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H0059...............................................by REVENUE AND TAXATION
INCOME TAX - Amends, repeals and adds to existing law to make the temporary
0.1% income tax rate reduction for individuals, passed in 2000, permanent;
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 over 65 years of age from $30.00 to $60.00; to
permanently reduce the corporate income tax rate by 0.2%; 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, 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; and permanently
increases credit for caring for a dependent over 65 years of age or caring
for a person who is developmentally disabled from $100 to $500.
01/17 House intro - 1st rdg - to printing
01/18 Rpt prt - to Rev/Tax
|||| LEGISLATURE OF THE STATE OF IDAHO ||||
Fifty-sixth Legislature First Regular Session - 2001
IN THE HOUSE OF REPRESENTATIVES
HOUSE BILL NO. 59
BY REVENUE AND TAXATION COMMITTEE
1 AN ACT
2 RELATING TO INCOME TAX RELIEF; AMENDING SECTION 63-3024, IDAHO CODE, TO MAKE
3 PERMANENT THE RATES APPLICABLE TO TAXABLE YEAR 2000; AMENDING CHAPTER 30,
4 TITLE 63, IDAHO CODE, BY THE ADDITION OF A NEW SECTION 63-3081, IDAHO
5 CODE, TO PROVIDE A REBATE OF INCOME TAXES PAID BY INDIVIDUALS FOR TAXABLE
6 YEARS BEGINNING IN 1999, TO DETERMINE THE RATE OF THE REBATE, TO SET MAXI-
7 MUM AND MINIMUM AMOUNTS, TO PROVIDE PROCEDURES, TO APPROPRIATE MONEYS AND
8 TO AUTHORIZE CONTRACTS; REPEALING SECTION 63-3022D, IDAHO CODE; AMENDING
9 SECTION 63-3022E, IDAHO CODE, TO INCREASE THE DEDUCTION FOR DEPENDENTS
10 SIXTY-FIVE YEARS OF AGE OR OLDER OR PERSONS WITH DEVELOPMENTAL DISABILI-
11 TIES FROM ONE THOUSAND DOLLARS TO FIVE THOUSAND DOLLARS; AMENDING SECTION
12 63-3022H, IDAHO CODE, TO ADD CERTAIN INVESTMENTS HELD BY PRIVATE VENTURE
13 CAPITAL COMPANIES FOR A PERIOD OF THREE YEARS TO THE PROPERTY QUALIFYING
14 FOR THE SIXTY PERCENT CAPITAL GAINS DEDUCTION AND TO MAKE TECHNICAL COR-
15 RECTIONS; AMENDING SECTION 63-3024A, IDAHO CODE, TO INCREASE THE INCOME
16 TAX CREDIT FOR SALES TAXES PAID BY INDIVIDUALS OVER AGE SIXTY-FIVE YEARS
17 AND TO MAKE TECHNICAL CORRECTIONS; AMENDING SECTION 63-3025, IDAHO CODE,
18 TO REDUCE THE CORPORATE INCOME TAX RATE FROM EIGHT TO SEVEN AND EIGHT-
19 TENTHS PERCENT; AMENDING SECTION 63-3025A, IDAHO CODE, TO REDUCE THE COR-
20 PORATE FRANCHISE TAX RATE FROM EIGHT TO THE RATE OF THE CORPORATE INCOME
21 TAX AND TO MAKE TECHNICAL CORRECTIONS; AMENDING SECTION 63-3025D, IDAHO
22 CODE, TO INCREASE THE PAYMENT FOR DEPENDENTS SIXTY-FIVE YEARS OF AGE OR
23 OLDER OR PERSONS WITH DEVELOPMENTAL DISABILITIES FROM ONE HUNDRED DOLLARS
24 TO FIVE HUNDRED DOLLARS AND TO MAKE A TECHNICAL CORRECTION; AMENDING SEC-
25 TION 63-3029B, IDAHO CODE, TO PROVIDE THAT TAXPAYERS MAKING EXPENDITURES
26 FOR QUALIFIED BROADBAND EQUIPMENT ARE ENTITLED TO THE CREDIT AND TO REVISE
27 PROCEDURES FOR RECAPTURE; AMENDING SECTIONS 63-3029E AND 63-3029F, IDAHO
28 CODE, TO EXPAND THE NEW JOBS CREDIT BY REMOVING THE LIMITATION OF QUALIFY-
29 ING TAXPAYERS TO REVENUE-PRODUCING ENTERPRISE CREATING VALUE-ADDED NATURAL
30 RESOURCE PRODUCTS; AMENDING CHAPTER 30, TITLE 63, IDAHO CODE, BY THE
31 ADDITION OF A NEW SECTION 63-3029G, IDAHO CODE, TO PROVIDE AN INCOME TAX
32 CREDIT FOR CERTAIN EXPENDITURES RELATING TO RESEARCH AND DEVELOPMENT CON-
33 DUCTED IN IDAHO, TO PROVIDE A SUNSET, TO PROVIDE A CARRYOVER OF UNUSED
34 CREDITS, TO PROVIDE DEFINITIONS AND TO PROVIDE PROCEDURES; AMENDING SEC-
35 TION 63-3029H, IDAHO CODE, TO REDESIGNATE THE SECTION; AMENDING CHAPTER
36 30, TITLE 63, IDAHO CODE, BY THE ADDITION OF A NEW SECTION 63-3029H,
37 IDAHO CODE, TO PROVIDE A CREDIT FOR EXPENSES FOR HOUSEHOLD AND DEPENDENT
38 CARE; AMENDING CHAPTER 30, TITLE 63, IDAHO CODE, BY THE ADDITION OF A NEW
39 SECTION 63-3029I, IDAHO CODE, TO PROVIDE AN INCOME TAX CREDIT FOR CERTAIN
40 EXPENDITURES RELATING TO HIGH SPEED BROADBAND COMMUNICATIONS ACCESS IN
41 IDAHO, TO PROVIDE A SUNSET, TO PROVIDE A CARRYOVER OF UNUSED CREDITS, TO
42 PROVIDE DEFINITIONS AND TO PROVIDE PROCEDURES; AMENDING CHAPTER 30, TITLE
43 63, IDAHO CODE, BY THE ADDITION OF A NEW SECTION 63-3029J, IDAHO CODE, TO
44 PROVIDE AN INCOME TAX CREDIT FOR CERTAIN EXPENDITURES RELATING TO INVEST-
45 MENT IN AREAS IN IDAHO WITH HIGH UNEMPLOYMENT OR LOW PERSONAL INCOME AT
46 THE ELECTION OF TAXPAYER, TO PROVIDE A SUNSET, TO PROVIDE A CARRYOVER OF
2
1 UNUSED CREDITS, TO PROVIDE DEFINITIONS AND TO PROVIDE PROCEDURES; AMENDING
2 CHAPTER 30, TITLE 63, IDAHO CODE, BY THE ADDITION OF A NEW SECTION
3 63-3029K, IDAHO CODE, TO PROVIDE A TEN PERCENT INCOME TAX CREDIT FOR
4 INVESTMENTS IN IDAHO PRIVATE VENTURE CAPITAL COMPANIES, TO PROVIDE A SUN-
5 SET, TO PROVIDE A CARRYOVER OF UNUSED CREDITS, TO PROVIDE DEFINITIONS AND
6 TO PROVIDE PROCEDURES; REPEALING SECTIONS 63-3029E AND 63-3029F, IDAHO
7 CODE; AMENDING CHAPTER 30, TITLE 63, IDAHO CODE, BY THE ADDITION OF A NEW
8 SECTION 63-3029E, IDAHO CODE, TO PROVIDE DEFINITIONS AND CONSTRUCTIONS OF
9 TERMS; AMENDING CHAPTER 30, TITLE 63, IDAHO CODE, BY THE ADDITION OF A NEW
10 SECTION 63-3029F, IDAHO CODE, TO PROVIDE SPECIAL CREDITS TO THE INCOME TAX
11 FOR NEW EMPLOYEES FOR AN ENTERPRISE THAT PRODUCES, ASSEMBLES, FABRICATES
12 OR PROCESSES NATURAL RESOURCE PRODUCTS; PROVIDING FOR NONSEVERABILITY OF
13 CERTAIN PROVISIONS OF THIS ACT; DECLARING AN EMERGENCY, PROVIDING RETROAC-
14 TIVE APPLICATION FOR CERTAIN PROVISIONS OF THIS ACT AND PROVIDING EFFEC-
15 TIVE DATES.
16 Be It Enacted by the Legislature of the State of Idaho:
17 SECTION 1. That Section 63-3024, Idaho Code, be, and the same is hereby
18 amended to read as follows:
19 63-3024. INDIVIDUALS' TAX AND TAX ON ESTATES AND TRUSTS. (a) For taxable
20 year 2000, and each taxable year thereafter, a tax measured by Idaho taxable
21 income as defined in this chapter is hereby imposed upon every individual,
22 trust, or estate required by this chapter to file a return.
