S. 1954 — Introduced in Senate

II 114th CONGRESS 1st Session S. 1954 IN THE SENATE OF THE UNITED STATES August 5, 2015Mr. Wyden introduced the following bill; which was read twice and referred to the Committee on Finance A BILL To amend the Internal Revenue Code of 1986 to provide a tax incentive to individuals teaching in public elementary and secondary schools located in rural or high unemployment areas and to individuals who achieve certification from the National Board for Professional Teaching Standards, and for other purposes. 1. Short title This Act may be cited as the Incentives to Educate American Children Act of 2015 or the I Teach Act of 2015. 2. Refundable tax credit for individuals teaching in public elementary and secondary schools located in high poverty or rural areas and certified teachers (a) In general Subpart C of part IV of subchapter A of chapter 1 of the Internal Revenue Code of 1986 is amended by inserting after section 36B the following new section: 36C. Tax credit for individuals teaching in elementary and secondary schools located in high poverty or rural areas and certified teachers (a) Allowance of credit In the case of an eligible teacher, there shall be allowed as a credit against the tax imposed by this subtitle for the taxable year an amount equal to the applicable amount for the eligible academic year ending during such taxable year. (b) Applicable amount For purposes of this section— (1) Teachers in schools in rural areas or schools with high poverty (A) In general In the case of an eligible teacher who performs services in a public kindergarten, elementary school, or secondary school described in subparagraph (B) during the eligible academic year, the applicable amount is $1,000. (B) School described A public kindergarten, elementary school, or secondary school is described in this subparagraph if— (i) at least 75 percent of the students attending such kindergarten or school receive free or reduced-cost lunches under the school lunch program established under the Richard B. Russell National School Lunch Act, or (ii) such kindergarten or school has a school locale code of 41, 42, or 43, as determined by the Secretary of Education. (2) Certified teachers In the case of an eligible teacher who is certified by the National Board for Professional Teaching Standards for the eligible academic year, the applicable amount is $1,000. (3) Certified teachers in schools in rural areas or schools with high poverty In the case of an eligible teacher described in both paragraphs (1) and (2), the applicable amount is $2,000. (c) Eligible teacher For purposes of this section, the term eligible teacher means, for any eligible academic year, an individual who is a kindergarten through grade 12 classroom teacher or instructor on a full-time basis for such eligible academic year in a public kindergarten, elementary school, or secondary school. (d) Additional definitions For purposes of this section— (1) Elementary and secondary schools The terms elementary school and secondary school have the respective meanings given such terms by section 9101 of the Elementary and Secondary Education Act of 1965. (2) Eligible academic year The term eligible academic year means any academic year ending in a taxable year beginning after December 31, 2015. (3) Public kindergarten, elementary school, or secondary school The term public kindergarten, elementary school, or secondary school means— (A) a public kindergarten, or a public elementary school or secondary school, of a State (as defined in section 9101 of the Elementary and Secondary Education Act of 1965), or (B) an elementary school or secondary school operated or funded by the Bureau of Indian Education. . (b) Conforming amendments (1) Paragraph (2) of section 1324(b) of title 31, United States Code, is amended by inserting , 36C after 36B. (2) The table of sections for subpart C of part IV of subchapter A of chapter 1 of the Internal Revenue Code of 1986 is amended by inserting after the item relating to section 36B the following new item: Sec. 36C. Tax credit for individuals teaching in public elementary and secondary schools located in high poverty or rural areas and certified teachers. . (c) Effective date The amendments made by this section shall apply to academic years ending in taxable years beginning after December 31, 2015.