CHAPTER 694
An Act to amend and reenact § 63.1-323 of the Code of Virginia and to amend and reenact Chapter 629 of the Acts of Assembly of 1981, as amended by Chapter 407 of the Acts of Assembly of 1986, Chapter 660 of the Acts of Assembly of 1990, and Chapter 779 of the Acts of Assembly of 1995, relating to the neighborhood assistance tax credit.
Approved April 6, 1996
Be it enacted by the General Assembly of Virginia:
1. That § 63.1-323 of the Code of Virginia is amended and reenacted as follows:
§ 63.1-323. Tax credit authorized; proposals; regulations; amount for programs.
Any business firm that engages in the activities of providing neighborhood
assistance, job training or education for individuals not employed by the
business firm, community services or crime prevention services in an
impoverished area or for impoverished people shall receive a tax credit as
provided in § 63.1-324, if the Commissioner of Social Services or his
designee approves the proposal of such business firm or of a neighborhood
organization. The proposal shall set forth the program to be conducted, the
impoverished area or impoverished people selected, the estimated amount to be
invested in the program and the plans for implementing the program. A copy of
the proposal shall be submitted by the Commissioner of Social Services or his
designee to all planning district commissions within whose boundaries the
proposal will operate. The planning district commissions shall thereafter
notify their respective local units of government of the contents of the
proposal. Such commission or the governing body of each governmental
subdivision may thereafter comment in writing on the proposal to the
Commissioner or his designee. If, in the opinion of the Commissioner or his
designee, a business firm's investment can more consistently meet with the
purposes of this chapter if made through contributions to a nonprofit
neighborhood organization, a tax credit may similarly be allowed as provided in
§ 63.1-324. The Commissioner of Social Services or his designee is hereby
authorized to promulgate regulations for the approval or disapproval of such
proposals by business firms or neighborhood organizations. Such regulations
shall contain a requirement that an annual audit be provided by the business
firm or neighborhood organization as a prerequisite for approval. Through June
30, 1996 1998, the total amount of tax credit granted for
programs approved under this chapter for each fiscal year shall not exceed
$5,250,000. From July 1, 1996 1998, through June 30,
1998 2000, the total amount of tax credit granted for programs
approved under this chapter for each fiscal year shall not exceed eight million
dollars. Tax credits shall not be authorized after fiscal year 1998
2000.
2. That Chapter 629 of the Acts of Assembly of 1981, as amended by Chapter 407 of the Acts of Assembly of 1986, Chapter 660 of the Acts of Assembly of 1990, and Chapter 779 of the Acts of Assembly of 1995 is amended and reenacted as follows:
4. That this act shall expire on July 1, 1998 2000, and be of no
further force and effect; however, a business firm which received the tax
credit provided by this act while it was in effect shall be entitled to carry
over that credit for the next five succeeding taxable years whether or not this
act shall expire on July 1, 1998 2000.