Senate Amendment 5245 PAG LIN 1 1 Amend Senate File 2295 as follows: 1 2 #1. By striking everything after the enacting 1 3 clause and inserting the following: 1 4 <Section 1. NEW SECTION. 422.12F ADDITIONAL 1 5 TUITION TAX CREDIT. 1 6 1. The tax imposed under this division, less the 1 7 credits allowed under sections 422.12 and 422.12B, 1 8 shall be reduced by an additional tuition tax credit 1 9 equal to fifty percent of the first one thousand 1 10 dollars which the taxpayer has paid to others for each 1 11 dependent in grades kindergarten through twelve, for 1 12 tuition and textbooks of each dependent in attending 1 13 an elementary or secondary school situated in Iowa, 1 14 which school is accredited or approved under section 1 15 256.11, which is not operated for profit, and which 1 16 adheres to the provisions of the federal Civil Rights 1 17 Act of 1964 and chapter 216. As used in this 1 18 subsection, "textbooks" and "tuition" mean the same as 1 19 those terms are defined in section 422.12, subsection 1 20 2. 1 21 The additional tuition tax credit provided in this 1 22 section is only available to taxpayers with net 1 23 incomes of less than forty thousand dollars. The tax 1 24 credit is in addition to the tuition credit provided 1 25 in section 422.12, subsection 2, which credit shall be 1 26 deducted prior to the additional tuition tax credit 1 27 under this section. 1 28 2. Any credit in excess of the tax liability shall 1 29 be refunded. In lieu of claiming a refund, a taxpayer 1 30 may elect to have the overpayment shown on the 1 31 taxpayer's final, completed return credited to the tax 1 32 liability for the following taxable year. 1 33 3. Married taxpayers electing to file separate 1 34 returns or to file separately on a combined return 1 35 form must determine the additional tuition tax credit 1 36 under subsection 1 based upon their combined net 1 37 income and allocate the total credit amount to each 1 38 spouse in the proportion that each spouse's respective 1 39 net income bears to the total combined net income. 1 40 Sec. 2. APPLICABILITY DATE. This Act applies to 1 41 tax years beginning on or after January 1, 2005.> 1 42 #2. Title page, by striking lines 1 and 2 and 1 43 inserting the following: <An Act allowing an 1 44 additional tuition tax credit for amounts paid for 1 45 tuition and textbooks of dependents to attend 1 46 elementary and secondary schools in Iowa and including 1 47 an>. 1 48 1 49 1 50 2 1 MIKE CONNOLLY 2 2 SF 2295.202 80 2 3 mg/sh -1-