SB 1312 Summary

• Expands tax credit eligibility for contributions to school tuition organizations (STOs) to include wholesalers, domestic wineries, microbreweries, and mineral severers in addition to existing income tax and insurance premium taxpayers.

• Increases individual income tax credit limit from $500 to $750 and married couple limit from $1,000 to $1,500 for STO contributions.

• Removes the preapproval requirement and annual cap structure for STO tax credits under sections 43-1183 and 43-1184, allowing credits based on total contributions without department of revenue preapproval limits.

• Modifies school tuition organization operational requirements to allow handling of contributions for low-income scholarships, displaced students, and students with disabilities under existing STO framework.

• Clarifies that when scholarship amounts exceed base tuition costs, excess funds must be returned to the STO for multiyear awards or other student scholarships.