Introduced by Representatives Dunne of Hartland, Brooks of Montpelier, Hathaway of Barton, Parizo of Essex, Suchmann of Chester, Sweetser of Essex and Westman of Cambridge
Referred to Committee on
Subject: Taxation; income tax; college tuition tax credit
Statement of purpose: This bill proposes to create a credit against income tax for post-secondary undergraduate tuition at a Vermont university or college.
AN ACT RELATING TO COLLEGE TUITION TAX CREDITS
It is hereby enacted by the General Assembly of the State of Vermont:
Sec. 1. 32 V.S.A. § 5827 is added to read:
§ 5827. CREDIT FOR COLLEGE TUITION
A taxpayer of this state who is not claimed as a dependent by any taxpayer under the federal Internal Revenue Code, and whose adjusted gross income does not exceed $37,500.00, or $75,000.00 if married filing jointly, shall receive a nonrefundable tuition credit against the tax imposed by section 5822 of this title. The credit shall be in the amount of three percent of the tuition paid by the taxpayer in the taxable year for thetaxpayer's post-secondary undergraduate education at a Vermont state college or the University of Vermont.
Sec. 2. EFFECTIVE DATE
This act shall be effective for tax years beginning on or after January 1, 1997.