        tled  to  the credit or to an unused portion of the credit allowed by this
 13        section may transfer the unused credit to  another  taxpayer  required  to
 14        file a return under this chapter.
 15        (b)  Before  completing  a  transfer under this subsection, the transferor
 16        shall notify the state tax commission of its  intention  to  transfer  the
 17        credit  and the identity of the transferee. The state tax commission shall
 18        provide the transferor with a written statement of the  amount  of  credit
 19        available under this section as then appearing in the commission's records
 20        and  the  number  of  years the credit may be carried over. The transferee
 21        shall attach a copy of the statement to any return in regard to which  the
 22        transferred credit is claimed.
 23        (c)  In  the event that after the transfer the state tax commission deter-
 24        mines that the amount of credit properly available under this  section  is
 25        less  than  the amount claimed by the transferor of the credit or that the
 26        credit is subject to recapture, the commission shall assess the amount  of
 27        overstated  or  recaptured credit as taxes due from the transferor and not
 28        the transferee.  The assessment shall be made in the manner provided for a
 29        deficiency in taxes under this chapter.
 30        (10) In addition to other needed rules, the state tax commission may  pro-
 31    mulgate rules prescribing, in the case of S corporations, partnerships, trusts
 32    or  estates,  a  method  of  attributing  the credit under this section to the
 33    shareholders, partners or beneficiaries in proportion to their  share  of  the
 34    income from the S corporation, partnership, trust or estate.
                                                                        
 35        SECTION  9.  That  Chapter  30,  Title 63, Idaho Code, be, and the same is
 36    hereby amended by the addition thereto of a NEW SECTION, to be known and  des-
 37    ignated as Section 63-3022P, Idaho Code, and to read as follows:
                                                                        
 38        63-3022P.  HEALTH  INSURANCE  COSTS. With respect to a taxpayer, an amount
 39    equal to the amount paid by the taxpayer during the taxable year for insurance
 40    which constitutes medical care for the taxpayer and the spouse and  dependents
 41    of  the  taxpayer  which is not otherwise deducted by the taxpayer for federal
 42    income tax purposes shall be allowed as a deduction against taxable income. As
 43    used in this section, "insurance which constitutes medical care" includes  any
 44    hospital or medical policy or certificate, any subscriber contract provided by
 45    a  hospital  or  professional  service  corporation  or mutual insurer, or any
 46    health maintenance organization subscriber contract, policies or  certificates
 47    of  insurance  for specific disease, hospital confinement indemnity, accident-
 48    only, credit, dental, vision, single employer  self-funded  coverage,  meaning
 49    that  portion  of health insurance which is the retained risk of the employer,
 50    student health benefits only or coverage for medical care or treatment  issued
 51    as a supplement to liability insurance.
                                                                        
 52        SECTION  10.  That  Chapter  6,  Title 63, Idaho Code, be, and the same is
                                                                        
                                       11
                                                                        
  1    hereby amended by the addition thereto of a NEW SECTION, to be known and  des-
  2    ignated as Section 63-602EE, Idaho Code, and to read as follows:
                                                                        
  3        63-602EE.  PROPERTY  EXEMPT  FROM  TAXATION  --  CERTAIN TANGIBLE PERSONAL
  4    PROPERTY. The following property is exempt from  taxation:  class  2  property
  5    that  is agricultural machinery and equipment and exclusively used in agricul-
  6    ture during the immediately preceding tax year. For purposes of this section:
  7        (1)  "Agricultural  machinery  and equipment" shall mean any machinery and
  8    equipment that is used in:
  9        (a)  Production of field crops including, but not limited to, grains, feed
 10        crops, fruits and vegetables; or
 11        (b)  The grazing, feeding or raising of  livestock,  fur-bearing  animals,
 12        fish,  fowl  and  bees  to  be sold or used as part of a net profit-making
 13        agricultural enterprise or dairy.
 14        (2)  Buildings shall not be considered to be  agricultural  machinery  and
 15    equipment.
                                                                        
