§ 59-10-1017. Utah Educational Savings Plan tax credit.

(1) As used in this section:

(a) "Account owner" is as defined in Section 53B-8a-102.

(b) "Higher education costs" is as defined in Section 53B-8a-102.

(c) "Maximum amount of a qualified investment for the taxable year" means, for a taxable year:

(i) for a claimant, estate, or trust that is an account owner, if that claimant, estate, or trust is other than husband and wife account owners who file a single return jointly, the maximum amount of a qualified investment:

(A) listed in Subsection 53B-8a-106(1)(e)(ii); and

(B) increased or kept for that taxable year in accordance with Subsections 53B-8a-106(1)(f) and (g); or

(ii) for claimants who are husband and wife account owners who file a single return jointly, the maximum amount of a qualified investment:

(A) listed in Subsection 53B-8a-106(1)(e)(iii); and

(B) increased or kept for that taxable year in accordance with Subsections 53B-8a-106(1)(f) and (g).

(d) "Qualified investment" is as defined in Section 53B-8a-102.

(2) Except as provided in Section 59-10-1002.2, a claimant, estate, or trust that is an account owner may claim a nonrefundable tax credit equal to the product of:

(a) the lesser of:

(i) the amount of a qualified investment the claimant, estate, or trust:

(A) makes during the taxable year; and

(B) does not deduct:

(I) for a claimant, on the claimant's federal individual income tax return; or

(II) for an estate or trust, on the estate's or trust's federal income tax return for estates and trusts; or

(ii) the maximum amount of a qualified investment for the taxable year if the amount described in Subsection (2)(a)(i) is greater than the maximum amount of a qualified investment for the taxable year; and

(b) 5%.

(3) A tax credit under this section may not be carried forward or carried back.

Amended by Chapter 6, 2010 General Session