23 (a) (i) The tax imposed upon individuals, trusts and estates shall be
24 computed at the following rates:
25 When Idaho taxable income
26 is:
27 Less than $1,000 One and nine-tenths percent (1.9%)
28 $1,000 but less than $2,000 $19, plus three and nine-tenths
29 percent (3.9%) of the amount over $1,000
30 $2,000 but less than $3,000 $58, plus four and four-tenths
31 percent (4.4%) of the amount over $2,000
32 $3,000 but less than $4,000 $102, plus five and four-tenths
33 percent (5.4%) of the amount over $3,000
34 $4,000 but less than $5,000 $156, plus six and four-tenths
35 percent (6.4%) of the amount over $4,000
36 $5,000 but less than $7,500 $220, plus seven and four-tenths
37 percent (7.4%) of the amount over $5,000
38 $7,500 but less than $20,000 $405, plus seven and seven-tenths
39 percent (7.7%) of the amount over $7,500
40 Over $20,000 $1,367.50, plus eight and one-tenth
41 percent (8.1%) of the amount over $20,000
42 (ii) For taxable year 2001 and each taxable year thereafter, a tax mea-
43 sured by Idaho taxable income as defined in this chapter is hereby imposed
44 upon every individual, trust, or estate required by this chapter to file a
45 return.
46 The tax imposed upon individuals, trusts and estates shall be computed at
47 the following rates:
48 When Idaho taxable income is: The rate is:
49 Less than $1,000 Two percent (2.0%)
50 $1,000 but less than $2,000 $20, plus four percent (4.0%)
51 of the amount over $1,000
52 $2,000 but less than $3,000 $60, plus four and one-half percent
3
1 (4.5%) of the amount over $2,000
2 $3,000 but less than $4,000 $105, plus five and one-half percent
3 (5.5%) of the amount over $3,000
4 $4,000 but less than $5,000 $160, plus six and one-half percent
5 (6.5%) of the amount over $4,000
6 $5,000 but less than $7,500 $225, plus seven and one-half percent
7 (7.5%) of the amount over $5,000
8 $7,500 but less than $20,000 $412.50, plus seven and eight-tenths percent
9 (7.8%) of the amount over $7,500
10 Over $20,000 $1,387.50, plus eight and two-tenths percent
11 (8.2%) of the amount over $20,000
12 For taxable year 2000 and each year thereafter, the state tax commission
13 shall prescribe a factor which shall be used to compute the Idaho income tax
14 brackets provided in this subsections (a)(i) and (a)(ii) of this section. The
15 factor shall provide an adjustment to the Idaho tax brackets so that inflation
16 will not result in a tax increase. The Idaho tax brackets shall be adjusted as
17 follows: multiply the bracket amounts by the percentage (the consumer price
18 index for the calendar year immediately preceding the calendar year to which
19 the adjusted brackets will apply divided by the consumer price index for cal-
20 endar year 1998). For the purpose of this computation, the consumer price
21 index for any calendar year is the average of the consumer price index as of
22 the close of the twelve (12) month period for the immediately preceding calen-
23 dar year as adopted by the state tax commission. This adoption shall be exempt
24 from the provisions of chapter 52, title 67, Idaho Code. The consumer price
25 index shall mean the consumer price index for all U.S. urban consumers pub-
26 lished by the United States department of labor. The state tax commission
27 shall annually include the factor as provided in this subsection to multiply
28 against Idaho taxable income in the brackets above to arrive at that year's
29 taxable income for tax bracket purposes.
30 (b) In case a joint return is filed by husband and wife pursuant to the
31 provisions of section 63-3031, Idaho Code, the tax imposed by this section
32 shall be twice the tax which would be imposed on one-half (1/2) of the aggre-
33 gate Idaho taxable income. For the purposes of this section, a return of a
34 surviving spouse, as defined in section 2(a) of the Internal Revenue Code, and
35 a head of household, as defined in section 2(b) of the Internal Revenue Code,
36 shall be treated as a joint return and the tax imposed shall be twice the tax
37 which would be imposed on one-half (1/2) of the Idaho taxable income.
38 (c) The state tax commission shall compute and publish Idaho income tax
39 liability for taxpayers at the midpoint of each bracket of Idaho taxable
40 income in fifty dollar ($50.00) steps to fifty thousand dollars ($50,000),
41 rounding such calculations to the nearest dollar. Taxpayers having income
42 within such brackets shall file returns based upon and pay taxes according to
43 the schedule thus established. The state tax commission shall promulgate rules
44 defining the conditions upon which such returns shall be filed.
45 SECTION 2. 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 63-3081, Idaho Code, and to read as follows:
48 63-3081. REBATE OF INCOME TAX. (1) Subject to the limitations of this
49 section, in regard to each individual income tax return required to be filed
50 pursuant to section 63-3030, Idaho Code, and that is actually filed, for a
51 twelve (12) month taxable year beginning in 1999 for which tax is imposed by
52 section 63-3024, Idaho Code, on at least one dollar ($1.00) of Idaho taxable
53 income, the state tax commission shall, on a one-time basis, rebate to the
4
1 taxpayer named on the return the amount specified in subsection (2) of this
2 section. In the case of a joint return, the rebate shall be paid to both tax-
3 payers jointly.
4 (2) (a) The rebate provided by subsection (1) of this section shall be
5 ten and six-tenths percent (10.6%) of the amount of tax computed under
6 section 63-3024, Idaho Code, reduced by credits provided by:
7 (i) Section 63-3029, Idaho Code, relating to taxes paid to another
8 state;
9 (ii) Sections 63-3029A and 63-3029C, Idaho Code, relating to certain
10 charitable contributions;
11 (iii) Section 63-3029B, Idaho Code, relating to capital investments;
12 (iv) Section 63-3029D, Idaho Code, relating to qualified equipment
13 utilizing postconsumer waste or postindustrial waste.
14 (b) When the amount of a rebate payable under subsection (2)(a) of this
15 section is less than twenty-five dollars ($25.00), the amount of the
16 rebate shall be twenty-five dollars ($25.00). When the amount of a rebate
17 payable under subsection (2)(a) of this section is more than two thousand
18 five hundred dollars ($2,500), the amount of the rebate shall be two thou-
19 sand five hundred dollars ($2,500). In the case of married taxpayers fil-
20 ing separate returns, only one (1) minimum or maximum rebate shall be
21 paid.
22 (3) No rebate shall be paid pursuant to this section in regard to a
23 return described in subsection (1) of this section if the return is not filed
24 within three (3) years of the original due date of the return, without regard
25 to extensions. In the event that the amount of tax due on a return filed
26 within the time required by this subsection is amended by the taxpayer or
27 changed by the state tax commission the rebate provided by this section shall
28 be adjusted proportionally. The state tax commission may offset a rebate
29 against taxes assessed the taxpayer but unpaid.
30 (4) In the case of a short period return, the rebates provided by this
31 section shall be reduced in proportion to the portion of calendar year 1999 to
32 which the return applies.
33 (5) Except as provided in this subsection, no application for a rebate
34 provided in this section shall be required. The state tax commission shall
35 cause each rebate to be mailed to the taxpayer or taxpayers at the address
36 shown on the return, unless, as a result of a more recent return, a newer
37 address is shown on the commission's records. The state tax commission may
38 provide a procedure by which rebates that are returned or undeliverable may be
39 claimed.
40 (6) Any person aggrieved by any action of the state tax commission in
41 regard to the rebates provided in this section shall file a petition with the
42 state tax commission in the manner provided in section 63-3045, Idaho Code.
43 Such a petition shall be subject to administrative and judicial review in the
44 manner provided by sections 63-3045 through 63-3049, Idaho Code.
45 (7) Rebates authorized by this section shall be paid from the state
46 refund account established by section 63-3067, Idaho Code, from which the
47 amounts necessary to pay the rebates are hereby appropriated. In the event
48 that, at the time the rebates are paid, there is an insufficient balance in
49 the state refund account, the state board of examiners, upon application by
50 the state tax commission, shall transfer sufficient funds from the general
51 fund to make the rebate payments and any other refunds due and payable from
52 the state refund account.
53 (8) The state tax commission, the state treasurer and the state control-
54 ler may contract with a commercial bank for some or all of the services,
55 including issuing payments, relating to payment of the rebate provided in this
5
1 section.
2 SECTION 3. That Section 63-3022D, Idaho Code, be, and the same is hereby
3 repealed.
4 SECTION 4. That Section 63-3022E, Idaho Code, be, and the same is hereby
5 amended to read as follows:
6 63-3022E. HOUSEHOLD DEDUCTION FOR DEPENDENTS SIXTY-FIVE YEARS OF AGE OR
7 OLDER OR PERSONS WITH DEVELOPMENTAL DISABILITIES. (1) An additional deduction
8 from taxable income shall be allowed in the case of an individual who main-
9 tains a household, which includes as an immediate member of the family resid-
10 ing in that household, one (1) or more individuals sixty-five (65) years of
11 age or older, or a person with developmental disabilities as defined in sub-
12 section (5) of section 66-402, Idaho Code, regardless of the age of the person
13 when such developmental disability appeared, each of whom receives more than
14 one-half (1/2) of his or her support for the year from the individual who
15 maintains the household. The amount of the deduction shall be one five thou-
16 sand dollars ($15,000) for each individual sixty-five (65) years of age or
17 older or with developmental disabilities.
18 (2) There shall not be allowed more than three (3) deductions of one five
19 thousand dollars ($15,000) under the provisions of this section on any one (1)
20 return.
21 (3) No deductions shall be allowed under this section for the person(s)
22 in whose name(s) the income tax return is filed except as set forth in subsec-
23 tion (4) of this section.
24 (4) A deduction of one five thousand dollars ($15,000) shall be allowed
25 under this section for a person with a developmental disability, as defined in
26 subsection (5) of section 66-402, Idaho Code, who is filing his own return.