 16        SECTION  11.  That Section 63-3067, Idaho Code, be, and the same is hereby
 17    amended to read as follows:
                                                                        
 18        63-3067.  REVENUE RECEIVED -- STATE REFUND ACCOUNT. (1) A sum equal to the
 19    amount withheld under section 63-3035A, Idaho Code, shall be distributed fifty
 20    percent (50%) to the public school income fund to be  utilized  to  facilitate
 21    and  provide  substance  abuse programs in the public school system, and fifty
 22    percent (50%) shall be distributed to the counties to be utilized  for  county
 23    juvenile probation services. These funds shall be distributed quarterly to the
 24    counties  based  upon the percentage the population of the county bears to the
 25    population of the state as a whole.
 26        (2)  All moneys except as provided in subsection (1) of this section,  and
 27    except  as hereinafter provided, received by the state of Idaho under this act
 28    shall be deposited by the state tax commission, as received by  it,  with  the
 29    state  treasurer  and  shall  be  placed  in  and become a part of the general
 30    account under the custody of the state treasurer. Providing however,  that  an
 31    amount  equal  to  twenty percent (20%) of the amount deposited with the state
 32    treasurer shall be placed in the "state refund account" which is  hereby  cre-
 33    ated for the purpose of repaying overpayments, for the purpose of remitting to
 34    counties  and taxing districts for personal property exempt from taxation pur-
 35    suant to section 63-602EE, Idaho Code, as provided in subsection (3)  of  this
 36    section, for the purpose of depositing in the trust accounts specified in sec-
 37    tion  63-3067A,  Idaho  Code, such amounts as may be designated by individuals
 38    for the purpose of depositing in the Idaho ag  in  the  classroom  account  an
 39    amount  as  may  be  designated  by the individual receiving a refund for such
 40    overpayment, and for the purpose of paying any other erroneous receipts  ille-
 41    gally  assessed  or collected, penalties collected without authority and taxes
 42    and licenses unjustly assessed, collected or which are  excessive  in  amount.
 43    Whenever  necessary  for  the purpose of making prompt payment of refunds, the
 44    board of examiners, upon request from the  state  tax  commission,  and  after
 45    review, may authorize the state tax commission to transfer any additional spe-
 46    cific  amount from income tax collections to the "state refund account." There
 47    is appropriated out of the state refund account so much thereof as may be nec-
 48    essary for the payment of the refunds herein provided. Claims for, and payment
 49    of refunds under the provisions of this section shall be made in the same man-
 50    ner as other claims against the state of Idaho.
 51        (3)  The state tax commission shall calculate the amount that each  county
 52    assessed  in  taxes  in tax year 2000 on property that is exempt from taxation
                                                                        
                                       12
                                                                        
  1    pursuant to section 63-602EE, Idaho Code, and shall remit to the county  trea-
  2    surer  for  distribution to each taxing district in the county one hundred six
  3    percent (106%) of the amount calculated as follows:
  4        The county commissioners in each county shall certify  to  the  state  tax
  5    commission  by July 1, 2001, the year 2000 tax charge, applicable to the prop-
  6    erty exempt from taxation pursuant to section 63-602EE, Idaho  Code,  provided
  7    that  such  property was categorized in year 2000 as farm machinery, tools and
  8    equipment pursuant to rules of the state tax commission, for  the  portion  of
  9    each  taxing  district  or unit within the county. For nonschool districts the
 10    state tax commission shall distribute one-fourth (1/4) of this  amount  certi-
 11    fied  quarterly to each county beginning in October 2001. For school districts
 12    the state tax commission shall distribute one-fourth (1/4) of the amount  cer-
 13    tified  quarterly  to each school district beginning in October 2001. For non-
 14    school districts, the  county  auditor  shall  distribute  to  each   district
 15    within  thirty  (30) calendar days from receipt of moneys from the tax commis-
 16    sion. Moneys received by each taxing district for replacement  shall  be  uti-
 17    lized in the same manner and in the same proportions as revenues from property
 18    taxation.    The  moneys  remitted  to the county treasurer for replacement of
 19    property exempt from taxation pursuant to section 63-602EE, Idaho Code, may be
 20    considered by the counties and other taxing districts and budgeted at the same
 21    time, in the same manner and in the same year as  revenues  from  taxation  on
 22    personal property which these moneys replace. If taxing districts are consoli-
 23    dated, the resulting district is entitled to an amount equal to the sum of the
 24    amounts which were received in the last calendar quarter by each district pur-
 25    suant  to  this subsection prior to the consolidation. If a taxing district is
 26    dissolved or disincorporated, the state tax commission shall continuously dis-
 27    tribute to the board of county commissioners  an  amount  equal  to  the  last
 28    quarter's  distribution prior to dissolution or disincorporation. The board of
 29    county commissioners shall determine any redistribution of moneys so received.
 30    If a taxing district annexes territory, the distribution  of  moneys  received
 31    pursuant to this subsection shall be unaffected. Taxing districts formed after
 32    January  1,  2001,  are not entitled to a payment under the provisions of this
 33    subsection. School districts shall receive an amount determined by multiplying
 34    the sum of the year 2000 school district levy plus .001 times the market value
 35    on December 31, 2000, in the district of the  property  exempt  from  taxation
 36    pursuant  to section 63-602EE, Idaho Code. For purposes of the limitation pro-
 37    vided by section 63-802, Idaho Code, moneys received pursuant to this  subsec-
 38    tion as property tax replacement for property exempt from taxation pursuant to
 39    section 63-602EE, Idaho Code, shall be treated as property tax revenues.
 40        (4)  Any  unencumbered  balance  remaining  in the state refund account on
 41    June 30 of each and every year in excess of the sum of one million  five  hun-
 42    dred thousand dollars ($1,500,000) shall be transferred to the general account
 43    fund  and the state controller is hereby authorized and directed on such dates
 44    to make such transfers unless the board of examiners, which is  hereby  autho-
 45    rized to do so, changes the date of transfer or sum to be transferred.
                                                                        
