Virginia House Bill HB1933

Virginia 2023 Regular Session

• Introduced: 1/10/23
• Refer: 1/10/23

Caption

High school equivalency; creates tax credit.

Impact

The introduction of this tax credit is expected to encourage individuals to pursue their high school equivalency certificates and consequently improve their employment prospects. It targets those who may have previously faced barriers to completing their high school education, thus attempting to enhance the overall workforce skill level within the state. The fiscal implications include a cap on the total number of individuals eligible for the credit each year, which is set at 250, thereby ensuring that fiscal responsibility is maintained while still promoting educational achievement.

Summary

House Bill 1933 aims to provide a financial incentive for individuals who obtain a high school equivalency certificate by establishing a nonrefundable tax credit. This credit is designed to support those who have successfully earned their certificate and are employed full-time within the state of Virginia. The bill outlines that eligible taxpayers can receive a tax credit of $1,000 for each of the first three taxable years following their attainment of the equivalency certificate, provided that they maintain full-time employment in the Commonwealth.

Contention

Although the bill has potential benefits, discussions may arise around its effectiveness and impact on state revenues. Critics could point to the limited number of credits available, questioning whether the cap will be sufficient to meet the needs of the population. Furthermore, the nonrefundable nature of the credit may raise concerns about its accessibility for lower-income individuals who may not have a significant tax liability. The bill's limitations and provisions may spark debate on the balance between encouraging educational attainment and ensuring equitable access to financial incentives.