27 SECTION 5. That Section 63-3022H, Idaho Code, be, and the same is hereby
28 amended to read as follows:
29 63-3022H. DEDUCTION OF CAPITAL GAINS. (1) If an individual taxpayer
30 reports a net capital gain in determining taxable income, sixty percent (60%)
31 of the net capital gain from the sale or exchange of qualified property shall
32 be a deduction in determining taxable income.
33 (2) The deduction provided in this section is limited to the amount of
34 the net capital gain from all property included in federal taxable income. Net
35 capital gains treated as ordinary income by the iInternal rRevenue cCode do
36 not qualify for the deduction allowed in this section. The deduction otherwise
37 allowable under this section shall be reduced by the amount of any federal
38 capital gains deduction relating to such property, but not below zero.
39 (3) As used in this section "qualified property" means the following
40 property having an Idaho situs at the time of sale:
41 (a) Real property held at least eighteen (18) months;
42 (b) Tangible personal property used in Idaho for at least twelve (12)
43 months by a revenue-producing enterprise;
44 (c) Cattle or horses held for breeding, draft, dairy or sporting purposes
45 for at least twenty-four (24) months if more than one-half (1/2) of the
46 taxpayer's gross income (as defined in section 61(a) of the iInternal
47 rRevenue cCode) for the taxable year is from farming or ranching opera-
48 tions in Idaho;
49 (d) Breeding livestock other than cattle or horses held at least twelve
50 (12) months if more than one-half (1/2) of the taxpayer's gross income (as
6
1 defined in section 61(a) of the iInternal rRevenue cCode) for the taxable
2 year is from farming or ranching operations in Idaho;
3 (e) Timber grown in Idaho and held at least twenty-four (24) months;
4 (f) An equity interest held by an Idaho private venture capital company
5 as defined in section 63-3029K, Idaho Code, including stock in a corpora-
6 tion, interest in a partnership or membership in a limited liability com-
7 pany, if:
8 (i) The Idaho private venture capital company has held the equity
9 interest for at least three (3) years; and
10 (ii) The equity interest is issued by an entity whose business
11 activity for the entity's three (3) taxable years immediately preced-
12 ing the sale is entirely in Idaho or at least fifty percent (50%) in
13 Idaho as determined by the average Idaho apportionment factor under
14 subsection (i) of section 63-3027, Idaho Code.
15 (g) In determining the period for which property subject to this section
16 has been held by a taxpayer, the provisions of section 1223 of the
17 iInternal rRevenue cCode shall apply, except that when the holding period
18 includes any period during which the taxpayer held property other than the
19 property sold, all property held during the holding period must qualify
20 under this section.
21 (4) If an individual reports a capital gain from qualified property from
22 an S corporation or a partnership, a deduction shall be allowed under this
23 section only to the extent the individual held his interest in the income of
24 the S corporation or the partnership for the time required by subsection (3)
25 of this section for the property sold.
26 (5) If an individual reports a capital gain from an estate, no deduction
27 shall be allowed under this section unless the holding period required in sub-
28 section (3) of this section was satisfied by the decedent, the estate, or the
29 beneficiary, or a combination thereof.
30 (6) If an individual reports a capital gain from a trust, no deduction
31 shall be allowed under this section unless the holding period required in sub-
32 section (3) of this section was satisfied by the grantor, the trust, or the
33 beneficiary, or a combination thereof.
34 (7) As used in this section "revenue-producing enterprise" means:
35 (a) The production, assembly, fabrication, manufacture, or processing of
36 any agricultural, mineral or manufactured product;
37 (b) The storage, warehousing, distribution, or sale at wholesale of any
38 products of agriculture, mining or manufacturing;
39 (c) The feeding of livestock at a feedlot;
40 (d) The operation of laboratories or other facilities for scientific,
41 agricultural, animal husbandry, or industrial research, development, or
42 testing.
43 SECTION 6. That Section 63-3024A, Idaho Code, be, and the same is hereby
44 amended to read as follows:
45 63-3024A. CREDITS AND REFUNDS. (a) Any resident individual not entitled
46 to the credit allowed in subsection (b)(1), who is required to file by law and
47 who has filed an Idaho income tax return, shall be allowed a credit against
48 taxes due under the Idaho income tax act equal to the amount of fifteen dol-
49 lars ($15.00) for each personal exemption for which a deduction is permitted
50 by section 151(b) and (c) of the Internal Revenue Code if such deduction is
51 claimed on the taxpayer's Idaho income tax return, and if the individual for
52 whom the deduction is claimed is a resident of the state of Idaho. If taxes
53 due are less than the total credit allowed, the taxpayer shall be paid a
7
1 refund equal to the balance of the unused credit. If the credit or refund is
2 not claimed for the year for which the individual income tax return is filed,
3 the right thereafter to claim such credit or refund shall be forfeited. The
4 state tax commission shall prescribe the method by which the refund, if any,
5 is to be made to the taxpayer.
6 (b) (1) A resident individual who has reached his sixty-fifth birthday
7 before the end of his taxable year, who is required to file by law and who
8 has filed an Idaho income tax return, shall be allowed a credit against
9 taxes due under the Idaho income tax act equal to the amount of thirty
10 sixty dollars ($360.00) for each personal exemption representing himself,
11 a spouse over the age of sixty-five (65) years, or a dependent over the
12 age of sixty-five (65) years, but shall be allowed a credit against taxes
13 due under the Idaho income tax act equal to fifteen dollars ($15.00) for
14 each personal exemption representing a spouse or dependent under the age
15 of sixty-five (65) years. If taxes due are less than the total credit
16 allowed, the taxpayer shall be paid a refund equal to the balance of the
17 unused credit. If the credit or refund is not claimed for the year for
18 which the individual income tax return is filed, the right thereafter to
19 claim such credit or refund shall be forfeited. The state tax commission
20 shall prescribe the method by which the refund, if any, is to be made to
21 the taxpayer.
22 (2) A resident individual who has reached his sixty-fifth birthday and is
23 not required by law to file an Idaho income tax return and who has
24 received no credit or refund under any other subsection of this section,
25 shall be entitled to a refund of thirty sixty dollars ($360.00). Any
26 refund shall be paid to such individual only upon his making application
27 therefor at such time and in such manner as may be prescribed by the state
28 tax commission.
29 (c) A resident individual of the state of Idaho who is:
30 (i) blind, or
31 (ii) a disabled American veteran of any war engaged in by the United
32 States, whose disability is recognized as a service connected disability
33 of a degree of ten per cent percent (10%) or more, or who is in receipt of
34 a pension for nonservice connected disabilities, in accordance with laws
35 and regulations administered by the United States veterans administration,
36 substantiated by a statement as to status signed by a responsible officer
37 of the United States veterans administration, or
38 (iii) over sixty-two (62) years of age, and has been allowed none, or less
39 than all, of the credit provided by subsection (a) or subsection (b) of
40 this section, shall be entitled to a payment from the refund fund in an
41 amount equal to fifteen dollars ($15.00), or the balance of his unused
42 credit, whichever is less, upon making application therefor at such time
43 and in such manner as the state tax commission may prescribe.
44 (d) Any part-year resident entitled to a credit under this section shall
45 receive a proportionate credit, in the manner above provided, reflecting the
46 part of the year in which he was domiciled in this state.
47 (e) No credit or refund may be claimed for an exemption which represents
48 a person who has himself filed an Idaho income tax return claiming a deduction
49 for his own personal exemption, and in no event shall more than one (1) tax-
50 payer be allowed a credit or refund for the same exemption, or under more than
51 one (1) subsection of this section.
52 (f) The refunds authorized by this section shall be paid from the state
53 refund fund in the same manner as the refunds authorized by section 63-3067,
54 Idaho Code.
55 (g) An application for any refund which is due and payable under the pro-
8
1 visions of this section must be filed with the state tax commission within
2 three (3) years of:
3 (i) the due date, including extensions, of the return required under sec-
4 tion 63-3030, Idaho Code, if the applicant is required to file a return,
5 or
6 (ii) the 15th day of April of the year following the year to which the
7 application relates if the applicant is not required to file a return.
8 SECTION 7. That Section 63-3025, Idaho Code, be, and the same is hereby
9 amended to read as follows:
10 63-3025. TAX ON CORPORATE INCOME. For taxable years commencing on and
11 after January 1, 1987, a tax is hereby imposed on the Idaho taxable income of
12 a corporation which transacts or is authorized to transact business in this
13 state or which has income attributable to this state. The tax shall be equal
14 to seven and eight-tenths percent (7.8%) of Idaho taxable income; provided,
15 however, that the tax shall not be less than twenty dollars ($20.00); provided
16 further that the twenty dollar ($20.00) minimum payment shall not be collected
17 from nonproductive mining corporations. The tax imposed by this section shall
18 not apply to corporations taxed pursuant to the provisions of section
19 63-3025A, Idaho Code.
