IP-1-2001 January 2001)
Author: Pamela Benigno

PDF of full Issue Paper
Scribd version of full Issue Paper

Executive Summary:

Arizona and Minnesota have both implemented successful education tax plans. Arizona and Minnesota differ in their approaches, but by combining the best from both states, a much more comprehensive plan can be created for Colorado.  Colorado should become a leader in the arena of education tax plans by adopting its own plan that includes the following:

• Individuals would receive a nonrefundable limited tax credit for contributions to a public school.
• Individuals would receive a nonrefundable limited tax credit for individual contributions to a qualified tuition scholarship organization.
• Based on their income level, individuals with school-age children would receive either a limited refundable tax credit or limited tax deduction for education-related expenses.
• All individuals with school-age children could qualify for a limited tax deduction for non public school tuition