KY HB1

Kentucky elects to participate in the federal qualified elementary and secondary education scholarship tax credit program under 26 U.S.C. sec. 25F, which provides federal tax credits to individuals who contribute to scholarship granting organizations

Secretary of State designated as the sole official authorized to report the state's election to participate, submit lists of scholarship granting organizations to the U.S. Treasury by January 1 of each year, and publish related federal guidance on the agency website

Secretary of State may collect fees from scholarship granting organizations and accept private contributions to fund administration costs, with all funds deposited in a restricted account used solely for program administration

Amends Kentucky tax code (KRS 141.019) to disallow state income tax deductions for qualified contributions made to scholarship granting organizations under the federal program, preventing taxpayers from claiming both federal credits and state deductions for the same contribution

Kentucky waives Eleventh Amendment immunity under this section, allowing potential federal court jurisdiction over disputes related to the program