Tennessee Senate Bill SB0625

Tennessee 2023-2024 Regular Session

• Introduced: 1/26/23

Caption

AN ACT to amend Tennessee Code Annotated, Title 67, Chapter 4, relative to tax credits.

Impact

The proposed legislation would significantly impact tax law in Tennessee by providing a financial incentive for businesses to contribute to organizations that align with the bill's purpose. Business entities—including corporations, partnerships, and limited liability companies—would be eligible for a credit equal to 50% of their contributions to qualifying charities, effectively reducing their tax liability. The limit on the total amount of credits allocated under this part would be capped at five million dollars per taxable year. Additionally, individual contributions to a single organization would be restricted to no more than 20% of total credits allocated.

Summary

Senate Bill 625, titled the 'Pregnancy Resource Tax Credit Act', seeks to amend Tennessee's tax code to allow businesses to claim a tax credit for contributions made to eligible charitable organizations that provide services to pregnant women. The bill defines 'eligible charitable organizations' as nonprofit pregnancy centers or maternity facilities that meet specific criteria regarding their operation and the services they provide. These organizations must help women carry their pregnancies to term and must not engage in or support abortion-related services.

Contention

Noteworthy points of contention surrounding SB 625 include its implications on abortion and reproductive rights. Critics might argue that the bill promotes specific ideologies through financial incentives, potentially affecting the availability of comprehensive reproductive healthcare options. Proponents may view it as a means to support women and families during their pregnancies. There is a concern that emphasizing contributions to organizations that do not support abortion could limit the support available for women seeking broader healthcare options, thereby stirring debate among lawmakers, advocacy groups, and constituents regarding women's health rights within the state.