 46        SECTION  12.  That  Chapter  30, Title 63, Idaho Code, be, and the same is
 47    hereby amended by the addition thereto of a NEW SECTION, to be known and  des-
 48    ignated as Section 63-3029J, Idaho Code, and to read as follows:
                                                                        
 49        63-3029J.  INCENTIVE INCOME TAX INVESTMENT CREDIT. (1) Subject to the lim-
 50    itations  of  this section, for taxable year 2001 only, there shall be allowed
 51    to a taxpayer  a  nonrefundable  credit  against  taxes  imposed  by  sections
 52    63-3024, 63-3025 and 63-3025A, Idaho Code, in the amount allowed by subsection
 53    (2) of this section for qualified investments in Idaho. The credit shall be in
                                                                        
                                       13
                                                                        
  1    addition  to  the credit for capital investment permitted by section 63-3029B,
  2    Idaho Code.
  3        (2)  The credit permitted in subsection (1) of this section  shall  be  at
  4    the  percentage  rate  determined  under either subsection (2)(a) or (2)(b) of
  5    this section at the election of the taxpayer.
  6        (a)  (i)   One-half (1/2) of the amount by which  the  average  three-year
  7             unemployment  rate  in  the  county  in which the property is located
  8             exceeds six percent (6%).  In the case of mobile property, the  prop-
  9             erty shall be located in the county in which it is primarily based.
 10             (ii)  For  purposes of this section the director of the department of
 11             labor shall, on or before the first day of September of each calendar
 12             year, establish and certify to the state tax commission  the  average
 13             three-year  unemployment rate in each county in Idaho for the immedi-
 14             ately preceding three (3) calendar years. The  rates  thus  certified
 15             shall  apply  to  the  calculation  of  the  credit  under subsection
 16             (2)(a)(i) of this section for property qualifying in the taxable year
 17             beginning during the next calendar year.
 18        (b)  (i)   One-tenth of one percent (.1%) for each full percent  that  the
 19             three-year  average per capita personal income level in the county in
 20             which the property is located is below ninety percent  (90%)  of  the
 21             average statewide per capita personal income level.
 22             (ii)  For  purposes of this section the director of the department of
 23             commerce shall, on or before the first day of September of each  cal-
 24             endar  year,  establish  and  certify to the state tax commission the
 25             most current three-year average per capita personal income  level  in
 26             each  county  in  Idaho  and the statewide per capita personal income
 27             level for the most current preceding three (3)  calendar  years.  The
 28             levels  thus  certified  shall apply to the calculation of the credit
 29             under subsection (2)(b)(i) of this section for property qualifying in
 30             the taxable year beginning during the next calendar year.
 31        (3)  As used in this section the  term  "qualified  investment"  shall  be
 32    defined as in section 63-3029B, Idaho Code.
 33        (4)  The  credit  allowed  by subsection (1) of this section together with
 34    any credits carried forward under subsection (6) of  this  section  shall  not
 35    exceed in any one (1) taxable year the lesser of:
 36        (a)  The  amount  of tax due under sections 63-3024, 63-3025 and 63-3025A,
 37        Idaho Code, after allowance for all other credits permitted by this  chap-
 38        ter; or
 39        (b)  Five hundred thousand dollars ($500,000).
 40        (5)  In the case of a group of corporations filing a combined report under
 41    subsection (t) of section 63-3027, Idaho Code, credit earned by one (1) member
 42    of  the group but not used by that member may be used by another member of the
 43    group, subject to the provisions of subsection (6) of this section, instead of
 44    carried over. For a combined group of corporations, credit carried forward may
 45    be claimed by any member of the group unless the member who earned the  credit
 46    is no longer included in the combined group.
 47        (6)  If  the  credit allowed by subsection (1) of this section exceeds the
 48    limitation under subsection (4) of this section, the excess amount may be car-
 49    ried forward for a period that does not exceed the next fourteen (14)  taxable
 50    years.
 51        (7)  In the event that property upon which the credit allowed by this sec-
 52    tion  has  been  used  ceases  to  qualify  for  the credit allowed by section
 53    63-3029B, Idaho Code, the recapture of credit under this section shall  be  in
 54    the same proportion and subject to the same provisions as the amount of credit
 55    required to be recaptured under section 63-3029B, Idaho Code.
                                                                        
