The bill amends Section 63-3029L of the Idaho Code to revise the provisions regarding the Child Tax Credit. Specifically, it removes the expiration date for the credit, which was previously set to end on January 1, 2026. The bill establishes that for taxable years beginning on or after January 1, 2018, taxpayers will be allowed a nonrefundable credit of $205 for each qualifying child, defined according to the Internal Revenue Code. The credit is available only to Idaho residents, and part-year residents will receive a proportional credit based on their time domiciled in Idaho.

Additionally, the bill clarifies the eligibility criteria for divorced or non-cohabiting parents regarding the Child Tax Credit. It stipulates that the custodial parent is typically entitled to claim the credit, but the noncustodial parent may claim it if they meet certain conditions, such as having a court order or a written declaration from the custodial parent. The bill declares an emergency, making it effective immediately upon passage and retroactively applicable to January 1, 2026.

Statutes affected:
Bill Text: 63-3029L