[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[H.R. 37 Introduced in House (IH)]







110th CONGRESS
  1st Session
                                 H. R. 37

 To amend the Internal Revenue Code of 1986 to encourage businesses to 
improve math and science education at elementary and secondary schools.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            January 4, 2007

  Mr. Ehlers 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 encourage businesses to 
improve math and science education at elementary and secondary schools.

    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 ``National Science Education Tax 
Incentive for Businesses Act of 2007''.

SEC. 2. CREDITS FOR CERTAIN CONTRIBUTIONS BENEFITING SCIENCE, 
              TECHNOLOGY, ENGINEERING, AND MATHEMATICS EDUCATION AT THE 
              ELEMENTARY AND SECONDARY SCHOOL LEVEL.

    (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 adding at the end the following new section:

``SEC. 45O. CONTRIBUTIONS BENEFITING SCIENCE, TECHNOLOGY, ENGINEERING, 
              AND MATHEMATICS EDUCATION AT THE ELEMENTARY AND SECONDARY 
              SCHOOL LEVEL.

    ``(a) In General.--For purposes of section 38, the elementary and 
secondary science, technology, engineering, and mathematics (STEM) 
contributions credit determined under this section for the taxable year 
is an amount equal to 100 percent of the qualified STEM contributions 
of the taxpayer for such taxable year.
    ``(b) Qualified STEM Contributions.--For purposes of this section, 
the term `qualified STEM contributions' means--
            ``(1) STEM school contributions,
            ``(2) STEM teacher externship expenses, and
            ``(3) STEM teacher training expenses.
    ``(c) STEM School Contributions.--For purposes of this section--
            ``(1) In general.--The term `STEM school contributions' 
        means--
                    ``(A) STEM property contributions, and
                    ``(B) STEM service contributions.
            ``(2) STEM property contributions.--The term `STEM property 
        contributions' means the amount which would (but for subsection 
        (f)) be allowed as a deduction under section 170 for a 
        charitable contribution of STEM inventory property if--
                    ``(A) the donee is an elementary or secondary 
                school described in section 170(b)(1)(A)(ii),
                    ``(B) substantially all of the use of the property 
                by the donee is within the United States or within the 
                defense dependents' education system for educational 
                purposes in any of the grades K-12 that are related to 
                the purpose or function of the donee,
                    ``(C) the original use of the property begins with 
                the donee,
                    ``(D) the property will fit productively into the 
                donee's education plan,
                    ``(E) the property is not transferred by the donee 
                in exchange for money, other property, or services, 
                except for shipping, installation and transfer costs, 
                and
                    ``(F) the donee's use and disposition of the 
                property will be in accordance with the provisions of 
                subparagraphs (B) and (E).
        The determination of the amount of deduction under section 170 
        for purposes of this paragraph shall be made as if the 
        limitation under section 170(e)(3)(B) applied to all STEM 
        inventory property.
            ``(3) STEM service contributions.--The term `STEM service 
        contributions' means the amount paid or incurred during the 
        taxable year for STEM services provided in the United States or 
        in the defense dependents' education system for the exclusive 
        benefit of students at an elementary or secondary school 
        described in section 170(b)(1)(A)(ii) but only if--
                    ``(A) the taxpayer is engaged in the trade or 
                business of providing such services on a commercial 
                basis, and
                    ``(B) no charge is imposed for providing such 
                services.
            ``(4) STEM inventory property.--The term `STEM inventory 
        property' means, with respect to any contribution to a school, 
        any property--
                    ``(A) which is described in paragraph (1) or (2) of 
                section 1221(a) with respect to the donor, and
                    ``(B) which is determined by the school to be 
                needed by the school in providing education in grades 
                K-12 in the areas of science, technology, engineering, 
                or mathematics.
            ``(5) STEM services.--The term `STEM services' means, with 
        respect to any contribution to a school, any service determined 
        by the school to be needed by the school in providing education 
        in grades K-12 in the areas of science, technology, 
        engineering, or mathematics, including teaching courses of 
        instruction at such school in any such area.
            ``(6) Defense dependents' education system.--For purposes 
        of this subsection, the term `defense dependents' education 
        system' means the program established and operated under the 
        Defense Dependents' Education Act of 1978 (20 U.S.C. 921 et 
        seq.).
    ``(d) STEM Teacher Externship Expenses.--For purposes of this 
section--
            ``(1) In general.--The term `STEM teacher externship 
        expenses' means any amount paid or incurred to carry out a STEM 
        externship program of the taxpayer but only to the extent that 
        such amount is attributable to the participation in such 
        program of any eligible STEM teacher, including amounts paid to 
        such a teacher as a stipend while participating in such 
        program.
            ``(2) STEM externship program.--The term `STEM externship 
        program' means any program--
                    ``(A) established by a taxpayer engaged in a trade 
                or business within an area of science, technology, 
                engineering, or mathematics, and
                    ``(B) under which eligible STEM teachers receive 
                training to enhance their teaching skills in the areas 
                of science, technology, engineering, or mathematics or 
                otherwise improve their knowledge in such areas.
            ``(3) Eligible stem teacher.--The term `eligible STEM 
        teacher' means any individual--
                    ``(A) who is a teacher in grades K-12 at an 
                educational organization described in section 
                170(b)(1)(A)(ii) which is located in the United States 
                or which is located on a United States military base 
                outside the United States, and
                    ``(B) whose teaching responsibilities at such 
                school include, or are likely to include, any course in 
                the areas of science, technology, engineering, or 
                mathematics.
    ``(e) STEM Teacher Training Expenses.--The term `STEM teacher 
training expenses' means any amount paid or incurred by a taxpayer 
engaged in a trade or business within an area of science, technology, 
engineering, or mathematics which is attributable to the participation 
of any eligible STEM teacher in a regular training program provided to 
employees of the taxpayer which is determined by such teacher's school 
as enhancing such teacher's teaching skills in the areas of science, 
technology, engineering, or mathematics.
    ``(f) Denial of Double Benefit.--No deduction shall be allowed 
under this chapter for any amount allowed as a credit under this 
section.''.
    (b) Conforming Amendments.--
            (1) Section 38(b) of such Code is amended by striking 
        ``plus'' at the end of paragraph (30), by striking the period 
        at the end of paragraph (31), and inserting ``, plus'', and by 
        adding at the end the following new paragraph:
            ``(32) the elementary and secondary science, technology, 
        engineering, and mathematics (STEM) contributions credit 
        determined under section 45O.''.
            (2) The table of sections for subpart D of part IV of 
        subchapter A of chapter 1 of such Code is amended by adding at 
        the end the following new item:

``Sec. 45O. Contributions benefiting science, technology, engineering, 
                            and mathematics education at the elementary 
                            and secondary school level.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after the date of the enactment of 
this Act.
                                 <all>