                                       14
                                                                        
  1        (8)  (a)  Subject to the requirements of this subsection, a taxpayer enti-
  2        tled  to  the credit or to an unused portion of the credit allowed by this
  3        section may transfer the unused credit to  another  taxpayer  required  to
  4        file a return under this chapter.
  5        (b)  Before  completing  a  transfer under this subsection, the transferor
  6        shall notify the state tax commission of its  intention  to  transfer  the
  7        credit  and the identity of the transferee. The state tax commission shall
  8        provide the transferor with a written statement  of the amount  of  credit
  9        available under this section as then appearing in the commission's records
 10        and  the  number  of  years the credit may be carried over. The transferor
 11        shall provide the transferee with the original statement.  The  transferee
 12        shall  attach a copy of the statement to any return in regard to which the
 13        transferred credit is claimed.
 14        (c)  In the event that after the transfer the state tax commission  deter-
 15        mines  that  the amount of credit properly available under this section is
 16        less than the amount claimed by the transferor of the credit and shown  in
 17        the  statement  described in subsection (8)(b) of this section or that the
 18        credit is subject to recapture, the commission shall assess the amount  of
 19        overstated credit as taxes due from the transferor and not the transferee.
 20        The  assessment  shall  be made in the manner provided for a deficiency in
 21        taxes under this chapter.
 22        (9)  In addition to other needed rules, the state tax commission may  pro-
 23    mulgate rules prescribing:
 24        (a)  In  the  case  of  S corporations, partnerships, trusts or estates, a
 25        method of attributing the credit under this section to  the  shareholders,
 26        partners  or beneficiaries in proportion to their share of the income from
 27        the S corporation, partnership, trust or estate.
 28        (b)  A requirement that a transferor under subsection (8) of this section,
 29        prior to obtaining the written statement provided in subsection (8)(b)  of
 30        this  section,  post such bond or security as the state tax commission may
 31        require to secure any liability referred to in subsection (8)(c)  of  this
 32        section.   Such  rules shall provide an opportunity for a taxpayer, upon a
 33        showing of financial responsibility, to have the bond waiver,  for  notice
 34        of  denial  of  waiver in accordance with section 63-3045, Idaho Code, and
 35        for review in accordance with section 63-3045B, Idaho Code.
                                                                        
 36        SECTION 13.  That Section 63-3029E, Idaho Code, be, and the same is hereby
 37    amended to read as follows:
                                                                        
 38        63-3029E.  DEFINITIONS -- CONSTRUCTION OF TERMS. As used in  this  section
 39    and in section 63-3029F, Idaho Code:
 40        (1)  (a) "New employee" means a person from whom Idaho income tax has been
 41        withheld, employed by the taxpayer, in a revenue-producing enterprise cre-
 42        ating  value-added natural resource products, and covered for unemployment
 43        insurance purposes under chapter 13, title 72, Idaho Code, during the tax-
 44        able year for which the credit allowed by section 63-3029F, Idaho Code, is
 45        claimed. A person shall be deemed to be so engaged if such person performs
 46        duties on:
 47             (i)   A regular full-time basis; or
 48             (ii)  A part-time basis if such person is customarily performing such
 49             duties at least twenty (20) hours per week.
 50        No credit shall be earned unless the new  employee  shall  have  performed
 51        such  duties  for the taxpayer for a minimum of nine (9) months during the
 52        taxable year for which the credit is claimed.
 53        (b)  The provisions of paragraph (a) of this  subsection  notwithstanding,
                                                                        
                                       15
                                                                        
  1        no  credit  shall  be  allowed for employment of persons by a taxpayer who
  2        acquires a revenue-producing enterprise from another taxpayer or who oper-
  3        ates in a place of business the same or a substantially identical revenue-
  4        producing value-added natural resource  products  enterprise  business  as
  5        operated  by  another taxpayer within the prior twelve (12) months, except
  6        as the prior taxpayer would have qualified under the provisions  of  para-
  7        graph  (c)  of  this subsection. Employees transferred from a related tax-
  8        payer shall not be included in the computation of the credit.
  9        (c)  The number of employees during any  taxable  year  for  any  taxpayer
 10        shall  be  the mathematical average of the number of employees reported to
 11        the Idaho department of labor for employment security purposes during  the
 12        twelve (12) months of the taxable year which qualified under paragraph (a)
 13        of  this  subsection.  In  the event the business is in operation for less
 14        than the entire taxable year, the number of employees of the business  for
 15        the  year  shall be the average number actually employed during the months
 16        of operation, providing that the qualifications of paragraph (a)  of  this
 17        subsection are met.
 18        (2)  "Revenue-producing enterprise" means the production, assembly, fabri-
 19    cation, manufacture or processing of any natural resource product.
 20        (3)  "Same or a substantially identical revenue-producing enterprise busi-
 21    ness" means a revenue-producing enterprise business in which the products pro-
 22    duced  or  sold, or the activities conducted are the same in character and use
 23    and are produced, sold or conducted in the same manner as,  or  for  the  same
 24    types  of customers as, the products or activities produced, sold or conducted
 25    in another revenue-producing enterprise business.
                                                                        
