Wednesday, April 05, 2006
Senate Bill 1499 will create a corporate tax credit for businesses that donate to non-profit organizations that distribute private-school scholarships. The total credits are capped at $5 million annually and will allow scholarship organizations to provide vouchers to Arizona children whose family income does not exceed 185% of the income limit to qualify for a free and reduced price lunch. The program, which provides vouchers worth up to $4,200 for K-8 and $5,500 for high school, includes a five year sunset provision.
This is on top of personal tax credits that exist in the Arizona tax code. It's not clear to me how the cap would work, but it's a nice way to leverage private business to help identify students in need of scholarships that provide real school choice.
(h/t: John LaPlante)