Technology Education Incentive Act of 2005 - Amends the Internal Revenue Code to allow employers a business tax credit for 20% of the wages paid to employees who volunteer services at certain K-12 schools related to science, mathematics, or engineering education. Imposes a maximum credit amount of $1,000 per employee.
Directs the Secretaries of Education and the Treasury to conduct a joint study on the effects of such tax credit.
[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4532 Introduced in House (IH)]
109th CONGRESS
1st Session
H. R. 4532
To amend the Internal Revenue Code of 1986 to allow employers a credit
against income tax to encourage them to have their employees provide
volunteer services that aid science, mathematics, and engineering
education in grades K-12.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
December 14, 2005
Mr. Cramer introduced the following bill; which was referred to the
Committee on Ways and Means
_______________________________________________________________________
A BILL
To amend the Internal Revenue Code of 1986 to allow employers a credit
against income tax to encourage them to have their employees provide
volunteer services that aid science, mathematics, and engineering
education in grades K-12.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Technology Education Incentive Act
of 2005''.
SEC. 2. EMPLOYER CREDIT FOR EMPLOYEE VOLUNTEER SERVICES IN GRADES K-12.
(a) In General.--Subpart D of part IV of subchapter A of chapter 1
of the Internal Revenue Code of 1986 (relating to business related
credits) is amended by inserting after section 45I the following new
section:
``SEC. 45J. EMPLOYER CREDIT FOR EMPLOYEE VOLUNTEER SERVICES IN GRADES
K-12.
``(a) In General.--For purposes of section 38, the volunteer
education services credit determined under this section for the taxable
year is an amount equal to 20 percent of the wages paid or incurred by
the taxpayer during the taxable year for qualified employee services.
``(b) Maximum Credit Per Employee.--The credit determined under
this section with respect to services performed by an employee during
the taxable year shall not exceed $1,000.
``(c) Definitions.--For purposes of this section--
``(1) Qualified employee services.--The term `qualified
employee services' means any service furnished by an employee
of the taxpayer if--
``(A) the services are performed at a qualified K-
12 school,
``(B) the services are related to science,
mathematics, or engineering education at any of the
grades K-12 at a qualified K-12 school,
``(C) the employee receives no additional
compensation for performing such services and the
employer receives no compensation for such services,
and
``(D) the services are determined by the qualified
K-12 school to be valuable to the school in providing
education in any of the grades K-12 in the areas of
science, mathematics, or engineering.
``(2) Qualified k-12 school.--The term `qualified K-12
school' means any school located in the United States which
provides education in any of the grades K-12 and which meets
the requirements of State law for providing such education.
``(3) Wages.--The term `wages' has the meaning given to
such term by section 51(c).
``(d) Controlled Groups.--Rules similar to the rules of section
1397(b) shall apply for purposes of this section.''.
(b) Denial of Double Benefit.--Subsection (a) of section 280C of
such Code is amended by inserting ``45J(a),'' after ``45A(a),''.
(c) Credit Made Part of General Business Credit.--
(1) In general.--Subsection (b) of section 38 of such Code
(relating to current year business credit) is amended by
striking ``plus'' at the end of paragraph (18), by striking the
period at the end of paragraph (19) and inserting ``, plus'',
and by adding at the end thereof the following new paragraph:
``(20) volunteer education services credit determined under
section 45J(a).''.
(2) Deduction for certain unused business credits.--
Subsection (c) of section 196 of such Code is amended by
striking ``and'' at the end of paragraph (9), by striking the
period at the end of paragraph (11) and inserting ``, and'',
and by adding after paragraph (12) the following new paragraph:
``(13) the volunteer education services credit determined
under section 45J(a).''.
(d) Clerical Amendment.--The table of sections for subpart D of
part IV of subchapter A of chapter 1 of such Code is amended by
inserting after the item relating to section 45I the following new
item:
``Sec. 45J. Employer credit for employee volunteer services in grades
K-12.''.
(e) Effective Date.--The amendments made by this section shall
apply to taxable years beginning after the date of the enactment of
this Act.
(f) Study.--The Secretary of Education and the Secretary of the
Treasury shall jointly conduct a study of the effect of the credit
under section 45J of the Internal Revenue Code of 1986, as added by
this Act, on the providing of volunteer services to which such credit
applies. The results of such study, together with any recommendations
for improving the effectiveness of such credit, shall be submitted to
the Congress not later than the date which is 2 years after the date of
the enactment of this Act.
<all>
Introduced in House
Introduced in House
Referred to the House Committee on Ways and Means.
Llama 3.2 · runs locally in your browser
Ask anything about this bill. The AI reads the full text to answer.
Enter to send · Shift+Enter for new line