SB 1003

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                                    SENATE BILL NO. 1003
                      IN THE LEGISLATURE OF THE STATE OF ALASKA
               THIRTY-FOURTH LEGISLATURE - FIRST SPECIAL SESSION
 BY THE SENATE RULES COMMITTEE BY REQUEST OF THE GOVERNOR
 Introduced: 8/2/25
 Referred: Finance
                                            A BILL
                                   FOR AN ACT ENTITLED
1 "An Act relating to tax credits for contributions to public schools and programs
2 operated by tribal entities or tribally empowered Alaska Native organizations through a
3 compact with the state; relating to tax credits for contributions to state-funded literacy
4 programs; relating to the insurance tax education credit, the income tax education
5 credit, the oil or gas producer education credit, the property tax education credit, the
6 mining business education credit, the fisheries business education credit, and the
7 fisheries resource landing tax education credit; and providing for an effective date."
8 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:
9   * Section 1. AS 21.96.070(a) is amended by adding new paragraphs to read:
10(14) contributions of cash or equipment accepted by a public school or
11program that is operated by a tribal entity or a tribally empowered Alaska Native
12organization through a compact with the state;
13(15)   contributions of cash or equipment to a state-funded literacy
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1program administered by the Department of Education and Early Development.
2  * Sec. 2. AS 21.96.070(d) is amended to read:
3(d) A contribution claimed as a credit under this section may not
4(1) be the basis for a credit claimed under another provision of this
5title; and
6(2) when combined with contributions that are the basis for credits
7taken during the taxpayer's  tax    year under AS 43.20.014, AS 43.55.019,
8AS 43.56.018, AS 43.65.018, AS 43.75.018, or AS 43.77.045, result in the total
9amount of credits exceeding $10,000,000 [$3,000,000]; if the taxpayer is a member of
10an affiliated group, then the total amount of credits may not exceed $10,000,000
11[$3,000,000] for the affiliated group; in this paragraph, "affiliated group" has the
12meaning given in AS 43.20.145.
13  * Sec. 3. AS 43.20.014(a) is amended by adding new paragraphs to read:
14(20) contributions of cash or equipment accepted by a public school or
15program that is operated by a tribal entity or a tribally empowered Alaska Native
16organization through a compact with the state;
17(21)   contributions of cash or equipment to a state-funded literacy
18program administered by the Department of Education and Early Development.
19  * Sec. 4. AS 43.20.014(d) is amended to read:
20(d) A contribution claimed as a credit under this section may not
21(1) be the basis for a credit claimed under another provision of this
22title;
23(2) also be allowed as a deduction under 26 U.S.C. (Internal Revenue
24Code) against the tax imposed by this chapter; and
25(3) when combined with contributions that are the basis for credits
26taken during the taxpayer's  tax    year under AS 21.96.070, AS 43.55.019,
27AS 43.56.018, AS 43.65.018, AS 43.75.018, or AS 43.77.045, result in the total
28amount of credits exceeding $10,000,000 [$3,000,000]; if the taxpayer is a member of
29an affiliated group, then the total amount of credits may not exceed $10,000,000
30[$3,000,000] for the affiliated group; in this paragraph, "affiliated group" has the
31meaning given in AS 43.20.145.
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1  * Sec. 5. AS 43.55.019(a) is amended by adding new paragraphs to read:
2(15) contributions of cash or equipment accepted by a public school or
3program that is operated by a tribal entity or a tribally empowered Alaska Native
4organization through a compact with the state;
5(16)   contributions of cash or equipment to a state-funded literacy
6program administered by the Department of Education and Early Development.
7  * Sec. 6. AS 43.55.019(d) is amended to read:
8(d) A contribution claimed as a credit under this section may not
9(1) be the basis for a credit claimed under another provision of this
10title; and
11(2) when combined with contributions that are the basis for credits
12taken during the taxpayer's        tax     year under AS 21.96.070, AS 43.20.014,
13AS 43.56.018, AS 43.65.018, AS 43.75.018, or AS 43.77.045, result in the total
14amount of credits exceeding $10,000,000 [$3,000,000]; if the taxpayer is a member of
15an affiliated group, then the total amount of credits may not exceed $10,000,000
16[$3,000,000] for the affiliated group; in this paragraph, "affiliated group" has the
17meaning given in AS 43.20.145.