 26        SECTION 14.  That Section 63-3029F, Idaho Code, be, and the same is hereby
 27    amended to read as follows:
                                                                        
 28        63-3029F.  SPECIAL CREDIT AVAILABLE -- NEW  EMPLOYEES.  (1)  Any  taxpayer
 29    shall  be  allowed  a  credit, in an amount determined under subsection (2) of
 30    this section, against  the tax imposed by this chapter,  other  than  the  tax
 31    imposed  by section 63-3082, Idaho Code, for any taxable year during which the
 32    taxpayer's employment of new employees, as defined under section  63-3029E(1),
 33    Idaho  Code, increases above the taxpayer's average employment for either: (a)
 34    the prior taxable year, or (b) the average of three (3) prior  taxable  years,
 35    whichever  is higher. No credit shall be allowed under this section unless the
 36    number of new employees equals or exceeds one (1) person.
 37        (2)  The credit authorized in subsection (1) of this section shall be five
 38    hundred dollars ($500) per new employee, but the total  credit  allowed  shall
 39    not  exceed  three  and  one-quarter  percent  (3.25%)  of net income from the
 40    taxpayer's corporate, proprietorship, partnership, small business  corporation
 41    or  limited  liability  company revenue-producing enterprise business in which
 42    the employment occurred. Additionally, the total of this and all other credits
 43    allowed under this chapter except  for  the  credits  allowed  under  sections
 44    63-3024A,  63-3025D  and  63-3029,  Idaho  Code, taken during any taxable year
 45    shall not exceed forty-five percent (45%) of the tax otherwise imposed on  the
 46    taxpayer for the taxable year for which such credit is allowed.
 47        (3)  If  the  sum of the credit carryovers from the credit allowed by sub-
 48    section (2) of this section and the amount of credit for the taxable year from
 49    the credit allowed by subsection (2) of this  section  exceed  the  limitation
 50    imposed  by  subsection  (2) of this section for the current taxable year, the
 51    excess attributable to the current taxable year's credit  shall  be  a  credit
 52    carryover  to  the  three  (3)  succeeding taxable years. The entire amount of
 53    unused credit shall be carried forward  to  the  earliest  of  the  succeeding
                                                                        
                                       16
                                                                        
  1    years, wherein the oldest available unused credit shall be used first, so long
  2    as the employment level for which the credit was granted is still maintained.
                                                                        
  3        SECTION  15.  That Sections 63-3029E and 63-3029F, Idaho Code, be, and the
  4    same are hereby repealed.
                                                                        
  5        SECTION 16.  That Chapter 30, Title 63, Idaho Code, be, and  the  same  is
  6    hereby  amended by the addition thereto of a NEW SECTION, to be known and des-
  7    ignated as Section 63-3029E, Idaho Code, and to read as follows:
                                                                        
  8        63-3029E.  DEFINITIONS -- CONSTRUCTION OF TERMS. As used in  this  section
  9    and in section 63-3029F, Idaho Code:
 10        (1)  (a)  "New  employee"  means  a  person from whom Idaho income tax has
 11        been withheld, employed by the taxpayer in a revenue-producing  enterprise
 12        creating  value-added natural resource products, and covered for unemploy-
 13        ment insurance purposes under chapter 13, title 72, Idaho Code, during the
 14        taxable year for which the credit allowed by section 63-3029F, Idaho Code,
 15        is claimed. A person shall be deemed to be so engaged if such person  per-
 16        forms duties on:
 17             (i)   A regular full-time basis; or
 18             (ii)  A part-time basis if such person is customarily performing such
 19             duties at least twenty (20) hours per week.
 20        No  credit  shall  be  earned unless the new employee shall have performed
 21        such duties for the taxpayer for a minimum of nine (9) months  during  the
 22        taxable year for which the credit is claimed.
 23        (b)  The  provisions  of paragraph (a) of this subsection notwithstanding,
 24        no credit shall be allowed for employment of persons  by  a  taxpayer  who
 25        acquires a revenue-producing enterprise from another taxpayer or who oper-
 26        ates in a place of business the same or a substantially identical revenue-
 27        producing  value-added natural resource products enterprise as operated by
 28        another taxpayer within the prior twelve (12) months, except as the  prior
 29        taxpayer  would  have  qualified  under the provisions of paragraph (c) of
 30        this subsection. Employees transferred from a related taxpayer  shall  not
 31        be included in the computation of the credit.
 32        (c)  The  number  of  employees  during  any taxable year for any taxpayer
 33        shall be the mathematical average of the number of employees  reported  to
 34        the  Idaho department of labor for employment security purposes during the
 35        twelve (12) months of the taxable year which qualified under paragraph (a)
 36        of this subsection. In the event the business is  in  operation  for  less
 37        than  the entire taxable year, the number of employees of the business for
 38        the year shall be the average number actually employed during  the  months
 39        of  operation,  providing that the qualifications of paragraph (a) of this
 40        subsection are met.
 41        (2)  "Revenue-producing enterprise" means the production, assembly, fabri-
 42    cation, manufacture or processing of any natural resource product.
 43        (3)  "Same or  a  substantially  identical  revenue-producing  enterprise"
 44    means  a  revenue-producing enterprise in which the products produced or sold,
 45    or the activities conducted are the same in character and  use  and  are  pro-
 46    duced,  sold or conducted in the same manner as, or for the same types of cus-
 47    tomers as, the products or activities produced, sold or conducted  in  another
 48    revenue-producing enterprise.
                                                                        
