[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3590 Introduced in House (IH)]







108th CONGRESS
  1st Session
                                H. R. 3590

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

                           November 21, 2003

  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 2003''.

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 45F the following new 
section:

``SEC. 45G. 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 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 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 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 ``45G(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 (14), by striking the 
        period at the end of paragraph (15) and inserting ``, plus'', 
        and by adding at the end thereof the following new paragraph:
            ``(16) volunteer education services credit determined under 
        section 45G(a).''.
            (2) Limitation on carryback.--Subsection (d) of section 39 
        of such Code is amended by adding at the end the following new 
        paragraph:
            ``(11) No carryback of volunteer education services credit 
        before effective date.--No portion of the unused business 
        credit for any taxable year which is attributable to the credit 
        determined under section 45G may be carried back to any taxable 
        year ending before the date of the enactment of this 
        paragraph.''.
            (3) 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 (10) and inserting ``, and'', 
        and by adding after paragraph (10) the following new paragraph:
            ``(11) the volunteer education services credit determined 
        under section 45G(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 45F the following new 
item:

                              ``Sec. 45G. 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 45G 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.
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