State Board seeks to extend tax break

(UPDATED, 5:12 p.m., with corrected language on the level of tax credits.) 

Idahoans can pocket a 50 percent tax credit for contributions to school foundations, museums and libraries — but the tax credit is due to expire at the end of the year.

The State Board of Education is pushing a bill that would make the tax credit permanent, and keep the current credits on the books.

If House Bill 45 passes, individuals and corporations would still qualify for the 50 percent tax credit. Individuals would receive a tax credit of up to $500. Couples filing a joint return would qualify for a $1,000 credit. Corporations would be able to write off 10 percent of their tax bill, or a maximum of $5,000 — whichever is less.

The tax break has totaled some $2.8 million since 2011-12. However, the State Board says the magnitude of the tax break is expected to grow over time, as the economy improves.

The House Revenue and Taxation Committee voted to introduce the bill Tuesday. It would have go back to the committee for a full hearing.