UPDATE: Ark. panel rejects private school tax credit bill
By ANDREW DeMILLOAssociated Press
LITTLE ROCK (AP) - A proposal to offer a 100% state tax credit for donations to a scholarship fund for private schools has failed to clear an Arkansas Senate committee.
The Senate Revenue and Taxation Committee on Wednesday rejected the tax credit proposal on a voice vote, with the measure appearing to receive only three "yes" votes and two "no's" from the eight-member panel.
The proposal by Republican Sen. Jane English of North Little Rock would grant taxpayers a credit for contributions to a nonprofit that would award private school scholarships to families making 250% or less of the federal poverty level.
The credit would be capped at a total of $10 million a year, a revenue loss that state finance officials said the state couldn't afford.
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