20 SECTION 8. That Section 63-3025A, Idaho Code, be, and the same is hereby
21 amended to read as follows:
22 63-3025A. FRANCHISE TAX. For taxable years commencing on and after Janu-
23 ary 1, 1987, a franchise tax shall be imposed upon any corporation for the
24 privilege of exercising its corporate franchise within the state during such
25 taxable year, including, but not limited to, corporations engaged in business
26 in Idaho for the exclusive purpose of performing contracts with the United
27 States department of energy at the Idaho national engineering and environmen-
28 tal laboratory, which tax shall be measured by income which is attributable to
29 this state under the provisions of this chapter and which tax shall be equal
30 to eight percent (8%) of Idaho taxable income at the rate provided in section
31 63-3025, Idaho Code; provided, however, that the tax shall not be less than
32 twenty dollars ($20.00); provided further that the twenty dollar ($20.00) min-
33 imum payment shall not be collected from nonproductive mining corporations;
34 but the twenty dollar ($20.00) minimum tax shall apply to corporations quali-
35 fied to file returns and actually filing returns under the provisions of sub-
36 chapter "S" of the Internal Revenue Code.
37 SECTION 9. That Section 63-3025D, Idaho Code, be, and the same is hereby
38 amended to read as follows:
39 63-3025D. PAYMENT FOR DEPENDENTS SIXTY-FIVE YEARS OF AGE OR OLDER OR PER-
40 SONS WITH DEVELOPMENTAL DISABILITIES. (1) In lieu of the deduction from tax-
41 able income allowed by section 63-3022E, Idaho Code, a resident individual who
42 maintains a household, which includes as an immediate member of the family
43 residing in that household, one (1) or more individuals sixty-five (65) years
44 of age or older or individuals with developmental disabilities, as defined in
45 subsection (5) of section 66-402, Idaho Code, each of whom receives more than
46 one-half (1/2) of his or her support for the year from the individual who
47 maintains the household, shall be entitled to a payment from the refund
48 account of one five hundred dollars ($1500) for each such elderly member of
49 the family or family member with a developmental disability. Any such payment
9
1 shall be paid to such individual only upon his making application therefor at
2 such time and in such manner as may be prescribed by the state tax commission.
3 (2) No more than three (3) such payments shall be made under the provi-
4 sions of this section to any one (1) individual in any calendar year.
5 (3) No payment may be claimed under the provisions of this section by the
6 individual himself except as set forth in subsection (4) of this section.
7 (4) A credit of one five hundred dollars ($1500) shall be allowed under
8 this section for a person with a developmental disability as defined in sub-
9 section (5) of section 66-402, Idaho Code, who is filing his own tax return.
10 SECTION 10. That Section 63-3029B, Idaho Code, be, and the same is hereby
11 amended to read as follows:
12 63-3029B. INCOME TAX CREDIT FOR CAPITAL INVESTMENT. (1) At the election
13 of the taxpayer there shall be allowed, subject to the applicable limitations
14 provided herein as a credit against the income tax imposed by chapter 30,
15 title 63, Idaho Code, an amount equal to the sum of:
16 (a) The tax credit carryovers; and
17 (b) The tax credit for the taxable year.
18 (2) The maximum allowable amount of the credit for the current taxable
19 year shall be three percent (3%) of the amount of qualified investments made
20 during the taxable year.
21 (3) As used in this section "qualified investment" means certain depre-
22 ciable property which:
23 (a) (i) Is eligible for the federal investment tax credit, as defined in
24 sections 46(c) and 48 of the Internal Revenue Code subject to the
25 limitations provided for certain regulated companies in section 46(f)
26 of the Internal Revenue Code and is not a motor vehicle under eight
27 thousand (8,000) pounds gross weight; or
28 (ii) Is qualified broadband equipment as defined in section 63-3029I,
29 Idaho Code; and
30 (b) Is acquired, constructed, reconstructed, erected or placed into ser-
31 vice after December 31, 1981; and
32 (c) Has a situs in Idaho.
33 (4) Notwithstanding the provisions of subsections (1) and (2) of this
34 section, the amount of the credit allowed shall not exceed fifty percent (50%)
35 of the tax liability of the taxpayer.
36 (5) If the sum of credit carryovers from the credit allowed by subsection
37 (2) of this section and the amount of credit for the taxable year from the
38 credit allowed by subsection (2) of this section exceed the limitation imposed
39 by subsection (4) of this section for the current taxable year, the excess
40 attributable to the current taxable year's credit shall be an investment
41 credit carryover to the fourteen (14) succeeding taxable years. In the case of
42 a group of corporations filing a combined report under section 63-3027, Idaho
43 Code, or sections 63-3027B through 63-3027E, Idaho Code, credit earned by one
44 (1) member of the group but not used by that member may be used by another
45 member of the group, subject to the provisions of subsection (4) of this sec-
46 tion, instead of carried over. The entire amount of unused credit shall be
47 carried forward to the earliest of the succeeding years, wherein the oldest
48 available unused credit shall be used first, so long as the qualified invest-
49 ment property for which the unused credit was granted still maintains Idaho
50 situs. For a combined group of corporations, credit carried forward may be
51 claimed by any member of the group unless the member who earned the credit is
52 no longer included in the combined group.
53 (6) Any recapture of the credit allowed by subsection (2) of this section
10
1 on property disposed of or ceasing to qualify, prior to the close of its use-
2 ful life the recapture period, shall be determined according to the applica-
3 ble recapture provisions of the Internal Revenue Code. In the case of a uni-
4 tary group of corporations, the increase in tax due to the recapture of
5 investment tax credit must be reported by the member of the group who earned
6 the credit regardless of which member claimed the credit against tax.
7 (7) For the purpose of determining whether property placed in service is
8 a "qualified investment" as defined in subsection (3) of this section, the
9 provisions of section 49 of the Internal Revenue Code shall be disregarded.
10 (8) For purposes of this section, property has a situs in Idaho during a
11 taxable year if it is used in Idaho at any time during the taxable year. Prop-
12 erty not used in Idaho during a taxable year does not have a situs in Idaho in
13 the taxable year during which the property is not used in Idaho or in any sub-
14 sequent taxable year. No credit or carryover of credit is permitted under this
15 section if the credit or carryover relates to property that does not have a
16 situs in Idaho during the taxable year for which the credit or carryover is
17 claimed. The Idaho situs of property must be established by records maintained
18 by the taxpayer which are created reasonably contemporaneously with the use of
19 the property.
20 (9) In the case of property used both in and outside Idaho, the taxpayer,
21 electing to claim the credit provided in this section, must elect to compute
22 the qualified investment in property with a situs in Idaho for all such
23 investments first qualifying during that year in one (1), but only one (1), of
24 the following ways:
25 (a) The amount of each qualified investment in a specific asset shall be
26 separately computed based on the percentage of the actual use of the prop-
27 erty in Idaho by using a measure of the use, such as total miles or total
28 machine hours, that most accurately reflects the beneficial use during the
29 taxable year in which it is first acquired, constructed, reconstructed,
30 erected or placed into service; provided, that the asset is placed in ser-
31 vice more than ninety (90) days before the end of the taxable year. In the
32 case of assets acquired, constructed, reconstructed, erected or placed
33 into service within ninety (90) days prior to the end of the taxable year
34 in which the investment first qualifies, the measure of the use of that
35 asset within Idaho for that year shall be based upon the percentage of use
36 in Idaho during the first ninety (90) days of use of the asset;
37 (b) The investment in qualified property used both inside and outside
38 Idaho during the taxable year in which it is first acquired, constructed,
39 reconstructed, erected or placed into service shall be multiplied by the
40 percent of the investment that would be included in the numerator of the
41 Idaho property factor determined pursuant to section 63-3027, Idaho Code,
42 for the same year.
43 (10) Only for the purposes of subsections (3)(a) and (7) of this section,
44 references to sections of the "Internal Revenue Code" mean the sections
45 referred to as they existed in the Internal Revenue Code of 1986 prior to
46 November 5, 1990.
47 SECTION 11. That Section 63-3029E, Idaho Code, be, and the same is hereby
48 amended to read as follows:
49 63-3029E. DEFINITIONS -- CONSTRUCTION OF TERMS. As used in this section
50 and in section 63-3029F, Idaho Code:
51 (1) (a) "New employee" means a person from whom Idaho income tax has been
52 withheld, employed by the taxpayer, in a revenue-producing enterprise
53 creating value-added natural resource products, and covered for unemploy-
11
1 ment insurance purposes under chapter 13, title 72, Idaho Code, during the
2 taxable year for which the credit allowed by section 63-3029F, Idaho Code,
3 is claimed. A person shall be deemed to be so engaged if such person per-
4 forms duties on:
5 (i) A regular full-time basis; or
6 (ii) A part-time basis if such person is customarily performing such
7 duties at least twenty (20) hours per week.
8 No credit shall be earned unless the new employee shall have performed
9 such duties for the taxpayer for a minimum of nine (9) months during the
10 taxable year for which the credit is claimed.
11 (b) The provisions of paragraph (a) of this subsection notwithstanding,
12 no credit shall be allowed for employment of persons by a taxpayer who
13 acquires a revenue-producing enterprise from another taxpayer or who oper-
14 ates in a place of business the same or a substantially identical revenue-
15 producing value-added natural resource products enterprise business as
16 operated by another taxpayer within the prior twelve (12) months, except
17 as the prior taxpayer would have qualified under the provisions of para-
18 graph (c) of this subsection. Employees transferred from a related tax-
19 payer shall not be included in the computation of the credit.
20 (c) The number of employees during any taxable year for any taxpayer
21 shall be the mathematical average of the number of employees reported to
22 the Idaho department of labor for employment security purposes during the
23 twelve (12) months of the taxable year which qualified under paragraph (a)
24 of this subsection. In the event the business is in operation for less
25 than the entire taxable year, the number of employees of the business for
26 the year shall be the average number actually employed during the months
27 of operation, providing that the qualifications of paragraph (a) of this
28 subsection are met.
