House Bill 177

     "[NEW MATERIAL] CREDIT--HOME SCHOOL CURRICULUM MATERIALS INCOME TAX CREDIT.--

          A. A taxpayer who is a resident, who is not a dependent of another individual and who is a parent of a school-age person who attends a home school that meets the requirements of a home school pursuant to the Public School Code may claim a credit against the taxpayer's tax liability imposed pursuant to the Income Tax Act. The credit authorized pursuant to this section may be referred to as the "home school curriculum materials income tax credit".

          B. The amount of the tax credit shall be in an amount equal to the amount the taxpayer spent on curriculum materials in the taxable year in which the tax credit is claimed, not to exceed two thousand five hundred dollars ($2,500) per school-age person in home school.

          C. A taxpayer shall apply for certification of eligibility for the tax credit from the public education department on forms and in the manner prescribed by that department. Except as provided in Subsection E of this section, only one tax credit shall be certified per taxpayer per taxable year. If the public education department determines that the taxpayer meets the requirements of this section, that department shall issue a dated certificate of eligibility to the taxpayer providing the amount of tax credit for which the taxpayer is eligible and the taxable years in which the credit may be claimed. The public education department shall provide the department with the certificates of eligibility issued pursuant to this subsection in an electronic format at regularly agreed upon intervals.

          D. That portion of the tax credit that exceeds a taxpayer's income tax liability in the taxable year in which the credit is claimed shall be refunded to the taxpayer.

          E. Married individuals filing separate returns for a taxable year for which they could have filed a joint return may each claim only one-half of the tax credit that would have been claimed on a joint return.

          F. A taxpayer allowed to claim a tax credit pursuant to this section shall claim the tax credit in a manner required by the department. The credit shall be claimed within three taxable years of the end of the year in which the public education department certifies the credit.

          G. The credit provided by this section shall be included in the tax expenditure budget pursuant to Section 7-1-84 NMSA 1978, including the total annual aggregate cost of the credit.

          H. As used in this section:

                (1) "curriculum materials" means resources used to guide instruction to a school-age person in a home school classroom, including textbooks, workbooks, manipulatives and other necessary course materials;

                (2) "parent" means a guardian or other person having custody and control of a school-age person; and

                (3) "school-age person" means a person who is at least five years of age prior to 12:01 a.m. on September 1 of the school year, who has not received a high school diploma or its equivalent and who has not reached the person's twenty- second birthday on the first day of the school year and meets other criteria provided in the Public School Finance Act."