 49        SECTION  17.  That  Chapter  30, Title 63, Idaho Code, be, and the same is
 50    hereby amended by the addition thereto of a NEW SECTION, to be known and  des-
 51    ignated as Section 63-3029F, Idaho Code, and to read as follows:
                                                                        
                                       17
                                                                        
  1        63-3029F.  SPECIAL  CREDIT  AVAILABLE  --  NEW EMPLOYEES. (1) Any taxpayer
  2    shall be allowed a credit, in an amount determined  under  subsection  (2)  of
  3    this  section,  against  the  tax  imposed by this chapter, other than the tax
  4    imposed by section 63-3082, Idaho Code, for any taxable year during which  the
  5    taxpayer's employment of new employees, as defined under section  63-3029E(1),
  6    Idaho  Code, increases above the taxpayer's average employment for either: (a)
  7    the prior taxable year, or (b) the average of three (3) prior  taxable  years,
  8    whichever  is higher. No credit shall be allowed under this section unless the
  9    number of new employees equals or exceeds one (1) person.
 10        (2)  The credit authorized in subsection (1) of this section shall be five
 11    hundred dollars ($500) per new employee, but the total  credit  allowed  shall
 12    not  exceed  three  and  one-quarter  percent  (3.25%)  of net income from the
 13    taxpayer's corporate, proprietorship, partnership, small business  corporation
 14    or limited liability company revenue-producing enterprise in which the employ-
 15    ment  occurred.  Additionally, the total of this and all other credits allowed
 16    under this chapter except for the credits  allowed  under  sections  63-3024A,
 17    63-3025D  and  63-3029,  Idaho  Code,  taken during any taxable year shall not
 18    exceed forty-five percent (45%) of the tax otherwise imposed on  the  taxpayer
 19    for the taxable year for which such credit is allowed.
 20        (3)  If  the  sum of the credit carryovers from the credit allowed by sub-
 21    section (2) of this section and the amount of credit for the taxable year from
 22    the credit allowed by subsection (2) of this  section  exceed  the  limitation
 23    imposed  by  subsection  (2) of this section for the current taxable year, the
 24    excess attributable to the current taxable year's credit  shall  be  a  credit
 25    carryover  to  the  three  (3)  succeeding taxable years. The entire amount of
 26    unused credit shall be carried forward  to  the  earliest  of  the  succeeding
 27    years, wherein the oldest available unused credit shall be used first, so long
 28    as the employment level for which the credit was granted is still maintained.
                                                                        
 29        SECTION 18.  The provisions of Sections 5, 6, 8, 12, 13 and 14 of this act
 30    are  hereby declared to be nonseverable from other provisions within each sec-
 31    tion and if any provision of any of those sections or the application of  such
 32    provision  to  any  person or circumstance is declared invalid for any reason,
 33    such declaration shall render the entire section invalid but  not  other  sec-
 34    tions of this act.
                                                                        
 35        SECTION  19.  An  emergency  existing  therefor, which emergency is hereby
 36    declared to exist, Sections 1 through 14 and Section 18 of this act  shall  be
 37    in  full force and effect on and after passage and approval, and retroactively
 38    to January 1, 2001. Sections 15, 16 and 17 of this act shall be in full  force
 39    and effect on and after January 1, 2002.".
                                                                        