29 (2) "Revenue-producing enterprise" means the production, assembly, fabri-
30 cation, manufacture or processing of any natural resource product.
31 (3) "Same or a substantially identical revenue-producing enterprise busi-
32 ness" means a revenue-producing enterprise business in which the products pro-
33 duced or sold, or the activities conducted are the same in character and use
34 and are produced, sold or conducted in the same manner as, or for the same
35 types of customers as, the products or activities produced, sold or conducted
36 in another revenue-producing enterprise business.
37 SECTION 12. That Section 63-3029F, Idaho Code, be, and the same is hereby
38 amended to read as follows:
39 63-3029F. SPECIAL CREDIT AVAILABLE -- NEW EMPLOYEES. (1) Any taxpayer
40 shall be allowed a credit, in an amount determined under subsection (2) of
41 this section, against the tax imposed by this chapter, other than the tax
42 imposed by section 63-3082, Idaho Code, for any taxable year during which the
43 taxpayer's employment of new employees, as defined under section 63-3029E(1),
44 Idaho Code, increases above the taxpayer's average employment for either: (a)
45 the prior taxable year, or (b) the average of three (3) prior taxable years,
46 whichever is higher. No credit shall be allowed under this section unless the
47 number of new employees equals or exceeds one (1) person.
48 (2) The credit authorized in subsection (1) of this section shall be five
49 hundred dollars ($500) per new employee, but the total credit allowed shall
50 not exceed three and one-quarter percent (3.25%) of net income from the
51 taxpayer's corporate, proprietorship, partnership, small business corporation
52 or limited liability company revenue-producing enterprise business in which
53 the employment occurred. Additionally, the total of this and all other credits
12
1 allowed under this chapter except for the credits allowed under sections
2 63-3024A, 63-3025D and 63-3029, Idaho Code, taken during any taxable year
3 shall not exceed forty-five percent (45%) of the tax otherwise imposed on the
4 taxpayer for the taxable year for which such credit is allowed.
5 (3) If the sum of the credit carryovers from the credit allowed by sub-
6 section (2) of this section and the amount of credit for the taxable year from
7 the credit allowed by subsection (2) of this section exceed the limitation
8 imposed by subsection (2) of this section for the current taxable year, the
9 excess attributable to the current taxable year's credit shall be a credit
10 carryover to the three (3) succeeding taxable years. The entire amount of
11 unused credit shall be carried forward to the earliest of the succeeding
12 years, wherein the oldest available unused credit shall be used first, so long
13 as the employment level for which the credit was granted is still maintained.
14 SECTION 13. That Chapter 30, Title 63, Idaho Code, be, and the same is
15 hereby amended by the addition thereto of a NEW SECTION, to be known and des-
16 ignated as Section 63-3029G, Idaho Code, and to read as follows:
17 63-3029G. CREDITS FOR RESEARCH ACTIVITIES CONDUCTED IN THIS STATE --
18 CARRY FORWARD.
19 (1) (a) Subject to the limitations of this section, for taxable years
20 beginning between January 1, 2001, and December 31, 2003, inclusive, there
21 shall be allowed to a taxpayer a nonrefundable credit against taxes
22 imposed by sections 63-3024, 63-3025 and 63-3025A, Idaho Code, for
23 increasing research activities in Idaho.
24 (b) The credit allowed by subsection (1)(a) of this section shall be the
25 sum of:
26 (i) Five percent (5%) of the excess of qualified research payments
27 for research conducted in Idaho over the base amount; and
28 (ii) Five percent (5%) basic research payments allowable under sub-
29 section (e) of section 41 of the Internal Revenue Code for basic
30 research conducted in Idaho.
31 (2) As used in this section:
32 (a) The terms "qualified research payments," "qualified research," "basic
33 research payments" and "basic research" shall be as defined in section 41
34 of the Internal Revenue Code except that the research must be conducted in
35 Idaho.
36 (b) The term "base amount" shall mean an amount calculated as provided in
37 sections 41(c) and 41(h) of the Internal Revenue Code, except that:
38 (i) The base amount does not include the calculation of the alter-
39 native incremental credit provided for in section 41(c)(4) of the
40 Internal Revenue Code;
41 (ii) A taxpayer's gross receipts include only those gross receipts
42 attributable to sources within this state as provided in subsections
43 (q) and (r) of section 63-3027, Idaho Code; and
44 (iii) Notwithstanding section 41(c) of the Internal Revenue Code, for
45 purposes of calculating the base amount, a taxpayer:
46 (A) May elect to be treated as a start-up company as provided
47 in section 41(c)(3)(B) of the Internal Revenue Code, regardless
48 of whether the taxpayer meets the requirements of section
49 41(c)(3)(B)(i)(I) or (II) of the Internal Revenue Code; and
50 (B) May not revoke an election to be treated as a start-up com-
51 pany.
52 (3) The credit allowed by subsection (1)(a) of this section together with
53 any credits carried forward under subsection (5) of this section shall not
13
1 exceed the amount of tax due under sections 63-3024, 63-3025 and 63-3025A,
2 Idaho Code, after allowance for all other credits permitted by this chapter.
3 When credits earned in more than one (1) taxable year are available, the old-
4 est credits shall be applied first.
5 (4) In the case of a group of corporations filing a combined report under
6 subsection (t) of section 63-3027, Idaho Code, credit earned by one (1) member
7 of the group but not used by that member may be used by another member of the
8 group. For a combined group of corporations, any member of the group may claim
9 credit carried forward unless the member who earned the credit is no longer
10 included in the combined group.
11 (5) The credit allowed by subsection (1)(a) of this section shall be
12 claimed for the taxable year during which the taxpayer qualifies for the
13 credit. If the credit exceeds the limitation under subsection (3) of this sec-
14 tion, the excess amount may be carried forward for a period that does not
15 exceed the next fourteen (14) taxable years.
16 (6) In addition to other needed rules, the state tax commission may pro-
17 mulgate rules prescribing, in the case of S corporations, partnerships, trusts
18 or estates, a method of attributing the credit under this section to the
19 shareholders, partners or beneficiaries in proportion to their share of the
20 income from the S corporation, partnership, trust or estate.
21 SECTION 14. That Section 63-3029H, Idaho Code, be, and the same is hereby
22 amended to read as follows:
23 63-3029HP. PRIORITY OF CREDITS. When a taxpayer subject to any taxes
24 imposed under this chapter is entitled to two (2) or more credits against such
25 taxes, the priority of credits shall be determined in the following order:
26 (a) Nonrefundable credits. Nonrefundable credits shall be applied to the
27 tax liability before application of refundable credits. If a taxpayer is enti-
28 tled to more than one (1) nonrefundable credit, the credits shall be applied
29 in the order in which the statutes authorizing the credits were enacted by the
30 legislature.
31 (b) Refundable credits. Refundable credits shall be applied to the tax
32 liability after application of any nonrefundable credits.
33 SECTION 15. That Chapter 30, Title 63, Idaho Code, be, and the same is
34 hereby amended by the addition thereto of a NEW SECTION, to be known and des-
35 ignated as Section 63-3029H, Idaho Code, and to read as follows:
36 63-3029H. CREDIT FOR HOUSEHOLD AND DEPENDENT CARE SERVICES NECESSARY FOR
37 GAINFUL EMPLOYMENT. (1) A resident individual who is entitled, for federal
38 income tax purposes, to claim and who does claim the credit provided by sec-
39 tion 21 of the Internal Revenue Code shall be entitled to a nonrefundable
40 credit against taxes imposed by section 63-3024, Idaho Code, equal to one-half
41 (1/2) of the credit allowable on that taxpayer's federal return for the same
42 taxable year.
43 (2) A nonresident or part-year resident individual who is entitled, for
44 federal income tax purposes, to claim and who does claim the credit provided
45 by section 21 of the Internal Revenue Code shall be entitled to a proportional
46 part of the credit otherwise provided in subsection (1) of this section. The
47 proportion shall be determined in accordance with the provisions of section
48 63-3026A(6), Idaho Code.
49 (3) The credit allowed by this section shall not exceed the total amount
50 of taxes due under section 63-3024, Idaho Code, after allowance of all other
51 credits provided in this chapter.
14
1 SECTION 16. That Chapter 30, Title 63, 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 63-3029I, Idaho Code, and to read as follows:
4 63-3029I. INCOME TAX CREDIT FOR INVESTMENT IN BROADBAND EQUIPMENT. (1)
5 Subject to the limitations of this section, for taxable years beginning
6 between January 1, 2001, and December 31, 2003, inclusive, there shall be
7 allowed to a taxpayer a nonrefundable credit against taxes imposed by sections
8 63-3024, 63-3025 and 63-3025A, Idaho Code, for qualified expenditures in qual-
9 ified broadband equipment in Idaho.
10 (2) The credit permitted in subsection (1) of this section shall be three
11 percent (3%) of the qualified investment in qualified broadband equipment in
12 Idaho and shall be in addition to the credit for capital investment permitted
13 by section 63-3029B, Idaho Code.
