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Finance panel advances refundable teacher tax credit after broad testimony and an amendment to cut red tape

2168552 · January 27, 2025
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Summary

HB 1037, a refundable teacher tax credit (proposed $1,000/year for full‑time licensed public school teachers), received hours of testimony from teachers, students and education groups. The committee adopted an administrative‑simplifying amendment and sent the bill to appropriations with a favorable recommendation (9–4).

The House Finance Committee advanced House Bill 1037 after extensive witness testimony from teachers, students, school leaders and statewide education groups and after the sponsor introduced an amendment to simplify administration and reduce auditing burdens.

Sponsor Representative Robert Marshall said the credit — $1,000 per year for full‑time licensed teachers ($500 per semester for part‑time) — is designed to offset teachers’ out‑of‑pocket spending on classroom supplies and professional needs. "What it does is it provides a refundable, that is refundable tax credit of $1,000 a year, dollars 500 a semester to a licensed teacher teaching in public schools," Marshall said, adding the measure is meant to be a straightforward per‑diem‑style reimbursement rather than a receipt‑based program.

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