< Back to H.R. 2906 (103rd Congress, 1993–1994)

Text of the Adopt-A-School Act of 1993

This bill was introduced on August 5, 1993, in a previous session of Congress, but was not enacted. The text of the bill below is as of Aug 5, 1993 (Introduced).

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HR 2906 IH

103d CONGRESS

1st Session

H. R. 2906

To amend the Internal Revenue Code of 1986 to allow a credit for charitable contributions made by businesses to public elementary and secondary schools located in poverty areas.

IN THE HOUSE OF REPRESENTATIVES

August 5, 1993

Mr. TUCKER (for himself, Mr. DIXON, Mr. MARTINEZ, Mr. MFUME, Mr. REYNOLDS, Mr. MINETA, Mr. HORN, Mr. EDWARDS of California, Mr. SERRANO, Mr. TORRES, Mr. DELLUMS, Mr. STOKES, Mr. LEWIS of Georgia, Miss COLLINS of Michigan, and Mr. FAZIO) 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 a credit for charitable contributions made by businesses to public elementary and secondary schools located in poverty areas.

    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 ‘Adopt-A-School Act of 1993’.

SEC. 2. CREDIT FOR CERTAIN BUSINESS CONTRIBUTIONS TO PUBLIC ELEMENTARY AND SECONDARY SCHOOLS LOCATED IN POVERTY AREAS.

    (a) IN GENERAL- Subpart B of part IV of subchapter A of chapter 1 of the Internal Revenue Code of 1986 is amended by adding at the end thereof the following new section:

‘SEC. 30A. CERTAIN BUSINESS CONTRIBUTIONS TO PUBLIC ELEMENTARY AND SECONDARY SCHOOLS LOCATED IN POVERTY AREAS.

    ‘(a) IN GENERAL- In the case of a taxpayer engaged in a trade or business, there shall be allowed as a credit against the tax imposed by this chapter for the taxable year an amount equal to 70 percent of the qualified public school contributions made during such taxable year.

    ‘(b) Qualified Public School Contribution-

      ‘(1) IN GENERAL- The term ‘qualified public school contribution’ means--

        ‘(A) any contribution to a qualified public school for its exclusive use if--

          ‘(i) such contribution is--

            ‘(I) cash to be used by such school for qualified tangible personal property or for additions or improvements to such school, or

            ‘(II) qualified tangible personal property, and

          ‘(ii) the taxpayer receives from the donee a written statement representing that such school is a qualified public school and that the contribution will be used in accordance with this subparagraph, and

        ‘(B) any amount paid or incurred by the taxpayer for training services provided to students attending a qualified public school as part of an educational program approved by such school.

      In the case of a contribution of property, the amount taken into account under subsection (a) shall be the amount which would (but for subsection (c)) be allowed as a deduction under section 170 for such contribution.

      ‘(2) QUALIFIED PUBLIC SCHOOL- The term ‘qualified public school’ means any school for the education of students at or below the 12 grade level if--

        ‘(A) such school is owned and operated by a local government,

        ‘(B) such school is located in a population census tract having a poverty rate of at least 15 percent (as determined using the most recent decennial census data available), and

        ‘(C) the funding provided for such school from government sources is not reduced by reason of any contribution to which this section applies.

      ‘(3) QUALIFIED TANGIBLE PERSONAL PROPERTY- The term ‘qualified tangible personal property’ means tangible personal property to be used by students attending the qualified public school or by teachers at such school as part of the educational program of such school.

      ‘(4) AREAS NOT WITHIN CENSUS TRACTS- In the case of an area which is not tracted for population census tracts, the equivalent county divisions (as defined by the Bureau of the Census for purposes of defining poverty areas) shall be used for purposes of paragraph (2)(B).

    ‘(c) DENIAL OF DEDUCTION- No deduction shall be allowed under provision of this chapter for any amount which is taken into account in determining the credit under this section.

    ‘(d) APPLICATION WITH OTHER CREDITS- The credit allowed by subsection (a) for any taxable year shall not exceed the excess (if any) of--

      ‘(1) the regular tax for the taxable year reduced by the sum of the credits allowable under subpart A and the preceding sections of this subpart, and

      ‘(2) the tentative minimum tax for the taxable year.’.

    (b) CLERICAL AMENDMENT- The table of sections for subpart B of part IV of subchapter A of chapter 1 of such Code is amended by adding at the end thereof the following new item:

‘Sec. 30A. Certain business contributions to public elementary and secondary schools located in poverty areas.’.

    (c) EFFECTIVE DATE- The amendments made by this section shall apply to contributions made after the date of the enactment of this Act in taxable years ending after such date.