14 (3) As used in this section the term:
15 (a) "Qualified investment" shall be as defined in section 63-3029B, Idaho
16 Code.
17 (b) "Qualified broadband equipment" means equipment that qualifies for
18 the credit for capital investment permitted by section 63-3029B, Idaho
19 Code, and is capable of transmitting signals at a rate of at least two
20 hundred thousand (200,000) bits per second to a subscriber and at least
21 one hundred twenty-five thousand (125,000) bits per second from a sub-
22 scriber, and
23 (i) In the case of a telecommunications carrier, such qualifying
24 equipment shall be necessary to the provision of broadband service
25 and an integral part of a broadband network. "Telecommunications car-
26 rier" has the meaning given such term by section 3(44) of the commu-
27 nications act of 1934, as amended, but does not include a commercial
28 mobile service provider.
29 (ii) In the case of a commercial mobile service carrier, such quali-
30 fying equipment shall extend from the subscriber side of the mobile
31 telecommunications switching office to a transmitting/receiving
32 antenna, including such antenna, on the outside of the structure in
33 which the subscriber is located. "Commercial mobile service carrier"
34 means any person authorized to provide commercial mobile radio ser-
35 vice to subscribers as defined in section 20.3 of title 47, Code of
36 Federal Regulations (10-1-99 ed.), as amended.
37 (iii) In the case of a cable or open video system operator, such
38 qualifying equipment shall extend from the subscriber's side of the
39 headend to the outside of the structure in which the subscriber is
40 located. The terms "cable operator" and "open video system operator"
41 have the meanings given such terms by sections 602(5) and 653,
42 respectively, of the communications act of 1934, as amended.
43 (iv) In the case of a satellite carrier or a wireless carrier other
44 than listed above, such qualifying equipment is only that equipment
45 that extends from a transmitting/receiving antenna, including such
46 antenna, which transmits and receives signals to or from multiple
47 subscribers to a transmitting/receiving antenna on the outside of the
48 structure in which the subscriber is located. "Satellite carrier"
49 means any person using the facilities of a satellite or satellite
50 services licensed by the federal communications commission and oper-
51 ating a fixed-satellite service or direct broadcast satellite ser-
52 vices to provide point-to-multipoint distribution of signals. "Other
53 wireless carrier" means any person, other than a telecommunications
54 carrier, commercial mobile service carrier, cable operator, open
15
1 video operator, or satellite carrier, providing broadband services to
2 subscribers through the radio transmission of energy.
3 (v) In the case of packet switching equipment, such packet equip-
4 ment installed in connection with other qualifying equipment listed
5 in subsections (2)(b)(i) through (2)(b)(iv) of this section, provided
6 it is the last in a series of equipment that transmits signals to a
7 subscriber or the first in a series of equipment that transmits sig-
8 nals from a subscriber. "Packet switching" means controlling or
9 routing the path of a digital transmission signal which is assembled
10 into packets or cells.
11 (vi) In the case of multiplexing and demultiplexing equipment, such
12 equipment only to the extent that it is deployed in connection with
13 providing broadband services in locations between packet switching
14 equipment and the structure in which the subscriber is located.
15 "Multiplexing" means the transmission of two (2) or more signals over
16 a communications circuit without regard to the communications tech-
17 nology.
18 (vii) Any property not primarily used to provide services in Idaho to
19 public subscribers is not qualified broadband equipment.
20 (3) No equipment described in subsections (2)(b)(i) through (2)(b)(vi) of
21 this section shall qualify for the credit provided in subsection (1) of this
22 section until the taxpayer applies to and obtains from the Idaho public utili-
23 ties commission an order confirming that the installed equipment is qualified
24 broadband equipment. Applications submitted to the commission shall be gov-
25 erned by the commission's rules of procedure. The commission may issue proce-
26 dural orders necessary to implement this section.
27 (4) The credit allowed by subsection (1) of this section together with
28 any credits carried forward under subsection (6) of this section shall not, in
29 any one (1) taxable year, exceed the lesser of:
30 (a) The amount of tax due under sections 63-3024, 63-3025 and 63-3025A,
31 Idaho Code, after allowance for all other credits permitted by this chap-
32 ter; or
33 (b) Seven hundred fifty thousand dollars ($750,000).
34 When credits earned in more than one (1) taxable year are available, the old-
35 est credits shall be applied first.
36 (5) In the case of a group of corporations filing a combined report under
37 subsection (t) of section 63-3027, Idaho Code, credit earned by one (1) member
38 of the group but not used by that member may be used by another member of the
39 group, subject to the provisions of subsection (6) of this section, instead of
40 carried over. For a combined group of corporations, credit carried forward may
41 be claimed by any member of the group unless the member who earned the credit
42 is no longer included in the combined group.
43 (6) If the credit allowed by subsection (1) of this section exceeds the
44 limitation under subsection (4) of this section, the excess amount may be car-
45 ried forward for a period that does not exceed the next fourteen (14) taxable
46 years.
47 (7) In the event that qualified broadband equipment upon which the credit
48 allowed by this section has been used ceases to qualify for the credit allowed
49 by section 63-3029B, Idaho Code, or is subject to recapture of that credit,
50 the recapture of credit under this section shall be in the same proportion and
51 subject to the same provisions as the amount of credit required to be recap-
52 tured under section 63-3029B, Idaho Code.
53 (8) (a) Subject to the requirements of this subsection, a taxpayer enti-
54 tled to the credit or to an unused portion of the credit allowed by this
55 section may transfer the unused credit to another taxpayer required to
16
1 file a return under this chapter.
2 (b) Before completing a transfer under this subsection, the transferor
3 shall notify the state tax commission of its intention to transfer the
4 credit and the identity of the transferee. The state tax commission shall
5 provide the transferor with a written statement of the amount of credit
6 available under this section as then appearing in the commission's records
7 and the number of years the credit may be carried over. The transferee
8 shall attach a copy of the statement to any return in regard to which the
9 transferred credit is claimed.
10 (c) In the event that after the transfer the state tax commission deter-
11 mines that the amount of credit properly available under this section is
12 less than the amount claimed by the transferor of the credit or that the
13 credit is subject to recapture, the commission shall assess the amount of
14 overstated or recaptured credit as taxes due from the transferor and not
15 the transferee. The assessment shall be made in the manner provided for a
16 deficiency in taxes under this chapter.
17 (9) In addition to other needed rules, the state tax commission may pro-
18 mulgate rules prescribing, in the case of S corporations, partnerships, trusts
19 or estates, a method of attributing the credit under this section to the
20 shareholders, partners or beneficiaries in proportion to their share of the
21 income from the S corporation, partnership, trust or estate.
22 SECTION 17. That Chapter 30, Title 63, Idaho Code, be, and the same is
23 hereby amended by the addition thereto of a NEW SECTION, to be known and des-
24 ignated as Section 63-3029J, Idaho Code, and to read as follows:
25 63-3029J. INCENTIVE INCOME TAX INVESTMENT CREDIT. (1) Subject to the lim-
26 itations of this section, for taxable years beginning between January 1, 2001,
27 and December 31, 2003, inclusive, there shall be allowed to a taxpayer a non-
28 refundable credit against taxes imposed by sections 63-3024, 63-3025 and
29 63-3025A, Idaho Code, in the amount allowed by subsection (2) of this section
30 for qualified investments in Idaho. The credit shall be in addition to the
31 credit for capital investment permitted by section 63-3029B, Idaho Code.
32 (2) The credit permitted in subsection (1) of this section shall be at
33 the percentage rate determined under either subsection (2)(a) or (2)(b) of
34 this section at the election of the taxpayer.
35 (a) (i) One-half (1/2) of the amount by which the average three-year
36 unemployment rate in the county in which the property is located
37 exceeds six percent (6%). In the case of mobile property, the prop-
38 erty shall be located in the county in which it is primarily based.
39 (ii) For purposes of this section the director of the department of
40 labor shall, on or before the first day of September of each calendar
41 year, establish and certify to the state tax commission the average
42 three-year unemployment rate in each county in Idaho for the immedi-
43 ately preceding three (3) calendar years. The rates thus certified
44 shall apply to the calculation of the credit under subsection
45 (2)(a)(i) of this section for property qualifying in the taxable year
46 beginning during the next calendar year.
47 (b) (i) One-tenth of one percent (.1%) for each full percent that the
48 three-year average personal income level in the county in which the
49 property is located is below ninety percent (90%) of the average
50 statewide personal income level.
51 (ii) For purposes of this section the director of the department of
52 commerce shall, on or before the first day of September of each cal-
53 endar year, establish and certify to the state tax commission the
17
1 three-year average personal income level in each county in Idaho and
2 the statewide personal income level for the immediately preceding
3 three (3) calendar years. The levels thus certified shall apply to
4 the calculation of the credit under subsection (2)(b)(i) of this sec-
5 tion for property qualifying in the taxable year beginning during the
6 next calendar year.
7 (3) As used in this section the term "qualified investment" shall be
8 defined as in section 63-3029B, Idaho Code.
9 (4) The credit allowed by subsection (1) of this section together with
10 any credits carried forward under subsection (6) of this section shall not
11 exceed in any one (1) taxable year the lesser of:
12 (a) The amount of tax due under sections 63-3024, 63-3025 and 63-3025A,
13 Idaho Code, after allowance for all other credits permitted by this chap-
14 ter; or
15 (b) Five hundred thousand dollars ($500,000).
16 (c) When credits earned in more than one (1) taxable year are available,
17 the oldest credits shall be applied first.
