GENERAL ASSEMBLY OF NORTH CAROLINA

SESSION 1999

H	1 

HOUSE BILL 1824

Short Title:  Teacher Tax Credit.	(Public)

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Sponsors: Representatives Arnold; Hurley, Rayfield, Sexton, and Morris.

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Referred to:  Finance.

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May 30, 2000

A BILL TO BE ENTITLED
AN ACT TO PROVIDE AN INCOME TAX CREDIT TO TEACHERS AT LOW-PERFORMING SCHOOLS IN NORTH CAROLINA.
The General Assembly of North Carolina enacts:
Section 1.  Part 2 of Article 4 of Chapter 105 of the General Statutes is amended by adding a new section to read:
"§ 105-151.29.  Credit for teachers at low-performing public schools.
(a)	Definitions. – The following definitions apply in this section:
(1)	Classroom teacher. – A full-time permanent employee of a public school in this State, including public schools operated by the federal government, who spends at least fifty percent (50%) of the school day providing classroom instruction.
(2)	Low-performing public school. – A school identified as a low-performing school pursuant to G.S. 115C-105.37 for the school year ending in the previous taxable year or a public school located in this State that is operated by a branch of the federal government and in which a majority of the students are performing below grade level for the school year ending in the previous taxable year.
(b)	Credit. – A taxpayer who is a classroom teacher in a low-performing public school is allowed a credit against the tax imposed by this Part.  The amount of the credit allowed is four hundred dollars ($400.00) for each semester during the taxable year.
For the purpose of this section, there are two semesters during each taxable year.  To qualify for a credit for the first semester, a taxpayer must be employed as a classroom teacher in a low-performing public school for at least three of the first six months of the taxable year.  To qualify for a credit for the second semester, a taxpayer must be employed as a classroom teacher in a low-performing public school for at least three of the last six months of the taxable year.
In the case of a married couple filing a joint return, each spouse may qualify separately for the credit allowed under this section."
Section 2.  G.S. 105-160.3(b) is amended by adding a new subdivision to read:
"(8)	G.S. 105-151.29.  Credit for teachers at low-performing schools."
Section 3.  This act is effective for taxable years beginning on or after January 1, 2001.