Findings

Congress finds the following:(1)The life-affirming impact of pregnancy centers on the women, men, children, and communities they serve is considerable and growing.(2)Pregnancy centers serve women, children, and families across the United States with integrity and compassion, including by providing pregnant women in need with free, confidential, and compassionate services, empowering them to choose childbirth instead of abortion.(3)In 2022, 2,750 pregnancy centers across the United States met with clients more than 16,000,000 times and provided over $358,000,000 in free goods and services, including—(A)confidential counseling for pregnant women and families;(B)emotional and material support for pregnant women and families;(C)providing prenatal vitamins, maternity clothing, baby clothes, diapers, cribs, car seats, and assistance with housing, utilities, transportation, food, clothing, and other support and supplies relating to pregnancy, newborn care, and parenting;(D)nutritional counseling for pregnant women;(E)prenatal development and parenting education for both mothers and fathers;(F)education in sexual risk avoidance;(G)adoption assistance;(H)services related to the establishment and promotion of responsible paternity;(I)testing for sexually transmitted diseases; (J)pregnancy testing;(K)prenatal medical care; (L)ultrasound services; (M)improving, and reducing disparities in, maternal and infant health outcomes; (N)medical, legal, adoption, and housing referrals; and(O)domestic abuse protection.(4)Pregnancy centers rely on the donations and time of individuals who are committed to caring for the needs of women, children, and their families and promoting and protecting life. At least 72 percent of pregnancy center workers are volunteers. Center volunteers include more than 5,000 medical professionals. (5)Congress has an interest in supporting pregnancy centers by reducing the tax burden on individuals and entities who support their life-saving work.

Tax credit for contributions to qualifying pregnancy centers

(a)

In general

Subpart B of part IV of subchapter A of chapter 1 of the Internal Revenue Code of 1986 is amended by inserting after section 30D the following new section:

30E.

Contributions to qualifying pregnancy centers

(a)

In general

There shall be allowed as a credit against the tax imposed by this chapter for the taxable year an amount equal to 50 percent of the qualified contributions made by the taxpayer during the taxable year.(b)

Limitation

The amount of qualified contributions taken into account under this section for any taxable year shall not exceed $10,000 ($20,000 in the case of a joint return).(c)

Qualified contribution

(1)

In general

The term qualified contribution means any contribution which—(A)is made to an organization—(i)which is described in section 501(c)(3) and exempt from tax under section 501(a), and(ii)the primary purpose or function of which is the operation of one or more qualifying pregnancy centers, and(B)will be used for the benefit of one or more of such qualifying pregnancy centers.(2)

Qualifying pregnancy center

(A)

In general

The term qualifying pregnancy center means a facility—(i)which is located in the United States or in any territory or possession of the United States,(ii)at which child births are not performed,(iii)at which direct client services are provided,(iv)which is established and operated primarily—(I)to provide assistance to women and families with unplanned pregnancies or in difficult pregnancy circumstances through services and resources at no cost to clients, and(II)to encourage and assist such women and families in carrying their unborn children to term instead of choosing abortion, and(v)which notifies the Secretary, in such manner as the Secretary may by regulations prescribe, that it is applying for recognition as a qualifying pregnancy center under this section.(B)

Exception

Such term shall not include any facility which performs, induces, refers for, or counsels in favor of abortions or which holds itself out as performing, inducing, referring for, or counseling in favor of abortions.(d)

Application With Other Credits

(1)

Business credit treated as part of general business credit

So much of the amount of any credit allowed under subsection (a) for any taxable year (determined without regard to this subsection) and which is attributable to qualified contributions made in connection with a trade or business of the taxpayer shall be treated as a credit listed in section 38(b) for such taxable year (and not allowed under subsection (a)).(2)

Personal credit

(A)

In general

For purposes of this title, the credit allowed under subsection (a) for any taxable year (determined after application of paragraph (1)) shall be treated as a credit allowable under subpart A for such taxable year.(B)

Carryforward

(i)

In general

If the credit allowable under subsection (a) for any taxable year which is treated as a credit allowable under subpart A by reason of subparagraph (A) exceeds the limitation imposed by section 26(a) for such taxable year reduced by the sum of the credits allowable under subpart A (other than this section and sections 23, 25 and 25D), such excess shall be carried to the succeeding taxable year and added to the credit allowable under subsection (a) for such taxable year (and treated as attributable to a qualified contribution which is not made in connection with a trade or business).(ii)

Limitation

No credit may be carried forward under this subparagraph to any taxable year following the fifth taxable year after the taxable year in which the credit arose. For purposes of the preceding sentence, credits shall be treated as used on a first-in first-out basis. (e)

Election

(1)

In general

This section shall apply to a taxpayer for a taxable year only if such taxpayer elects to have this section apply for such taxable year.(2)

No double benefit

In the case of any taxpayer who has made an election under paragraph (1), any qualified contribution shall not be taken into account in determining the amount of any other credit or deduction under this chapter.

(b)

Conforming amendments

Section 38(b) of such Code is amended by striking plus at the end of paragraph (40), by striking the period at the end of paragraph (41) and inserting , plus, and by adding at the end the following new paragraph:

(42)the portion of the qualifying pregnancy center credit to which section 30E(d)(1) applies.

(c)

Clerical amendment

The table of sections for subpart B of part IV of subchapter A of chapter 1 of the Internal Revenue Code of 1986 is amended by inserting after the item relating to section 30D the following new item:

Sec. 30E. Contributions to qualifying pregnancy centers.

(d)

Effective date

The amendments made by this section shall apply to contributions made in taxable years beginning after the date of the enactment of this Act.