18  * Sec. 7. AS 43.56.018(a) is amended by adding new paragraphs to read:
19(15) contributions of cash or equipment accepted by a public school or
20program that is operated by a tribal entity or a tribally empowered Alaska Native
21organization through a compact with the state;
22(16)   contributions of cash or equipment to a state-funded literacy
23program administered by the Department of Education and Early Development.
24  * Sec. 8. AS 43.56.018(d) is amended to read:
25(d) A contribution claimed as a credit under this section may not
26(1) be the basis for a credit claimed under another provision of this
27title; and
28(2) when combined with contributions that are the basis for credits
29taken during the taxpayer's        tax     year under AS 21.96.070, AS 43.20.014,
30AS 43.55.019, AS 43.65.018, AS 43.75.018, or AS 43.77.045, result in the total
31amount of credits exceeding $10,000,000 [$3,000,000]; if the taxpayer is a member of
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1an affiliated group, then the total amount of credits may not exceed $10,000,000
2[$3,000,000] for the affiliated group; in this paragraph, "affiliated group" has the
3meaning given in AS 43.20.145.
4  * Sec. 9. AS 43.65.018(a) is amended by adding new paragraphs to read:
5(20) contributions of cash or equipment accepted by a public school or
6program that is operated by a tribal entity or a tribally empowered Alaska Native
7organization through a compact with the state;
8(21)   contributions of cash or equipment to a state-funded literacy
9program administered by the Department of Education and Early Development.
10  * Sec. 10. AS 43.65.018(d) is amended to read:
11(d) A contribution claimed as a credit under this section may not
12(1) be the basis for a credit claimed under another provision of this
13title; and
14(2) when combined with contributions that are the basis for credits
15taken during the taxpayer's        tax    year under AS 21.96.070, AS 43.20.014,
16AS 43.55.019, AS 43.56.018, AS 43.75.018, or AS 43.77.045, result in the total
17amount of the credits exceeding $10,000,000 [$3,000,000]; if the taxpayer is a
18member of an affiliated group, then the total amount of credits may not exceed
19$10,000,000 [$3,000,000] for the affiliated group; in this paragraph, "affiliated group"
20has the meaning given in AS 43.20.145.
21  * Sec. 11. AS 43.75.018(a) is amended by adding new paragraphs to read:
22(20) contributions of cash or equipment accepted by a public school or
23program that is operated by a tribal entity or a tribally empowered Alaska Native
24organization through a compact with the state;
25(21)   contributions of cash or equipment to a state-funded literacy
26program administered by the Department of Education and Early Development.
27  * Sec. 12. AS 43.75.018(d) is amended to read:
28(d) A contribution claimed as a credit under this section may not
29(1) be the basis for a credit claimed under another provision of this
30title; and
31(2) when combined with contributions that are the basis for credits
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1taken during the taxpayer's        tax    year under AS 21.96.070, AS 43.20.014,
2AS 43.55.019, AS 43.56.018, AS 43.65.018, or AS 43.77.045, result in the total
3amount of the credits exceeding $10,000,000 [$3,000,000]; if the taxpayer is a
4member of an affiliated group, then the total amount of credits may not exceed
5$10,000,000 [$3,000,000] for the affiliated group; in this paragraph, "affiliated group"
6has the meaning given in AS 43.20.145.
7  * Sec. 13. AS 43.77.045(a) is amended by adding new paragraphs to read:
8(20) contributions of cash or equipment accepted by a public school or
9program that is operated by a tribal entity or a tribally empowered Alaska Native
10organization through a compact with the state;
11(21)   contributions of cash or equipment to a state-funded literacy
12program administered by the Department of Education and Early Development.
13  * Sec. 14. AS 43.77.045(d) is amended to read:
14(d) A contribution claimed as a credit under this section may not
15(1) be the basis for a credit claimed under another provision of this
16title; and
17(2) when combined with contributions that are the basis for credits
18taken during the taxpayer's        tax    year under AS 21.96.070, AS 43.20.014,
19AS 43.55.019, AS 43.56.018, AS 43.65.018, or AS 43.75.018, result in the total
20amount of the credits exceeding $10,000,000 [$3,000,000]; if the taxpayer is a
21member of an affiliated group, then the total amount of credits may not exceed
22$10,000,000 [$3,000,000] for the affiliated group; in this paragraph, "affiliated group"
23has the meaning given in AS 43.20.145.
24  * Sec. 15. This Act takes effect January 1, 2026.
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