18 (5) In the case of a group of corporations filing a combined report under
19 subsection (t) of section 63-3027, Idaho Code, credit earned by one (1) member
20 of the group but not used by that member may be used by another member of the
21 group, subject to the provisions of subsection (6) of this section, instead of
22 carried over. For a combined group of corporations, credit carried forward may
23 be claimed by any member of the group unless the member who earned the credit
24 is no longer included in the combined group.
25 (6) If the credit allowed by subsection (1) of this section exceeds the
26 limitation under subsection (4) of this section, the excess amount may be car-
27 ried forward for a period that does not exceed the next fourteen (14) taxable
28 years.
29 (7) In the event that property upon which the credit allowed by this sec-
30 tion has been used ceases to qualify for the credit allowed by section
31 63-3029B, Idaho Code, the recapture of credit under this section shall be in
32 the same proportion and subject to the same provisions as the amount of credit
33 required to be recaptured under section 63-3029B, Idaho Code.
34 (8) (a) Subject to the requirements of this subsection, a taxpayer enti-
35 tled to the credit or to an unused portion of the credit allowed by this
36 section may transfer the unused credit to another taxpayer required to
37 file a return under this chapter.
38 (b) Before completing a transfer under this subsection, the transferor
39 shall notify the state tax commission of its intention to transfer the
40 credit and the identity of the transferee. The state tax commission shall
41 provide the transferor with a written statement of the amount of credit
42 available under this section as then appearing in the commission's records
43 and the number of years the credit may be carried over. The transferor
44 shall provide the transferee with the original statement. The transferee
45 shall attach a copy of the statement to any return in regard to which the
46 transferred credit is claimed.
47 (c) In the event that after the transfer the state tax commission deter-
48 mines that the amount of credit properly available under this section is
49 less than the amount claimed by the transferor of the credit and shown in
50 the statement described in subsection (8)(b) of this section or that the
51 credit is subject to recapture, the commission shall assess the amount of
52 overstated credit as taxes due from the transferor and not the transferee.
53 The assessment shall be made in the manner provided for a deficiency in
54 taxes under this chapter.
55 (9) In addition to other needed rules, the state tax commission may pro-
18
1 mulgate rules prescribing:
2 (a) In the case of S corporations, partnerships, trusts or estates, a
3 method of attributing the credit under this section to the shareholders,
4 partners or beneficiaries in proportion to their share of the income from
5 the S corporation, partnership, trust or estate.
6 (b) A requirement that a transferor under subsection (8) of this section,
7 prior to obtaining the written statement provided in subsection (8)(b) of
8 this section, post such bond or security as the state tax commission may
9 require to secure any liability referred to in subsection (8)(c) of this
10 section. Such rules shall provide an opportunity for a taxpayer, upon a
11 showing of financial responsibility, to have the bond waiver, for notice
12 of denial of waiver in accordance with section 63-3045, Idaho Code, and
13 for review in accordance with section 63-3045B, Idaho Code.
14 SECTION 18. That Chapter 30, Title 63, Idaho Code, be, and the same is
15 hereby amended by the addition thereto of a NEW SECTION, to be known and des-
16 ignated as Section 63-3029K, Idaho Code, and to read as follows:
17 63-3029K. VENTURE CAPITAL INCOME TAX INVESTMENT CREDIT. (1) Subject to
18 the limitations of this section, for taxable years beginning between January
19 1, 2001, and December 31, 2003, inclusive, there shall be allowed to a tax-
20 payer a nonrefundable credit against taxes imposed by sections 63-3024,
21 63-3025 and 63-3025A, Idaho Code, in the amount allowed by subsection (2) of
22 this section for investments described in subsection (2) of this section made
23 in Idaho. The credit shall be in addition to the credit for capital invest-
24 ment permitted by section 63-3029B, Idaho Code.
25 (2) The credit permitted in subsection (1) of this section shall be ten
26 percent (10%) of the taxpayer's investment made during the taxable year in an
27 Idaho private venture capital company.
28 (3) As used in this section:
29 (a) Definition. "Idaho private venture capital company" means an individ-
30 ual, corporation, limited liability company, partnership or other entity,
31 organized and existing under the laws of Idaho, with its principal place
32 of business located within Idaho which meets the following criteria:
33 (i) Capitalization of not less than five million dollars
34 ($5,000,000);
35 (ii) Having a purpose and objective of making at least fifty percent
36 (50%) of its venture or risk capital available to business enter-
37 prises that are headquartered and managed in Idaho and whose primary
38 business activities are reasonably expected to establish or expand
39 the development of business and industry within Idaho; and
40 (iii) Investment of not more than twenty-five percent (25%) of its
41 funds in any one (1) company.
42 (b) Certification. An entity shall not qualify as an Idaho private ven-
43 ture capital company until the company applies to and obtains from the
44 director of the Idaho department of finance, hereafter referred to as
45 "director," a certificate confirming that it meets the criteria of this
46 section. Applications submitted to the director shall contain such infor-
47 mation relating to the applicant as the director shall require, and a fee
48 as set by the director in an amount not to exceed five hundred dollars
49 ($500). Unless the Idaho private venture capital company is decertified as
50 described in subsection (3)(f) of this section, a copy of the certifica-
51 tion shall be provided by the Idaho private venture capital company to the
52 investor seeking the credit allowed by this section who shall attach a
53 copy to the original return on which the credit is claimed.
19
1 (c) Requirements to maintain certification. To continue in certifica-
2 tion, an Idaho private venture capital company shall:
3 (i) Invest at least thirty percent (30%) of its original capital-
4 ization at the end of the initial three (3) years in such a manner as
5 to acquire equity in the ventures in which the investments are made;
6 (ii) Have invested at least fifty percent (50%) in the same manner
7 at the end of five (5) years;
8 (iii) At the time of an initial investment, have no investor or com-
9 bination of investors in that Idaho private venture capital company
10 who own a controlling equity interest in a business in which the ven-
11 ture capital company is investing;
12 (iv) Not invest funds for use by an Idaho business for oil and gas
13 exploration and development, for real estate development or apprecia-
14 tion, or for banking or lending operations. Any investment by an
15 Idaho private venture capital company in any of these sectors shall
16 not be counted as equity investments for the purpose of continuing
17 certification under this section;
18 (v) Meet such books and records or other requirements as the direc-
19 tor may, by rule or order, direct; and
20 (vi) Pay an annual renewal fee in an amount set by the director not
21 to exceed five hundred dollars ($500).
22 (d) Reporting requirements. Each certified Idaho private venture capital
23 company shall report to the director on an annual basis such information
24 as the director requires to be submitted to maintain certification. As a
25 part of such information, each Idaho private venture capital company shall
26 report the name, address and taxpayer identification number of each inves-
27 tor who has invested in such company, the amounts invested by each such
28 investor and the companies in which the Idaho private venture capital com-
29 pany has invested. The director shall provide the information contained in
30 this subsection to the state tax commission on an annual basis.
31 (e) Compliance examinations. All the records of a certified Idaho private
32 venture capital company are subject at any time to such reasonable peri-
33 odic, special or other examinations by representatives of the director, as
34 the director deems necessary or appropriate in the public interest. The
35 director, or his designee, may examine under oath any of the officers,
36 directors, agents, employees, or investors of an Idaho private venture
37 capital company regarding the affairs and business of the company. The
38 director may administer oaths, subpoena witnesses, require the production
39 of any books, papers, correspondence, or other documents or records which
40 the director deems relevant or material to the inquiry. In the case of
41 refusal to obey a subpoena issued to a person, any court of competent
42 jurisdiction, upon application of the director, may issue to that person
43 an order requiring him to appear before the director or the officer desig-
44 nated by him, there to produce documentary evidence if so ordered or to
45 give evidence relating to the matter under inquiry. Any failure to obey
46 such order of the court may be punished by the court as contempt of court.
47 (f) Decertification. If the director determines that a certified Idaho
48 private venture capital company is not in substantial compliance with the
49 requirements for continuing certification or is in violation of any other
50 provision of this act, the director shall, by written notice, inform the
51 officers of the company and the board of directors or partners that they
52 will be decertified in one hundred twenty (120) days from the date of
53 mailing of the notice unless they correct the deficiencies and are once
54 again in compliance with the requirements for certification. At the end
55 of the one hundred twenty (120) day period, if the Idaho private venture
20
1 capital company is still not in substantial compliance, the director shall
2 send a notice of decertification to the company and to the state tax com-
3 mission.
4 (g) Liability disclaimed. The state of Idaho, the department of finance
5 and its employees and agents may not be held civilly or criminally liable
6 or liable upon their official bonds to any person including, but not lim-
7 ited to, investors, Idaho private venture capital companies, and appli-
8 cants to become an Idaho private venture capital company, for action taken
9 under this section or for any failure to act under it.
10 (h) To facilitate furtherance of the purposes of this section with other
11 state and federal programs including, but not limited to, small business
12 investment companies and business and industrial development companies,
13 the director shall have authority to waive any provision of this subsec-
14 tion (3) which for good cause shown, he deems appropriate and in the pub-
15 lic interest.
16 (i) The director may promulgate rules or issue orders as necessary to
17 implement this section.
18 (j) Documents and other materials submitted by Idaho private venture cap-
19 ital companies or by Idaho businesses pursuant to this subsection shall be
20 exempt from public disclosure.