 40                                 CORRECTION TO TITLE
 41        On  page  1,  delete  lines  2  through  46; and on page 2, delete lines 1
 42    through 35, and insert:
 43    "RELATING TO TAXATION AND TAX RELIEF; AMENDING SECTION 63-3024, IDAHO CODE, TO
 44        PROVIDE FOR PERSONAL INCOME TAX RATES FOR TAXABLE YEAR 2001 AND TO PROVIDE
 45        FOR PERSONAL INCOME TAX RATES FOR TAXABLE YEAR 2002 AND EACH YEAR THEREAF-
 46        TER; AMENDING SECTION 63-3024A, IDAHO CODE, TO  INCREASE  THE  INCOME  TAX
 47        CREDIT  FOR  SALES TAXES PAID BY CERTAIN INDIVIDUALS AND TO MAKE TECHNICAL
 48        CORRECTIONS; AMENDING SECTION 63-3025, IDAHO CODE, TO PROVIDE  THE  CORPO-
 49        RATE  INCOME  TAX  RATE FOR TAXABLE YEAR 2001 AND TO PROVIDE THE CORPORATE
 50        INCOME TAX RATE FOR TAXABLE YEAR 2002 AND EACH YEAR  THEREAFTER;  AMENDING
 51        SECTION  63-3025A,  IDAHO CODE, TO REDUCE THE CORPORATE FRANCHISE TAX RATE
 52        FROM EIGHT PERCENT TO THE RATE OF THE CORPORATE INCOME  TAX  AND  TO  MAKE
                                                                        
                                       18
                                                                        
  1        TECHNICAL  CORRECTIONS;  AMENDING SECTION 63-3029B, IDAHO CODE, TO PROVIDE
  2        THAT TAXPAYERS MAKING EXPENDITURES FOR QUALIFIED BROADBAND  EQUIPMENT  ARE
  3        ENTITLED  TO  THE  CREDIT AND TO REVISE PROCEDURES FOR RECAPTURE; AMENDING
  4        CHAPTER 30, TITLE 63, IDAHO  CODE,  BY  THE  ADDITION  OF  A  NEW  SECTION
  5        63-3029G, IDAHO CODE, TO PROVIDE AN INCOME TAX CREDIT FOR CERTAIN EXPENDI-
  6        TURES  RELATING TO RESEARCH ACTIVITIES CONDUCTED IN IDAHO FOR TAXABLE YEAR
  7        2001, TO PROVIDE A CARRYOVER OF UNUSED CREDITS, TO PROVIDE DEFINITIONS AND
  8        TO PROVIDE PROCEDURES; AMENDING SECTION 63-3029H, IDAHO CODE, TO  REDESIG-
  9        NATE  THE SECTION; AMENDING CHAPTER 30, TITLE 63, IDAHO CODE, BY THE ADDI-
 10        TION OF  A NEW SECTION 63-3029I, IDAHO CODE,  TO  PROVIDE  AN  INCOME  TAX
 11        CREDIT  FOR CERTAIN EXPENDITURES RELATING TO HIGH SPEED BROADBAND COMMUNI-
 12        CATIONS ACCESS IN IDAHO FOR TAXABLE YEAR 2001, TO PROVIDE A  CARRYOVER  OF
 13        UNUSED CREDITS, TO PROVIDE DEFINITIONS AND TO PROVIDE PROCEDURES; AMENDING
 14        CHAPTER  30,  TITLE  63,  IDAHO  CODE,  BY  THE  ADDITION OF A NEW SECTION
 15        63-3022P, IDAHO CODE, TO PROVIDE, WITH RESPECT TO A  TAXPAYER,  AN  AMOUNT
 16        EQUAL  TO  THE  AMOUNT  PAID  BY  THE TAXPAYER DURING THE TAXABLE YEAR FOR
 17        INSURANCE WHICH CONSTITUTES MEDICAL CARE FOR THE TAXPAYER AND  THE  SPOUSE
 18        AND DEPENDENTS OF THE TAXPAYER WHICH IS NOT OTHERWISE DEDUCTED BY THE TAX-
 19        PAYER  FOR  FEDERAL  INCOME  TAX  PURPOSES SHALL BE ALLOWED AS A DEDUCTION
 20        AGAINST TAXABLE INCOME, AND TO PROVIDE A DEFINITION  OF  "INSURANCE  WHICH
 21        CONSTITUTES  MEDICAL  CARE";  AMENDING CHAPTER 6, TITLE 63, IDAHO CODE, BY
 22        THE ADDITION OF A NEW SECTION 63-602EE, IDAHO CODE, TO PROVIDE  THAT  CER-
 23        TAIN  TANGIBLE PERSONAL PROPERTY IS EXEMPT FROM TAXATION; AMENDING SECTION
 24        63-3067, IDAHO CODE, TO PROVIDE FOR REMITTANCE OF  INCOME  TAX  MONEYS  TO
 25        REPLACE  PROPERTY TAXES ON CERTAIN PERSONAL PROPERTY EXEMPT FROM TAXATION,
 26        TO PROVIDE A  FORMULA AND TO MAKE A TECHNICAL CORRECTION; AMENDING CHAPTER
 27        30, TITLE 63, IDAHO CODE, BY THE ADDITION OF A NEW SECTION 63-3029J, IDAHO
 28        CODE, TO PROVIDE AN INCOME TAX CREDIT FOR CERTAIN EXPENDITURES RELATING TO
 29        INVESTMENT IN AREAS IN IDAHO WITH HIGH UNEMPLOYMENT OR LOW PERSONAL INCOME
 30        AT THE ELECTION OF THE TAXPAYER FOR TAXABLE YEAR 2001, TO PROVIDE A CARRY-
 31        OVER OF UNUSED CREDITS, TO PROVIDE DEFINITIONS AND TO PROVIDE  PROCEDURES;
 32        AMENDING  SECTIONS  63-3029E  AND  63-3029F, IDAHO CODE, TO EXPAND THE NEW
 33        JOBS CREDIT BY REMOVING THE LIMITATION OF QUALIFYING TAXPAYERS TO REVENUE-
 34        PRODUCING  ENTERPRISE  CREATING  VALUE-ADDED  NATURAL  RESOURCE  PRODUCTS;
 35        REPEALING SECTIONS 63-3029E AND 63-3029F, IDAHO CODE; AMENDING CHAPTER 30,
 36        TITLE 63, IDAHO CODE, BY THE ADDITION OF A  NEW  SECTION  63-3029E,  IDAHO
 37        CODE,  TO  PROVIDE DEFINITIONS AND CONSTRUCTION OF TERMS; AMENDING CHAPTER
 38        30, TITLE 63, IDAHO CODE, BY THE ADDITION OF A NEW SECTION 63-3029F, IDAHO
 39        CODE, TO PROVIDE SPECIAL CREDITS TO THE INCOME TAX FOR NEW  EMPLOYEES  FOR
 40        AN  ENTERPRISE  THAT  PRODUCES, ASSEMBLES, FABRICATES OR PROCESSES NATURAL
 41        RESOURCE PRODUCTS; PROVIDING FOR NONSEVERABILITY OF CERTAIN PROVISIONS  OF
 42        THIS ACT; DECLARING AN EMERGENCY AND PROVIDING RETROACTIVE APPLICATION FOR
 43        CERTAIN  PROVISIONS  OF THIS ACT, AND PROVIDING AN EFFECTIVE DATE FOR CER-
 44        TAIN PROVISIONS OF THIS ACT.".

