For income tax years commencing on or after January 1, 2015, but prior to January 1, 2022, the bill grants a preceptor, or a noncompensated health care professional in one of a number of specialized fields of health care practice, who personally provides a mentoring experience of personalized instruction, training, and supervision representing a full clinical rotation to an advanced graduate student seeking a professional degree in one of these fields, a credit against the state income tax in amounts specified in the bill for a tax year in which the preceptor undertakes such work in a health professional shortage area. The tax credit is increased if a portion of the preceptor's health care practice consists of a certain percentage of medicaid patients during the particular tax year as specified in the bill.
The bill imposes an aggregate limit on the amount of the credit to be awarded any one taxpayer for any one income tax year.
The bill specifies the manner in which the taxpayer is required to apply for the credit and procedures to be followed if a preceptor fails to satisfy the requirements of the bill for a particular tax year.
If the amount of the credit allowed exceeds the amount of the income tax otherwise due, the bill allows the balance to be carried forward and applied against the income tax due in each of the 5 succeeding income tax years.