(a) (1) In this section the following words have the meanings indicated. (2) "Qualified workforce housing project" has the meaning stated in § 4-2501 of the Housing and Community Development Article. (3) "Secretary" means the Secretary of Housing and Community Development. (b) An individual or a corporation may claim a credit against the State income tax in the amount determined under subsection (c) of this section for a qualified workforce housing project. (c) (1) The credit under this section equals the amount determined under paragraph (2) of this subsection for each qualified workforce housing project. (2) (i) Except as provided in subparagraph (ii) of this paragraph, the amount allowed under paragraph (1) of this subsection for each qualified workforce housing project equals the amount stated in the final credit certificate issued by the Secretary under Title 4, Subtitle 25 of the Housing and Community Development Article. (ii) The credit amount allowed for a project under subparagraph (i) of this paragraph may be claimed in full for the first taxable year the project is placed in service. (d) If the credit allowed under this section in any taxable year exceeds the State income tax for that taxable year, an individual or a corporation may apply the excess as a credit against the State income tax for succeeding taxable years until the earlier of: (1) the full amount of the excess is used; or (2) the expiration of the ninth taxable year after the taxable year in which the final credit certificate was issued. (e) An individual or a corporation claiming the State tax credit for a qualified workforce housing project shall submit with the individual's or corporation's income tax return a copy of the final credit certificate for the project issued by the Secretary under Title 4, Subtitle 25 of the Housing and Community Development Article. (f) The Secretary, in consultation with the Comptroller, may adopt regulations providing for the recapture of the State tax credits allowed under this section for a qualified workforce housing project that fails to continue to meet the requirements of Title 4, Subtitle 25 of the Housing and Community Development Article. (g) An individual or a corporation may not claim the credit allowed under this section for a project for any taxable year in which the owner of the project is in default under any regulatory agreement required with respect to the project under § 4-2502 of the Housing and Community Development Article. §10-750. IN EFFECT // EFFECTIVE UNTIL DECEMBER 31, 2028 PER CHAPTER 77 OF 2022 // (a) (1) In this section the following words have the meanings indicated. (2) "Donation" means an irrevocable gift of cash. (3) "Institution of higher education" means Bowie State University, Coppin State University, Morgan State University, or University of Maryland Eastern Shore. (4) "Qualified permanent endowment fund" means a fund that is: (i) held in perpetuity by an institution of higher education; and (ii) used to benefit the institution of higher education or its students. (b) (1) Subject to the limitations of this section, for the taxable year in which a taxpayer makes a donation to a qualified permanent endowment fund at an institution of higher education, the taxpayer may claim a credit against the State income tax in the amount stated on the tax credit certificate issued under subsection (c) of this section. (2) If the credit allowed under this section in any taxable year exceeds the State income tax for that taxable year, any unused credit may be carried forward and applied to succeeding taxable years until the full amount of the credit is used. (c) (1) On application by a taxpayer, the Comptroller shall issue a credit certificate in the amount of 25% of a proposed donation to a qualified permanent endowment fund at an institution of higher education. (2) The application shall contain: (i) the names of the taxpayer, the institution of higher education, and the qualified permanent endowment fund to which the donation will be made; (ii) the taxable year in which the donation will be made; (iii) the amount of the donation; and (iv) any other information that the Comptroller requires. (3) The Comptroller shall approve all applications that qualify for a tax credit certificate under this subsection: (i) on a first-come, first-served basis; and (ii) in a timely manner. (4) (i) For each taxable year, the total amount of tax credit certificates certified by the Comptroller under this section may not exceed $240,000. (ii) 1. The Comptroller shall make available 25% of the amount of credits authorized under subparagraph (i) of this paragraph for donations to qualified permanent endowment funds at each institution of higher education. 2. If the total amount of tax credit certificates certified under this section for an institution of higher education during a taxable year is less than the amount made available for the institution of higher education under this subparagraph, any excess amount may be certified under tax credit certificates for the institution of higher education for the next taxable year. (d) The Comptroller shall adopt regulations to carry out the provisions of this section, including the criteria and procedures for application for, approval of, and monitoring eligibility for the tax credit authorized under this section.
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