Mont. Code § 15-30-3103 : TAXATION — INDIVIDUAL INCOME TAX — TAX CREDIT FOR QUALIFIED EDUCATION CONTRIBUTIONS —30-3103 - [Terminates 12/31/2029] Requirements for student scholarship organizations

(1) A student scholarship organization:
(a) shall obligate at least 90% of its annual revenue from donations eligible for the tax credit under 15-30-3111 for scholarships. For the purpose of this calculation:
(i) the cost of the annual fiscal review provided for in 15-30-3105(1)(b) may be paid out of the total donations before calculation of the 90% minimum obligation amount; and
(ii) all donations subject to the 90% minimum obligation amount that are received in 1 calendar year must be paid out in scholarships within the 3 calendar years following the donation.
(b) may not restrict or reserve scholarships for use at a particular education provider or any particular type of education provider and shall allow an eligible student to enroll with any qualified education provider of the parents' or legal guardian's choice;
(c) shall provide scholarships to eligible students to attend instruction offered by a qualified education provider;
(d) may not provide a scholarship to an eligible student for an academic year that exceeds the per-pupil average of total public school expenditures calculated in 20-9-570;
(e) shall maintain separate accounts for scholarship funds and operating funds;
(f) may transfer funds to another student scholarship organization;
(g) shall maintain an application process under which scholarship applications are accepted, reviewed, approved, and denied; and
(h) shall comply with payment and reporting requirements in accordance with 15-30-3104 and 15-30-3105.
(2) An organization that fails to satisfy the conditions of this section is subject to termination as provided in 15-30-3113. (Terminates December 31, 2029--secs. 20 and 24(6), Ch. 480, L. 2021.)

§ 15-30-3103, MCA

Amended by Laws 2021, Ch. 480,Sec. 3, eff. 10/1/2021, and applicable to the income tax year beginning after December 31, 2021.
Added by Laws 2015, Ch. 457, Sec. 9, eff. 1/1/2016, terminating 12/31/2023, termination extended to 12/31/2029 by Laws 2021, Ch. 480.
See Laws 2015, Ch. 457, Sec. 33.
Contingent termination -- legislative intent -- specific findings -- report to legislative finance committee. Laws 2021, Ch. 480,Sec. 10 provides: "(1) The legislature intends to provide the tax relief provided by [this act] while also preventing the loss of federal funds that are available to the state as part of the recently enacted American Rescue Plan Act, Public Law 117-2. The contingent termination provisions in subsections (2) through (5) are limited to the duration of time established by each subsection and are necessary based on the lack of information available to the legislature from the federal government at the time of enactment of [this act]."
SECTIONS