Statement of Purpose / Fiscal Impact



                      STATEMENT OF PURPOSE 
                                
                            RS 11142
                                
This income tax and property tax relief bill reduces all
individual income tax rates by 0.2 percentage point for Tax Year
2001, then lowers these rates an additional 0.3 percentage point
beginning in Tax Year 2002. Rebates 10.6% of 1999 income tax paid
to individuals subject to a $25 minimum and $2,500 maximum.
Permanently increases grocery tax credit $15 for everyone. It
permanently reduces the corporate income tax rate 0.3 percentage
point for Taxable Year 2001 and an additional 0.2 percentage
point beginning in Tax Year 2002. It expands the current capital
gains exclusion from 60% to 100% for certain tangible assets, and
adds capital gain elimination for non-individual taxpayers. It
provides five new or expanded credits for Idaho business
development including: research and development expenditures,
creation of new jobs, providing new venture capital credit,
installing broadband communications equipment credit and
investing in counties with high unemployment or low personal
income. It changes the child care deduction to a credit equal to
half the federal credit and income tax credit for at-home parent
of $150 for each qualifying child, two children maximum. It
permanently increases the elderly dependant care credit from $100
to $500. For the taxable year 2001, only, income tax credit for
personal property for agricultural machinery and equipment

                          FISCAL IMPACT
                                  FY 2001   FY 2002    FY 2003
Reduce individual income tax rates                   $29.2           $76.5
Reduce corporate income tax rates                      5.1             8.5
Increase grocery tax credit, $15                      16.8            16.9
Business Credits:
     Research and Development                          7.0             7.7
     New Jobs Credit                                   1.5             1.5
     Incentive ITC                                     7.2             7.2
     Venture Capital                                   2.0             2.0
     Broadband ITC                                     3.5             3.5
Child Care $1.5
Stay at-home parent 6.6                                8.1             8.1
Elderly Dependent Care Credit                          1.2             1.2
Capital Gains Tax (eliminate 40% portion)              8.7             8.7
Eliminate Capital Gains Tax
           for Non Individual Taxpayer                 6.6             6.6
     Subtotal                                        $96.9          $148.4

Personal Property Credit AG Machinery
     and Equipment                                    12.4    N/A
Individual Rebate                           $91.0               N/A         N/A
TOTAL REDUCTION IN GENERAL FUND             $91.0             $109.3     $148.4



Contact
      Name: Representative Dolores Crow
      Phone:
      332 1000
      
      
      
      
      
      
      
      
      STATEMENT OF PURPOSE/FISCAL NOTE              H 275