2024 -- H 7407

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LC004584

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2024

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A N   A C T

RELATING TO TAXATION -- ORGAN DONATION LEAVE TAX CREDIT

     

     Introduced By: Representatives Donovan, Edwards, Potter, Carson, Tanzi, Speakman,
Cotter, Fogarty, Kennedy, and McGaw

     Date Introduced: January 31, 2024

     Referred To: House Finance

     It is enacted by the General Assembly as follows:

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     SECTION 1. Title 44 of the General Laws entitled "TAXATION" is hereby amended by

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adding thereto the following chapter:

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CHAPTER 72

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ORGAN DONATION LEAVE TAX CREDIT

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     44-72-1. Definitions.

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     For purposes of this section:

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     (1) "Organ donation leave" means a period of employment leave received by an employee

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organ donor.

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     (2) "Organ donor" means a person from whose body a whole or partial organ is taken to be

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transferred to the body of another person. "Organ donor" shall include a person who donates bone

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marrow or a whole or partial liver.

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     (3) "Private employer" means a sole proprietor, corporation, partnership, limited liability

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company, or other entity with one or more employees. "Private employer" does not mean a

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municipality, county, state agency, institution of higher education, or other public employer.

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     44-72-2. Tax credit.

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     (a) For taxable years beginning on and after January 1, 2024, but before January 1, 2029,

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a taxpayer that is a private employer shall be allowed a nonrefundable credit against the tax levied

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pursuant to chapter 11 of title 44 for:

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     (1) An amount equal to employee compensation paid, if any, to the organ donor during the

 

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organ donation leave; and

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     (2) The cost of temporary replacement help, if any, during the organ donation leave.

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     (b) The amount of the credit that may be claimed in any single taxable year shall not exceed

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the taxpayer's liability for taxes imposed by this chapter for that taxable year. If the amount of the

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credit allowed under this section exceeds the taxpayer's tax liability for the taxable year in which

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the eligible transaction occurred, the amount that exceeds the tax liability may be carried over for

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credit against the income taxes of the taxpayer in the next five (5) taxable years or until the total

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amount of the tax credit has been taken, whichever is sooner.

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     (c) For purposes of this section, the amount of any credit claimed by a partnership, limited

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liability company or electing small business corporation (S corporation) shall be allocated to the

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individual partners, members or shareholders in proportion to their ownership or interest in the

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partnership, limited liability company or S corporation.

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     SECTION 2. This act shall take effect upon passage.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO TAXATION -- ORGAN DONATION LEAVE TAX CREDIT

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     This act would provide tax credits to any private entity that gives paid time off to an

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employee who is an organ donor.

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     This act would take effect upon passage.

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