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
23 exceed in any one (1) taxable year either:
24 (a) Fifty percent (50%) of the amount of tax due under sections 63-3024,
25 63-3025 and 63-3025A, Idaho Code, after allowance for all other credits
26 permitted by this chapter; or
27 (b) One hundred fifty thousand dollars ($150,000).
28 (5) In the case of a group of corporations filing a combined report under
29 subsection (t) of section 63-3027, Idaho Code, credit earned by one (1) member
30 of the group but not used by that member may be used by another member of the
31 group, subject to the provisions of subsection (6) of this section, instead of
32 carried over. For a combined group of corporations, credit carried forward may
33 be claimed by any member of the group unless the member who earned the credit
34 is no longer included in the combined group.
35 (6) If the credit allowed by subsection (1) of this section exceeds the
36 limitation under subsection (4) of this section the excess amount may be car-
37 ried forward for a period that does not exceed the next fourteen (14) taxable
38 years. When credits earned in more than one (1) taxable year are available,
39 the oldest credits shall be applied first.
40 (7) In the event that the company in which the investment was made ceases
41 to qualify as an Idaho private venture capital company before the expiration
42 of the carryover period provided in subsection (6) of this section, the por-
43 tion of the credit equal to the portion of the carryover period during which
44 the company did not so qualify shall be subject to recapture. The recapture
45 must be reported on the income tax return of the taxpayer who earned the
46 credit subject to the requirements for amounts recaptured under section
47 63-3029B, Idaho Code.
48 (8) (a) Subject to the requirements of this subsection, a taxpayer enti-
49 tled to the credit or to an unused portion of the credit allowed by this
50 section may transfer the unused credit to another taxpayer required to
51 file a return under this chapter.
52 (b) Before completing a transfer under this subsection, the transferor
53 shall notify the state tax commission of its intention to transfer the
54 credit and the identity of the transferee. The state tax commission shall
55 provide the transferor with a written statement of the amount of credit
21
1 available under this section as then appearing in the commission's records
2 and the number of years the credit may be carried over. The transferor
3 shall provide the transferee with the original statement. The transferee
4 shall attach a copy of the statement to any return in regard to which the
5 transferred credit is claimed.
6 (c) In the event that after the transfer the state tax commission deter-
7 mines that the amount of credit properly available under this section is
8 less than the amount claimed by the transferor of the credit and shown in
9 the statement described in subsection (8)(b) of this section, the commis-
10 sion shall assess the amount of overstated credit as taxes due from the
11 transferor and not the transferee. The assessment shall be made in the
12 manner provided for a deficiency in taxes under this chapter.
13 (9) In addition to other needed rules, the state tax commission may pro-
14 mulgate rules prescribing:
15 (a) In the case of S corporations, partnerships, trusts or estates, a
16 method of attributing the credit under this section to the shareholders,
17 partners or beneficiaries in proportion to their share of the income from
18 the S corporation, partnership, trust or estate.
19 (b) A requirement that a transferor under subsection (8) of this section,
20 prior to obtaining the written statement provided in subsection (8)(b) of
21 this section, post such bond or security as the state tax commission may
22 require to secure any liability referred to in subsection (8)(c) of this
23 section. Such rule shall provide an opportunity for a taxpayer, upon a
24 showing of financial responsibility, to have the bond waiver, for notice
25 of denial of waiver in accordance with section 63-3045, Idaho Code, and
26 for review in accordance with section 63-3045B, Idaho Code.
27 SECTION 19. That Sections 63-3029E and 63-3029F, Idaho Code, be, and the
28 same are hereby repealed.
29 SECTION 20. That Chapter 30, Title 63, Idaho Code, be, and the same is
30 hereby amended by the addition thereto of a NEW SECTION, to be known and des-
31 ignated as Section 63-3029E, Idaho Code, and to read as follows:
32 63-3029E. DEFINITIONS -- CONSTRUCTION OF TERMS. As used in this section
33 and in section 63-3029F, Idaho Code:
34 (1) (a) "New employee" means a person from whom Idaho income tax has
35 been withheld, employed by the taxpayer in a revenue-producing enterprise
36 creating value-added natural resource products, and covered for unemploy-
37 ment insurance purposes under chapter 13, title 72, Idaho Code, during the
38 taxable year for which the credit allowed by section 63-3029F, Idaho Code,
39 is claimed. A person shall be deemed to be so engaged if such person per-
40 forms duties on:
41 (i) A regular full-time basis; or
42 (ii) A part-time basis if such person is customarily performing such
43 duties at least twenty (20) hours per week.
44 No credit shall be earned unless the new employee shall have performed
45 such duties for the taxpayer for a minimum of nine (9) months during the
46 taxable year for which the credit is claimed.
47 (b) The provisions of paragraph (a) of this subsection notwithstanding,
48 no credit shall be allowed for employment of persons by a taxpayer who
49 acquires a revenue-producing enterprise from another taxpayer or who oper-
50 ates in a place of business the same or a substantially identical revenue-
51 producing value-added natural resource products enterprise as operated by
52 another taxpayer within the prior twelve (12) months, except as the prior
22
1 taxpayer would have qualified under the provisions of paragraph (c) of
2 this subsection. Employees transferred from a related taxpayer shall not
3 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"
16 means a revenue-producing enterprise in which the products produced or sold,
17 or the activities conducted are the same in character and use and are pro-
18 duced, sold or conducted in the same manner as, or for the same types of cus-
19 tomers as, the products or activities produced, sold or conducted in another
20 revenue-producing enterprise.
21 SECTION 21. That Chapter 30, Title 63, Idaho Code, be, and the same is
22 hereby amended by the addition thereto of a NEW SECTION, to be known and des-
23 ignated as Section 63-3029F, Idaho Code, and to read as follows:
24 63-3029F. SPECIAL CREDIT AVAILABLE -- NEW EMPLOYEES. (1) Any taxpayer
25 shall be allowed a credit, in an amount determined under subsection (2) of
26 this section, against the tax imposed by this chapter, other than the tax
27 imposed by section 63-3082, Idaho Code, for any taxable year during which the
28 taxpayer's employment of new employees, as defined under section 63-3029E(1),
29 Idaho Code, increases above the taxpayer's average employment for either: (a)
30 the prior taxable year, or (b) the average of three (3) prior taxable years,
31 whichever is higher. No credit shall be allowed under this section unless the
32 number of new employees equals or exceeds one (1) person.
33 (2) The credit authorized in subsection (1) of this section shall be five
34 hundred dollars ($500) per new employee, but the total credit allowed shall
35 not exceed three and one-quarter percent (3.25%) of net income from the
36 taxpayer's corporate, proprietorship, partnership, small business corporation
37 or limited liability company revenue-producing enterprise in which the employ-
38 ment occurred. Additionally, the total of this and all other credits allowed
39 under this chapter except for the credits allowed under sections 63-3024A,
40 63-3025D and 63-3029, Idaho Code, taken during any taxable year shall not
41 exceed forty-five percent (45%) of the tax otherwise imposed on the taxpayer
42 for the taxable year for which such credit is allowed.
43 (3) If the sum of the credit carryovers from the credit allowed by sub-
44 section (2) of this section and the amount of credit for the taxable year from
45 the credit allowed by subsection (2) of this section exceed the limitation
46 imposed by subsection (2) of this section for the current taxable year, the
47 excess attributable to the current taxable year's credit shall be a credit
48 carryover to the three (3) succeeding taxable years. The entire amount of
49 unused credit shall be carried forward to the earliest of the succeeding
50 years, wherein the oldest available unused credit shall be used first, so long
51 as the employment level for which the credit was granted is still maintained.
52 SECTION 22. The provisions of Section 5, Sections 10 through 13 and Sec-
23
1 tions 16, 17 and 18 of this act are hereby declared to be nonseverable from
2 other provisions within each section and if any provision of any of those sec-
3 tions or the application of such provision to any person or circumstance is
4 declared invalid for any reason, such declaration shall render the entire sec-
5 tion invalid but not other sections of this act.
6 SECTION 23. An emergency existing therefor, which emergency is hereby
7 declared to exist, Sections 1 through 18 and Section 22 of this act shall be
8 in full force and effect on and after passage and approval and retroactively
9 to January 1, 2001. Sections 19, 20 and 21 of this act shall be in full force
10 and effect on and after January 1, 2004.
STATEMENT OF PURPOSE
RS 10689
This omnibus income tax relief bill makes permanent the temporary
0.1% rate reduction for individuals, rebates 10.6% of 1999 income
tax paid to individuals subject to a $25 minimum and $2,500
maximum, permanently doubles the grocery credit for seniors from
$30 to $60, and permanently reduces the corporate income tax rate
by 0.2%. It provides five new or expanded credits for Idaho
business development including: 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. It changes the child care deduction to a credit equal to
half the federal credit and permanently increases the elderly
dependant care credit from $100 to $500 dollars.
FISCAL NOTE
Provision
Annual
Effect
($ Millions)
Individual rate reduction
$14.6
Individual rebate
91.0
Grocery credit for Seniors
3.6
Corporate rate reduction
3.4
Business credits
Research and development
7.0
New Jobs
1.5
Venture Capital
2.0
Broadband
3.5
County incentive
7.3
Child care credit
1.5
Elderly dependant care
credit
1.2
Total annual tax relief:
$136.6
Contact: Brian Whitlock
Division of Financial Management
334-3900
STATEMENT OF PURPOSE/FISCAL NOTE H 59