This bill introduces a gross income tax credit for taxpayers who incur qualified youth sports expenses on behalf of their dependents. Taxpayers can claim a credit for expenses up to $2,000 per qualifying individual, defined as a dependent aged between 10 and 18 during the taxable year. The bill outlines what constitutes qualified youth sports expenses, including registration fees, uniforms, equipment, travel expenses for tournaments, training fees, and event registration fees.

Additionally, the bill mandates that taxpayers must provide documentation to substantiate their claims, such as itemized receipts and proof of payment. The Director of the Division of Taxation is also tasked with promoting the availability of this tax credit to municipalities, school districts, and youth sports organizations within the state. The act is set to take effect immediately and will apply to taxable years beginning on or after January 1 following its enactment.