Senate Bill 1076 Summary

• Establishes a nonrefundable income tax credit for individual taxpayers paying tuition at accredited private schools in Idaho for qualified dependent children in kindergarten through grade 12, effective for taxable years beginning January 1, 2023.

• Defines "qualified dependent child" as a dependent claimed on the taxpayer's Idaho income tax return who is the taxpayer's child, stepchild, guardianship ward, or descendant and resides in Idaho at least 180 days during the taxable year.

• Credit equals actual tuition paid up to a combined maximum of $2,000 per taxable year for all qualified dependent children; taxpayers whose children reside in Idaho 180-269 days receive a prorated partial credit based on residency duration.

• Credit cannot be claimed retroactively in subsequent tax years if not claimed for the taxable year in which the expense was incurred.

• Act becomes effective upon passage and approval with retroactive application to January 1, 2023.