RAISE Act of 2025 · Introduced in House (2025-02-26) · Congress.wiki

H.R. 1611

119th CONGRESS 1st Session

To amend the Internal Revenue Code of 1986 to provide a refundable tax credit for certain teachers as a supplement to State efforts to provide teachers with a livable wage, and for other purposes.

IN THE HOUSE OF REPRESENTATIVES · February 26, 2025 · Sponsor: Mrs. Hayes

H.R. 1611
- Sec. 36C. Teacher tax credit.

Sec. 36C. Teacher tax credit.

(a) Credit allowed
- In the case of an individual who is an eligible educator during school years ending with or within the taxable year, there shall be allowed as a credit against the tax imposed by this chapter an amount equal to the sum of—
  - $1,000, plus
  - in the case of an eligible educator who is employed at a qualifying school, the applicable amount.
(b) Applicable amount
- For purposes of subsection (a), the applicable amount is the amount which bears the same ratio (not to exceed one) to $14,000 ($9,000, in the case of any early childhood educator without a bachelor's degree) as—
  - the number of percentage points by which the student poverty ratio for such qualifying school exceeds 39 percent, bears to
  - 36 percentage points.
(c) Eligible educator
- For purposes of this section—
- (1) In general
  - The term eligible educator means—
    - any elementary or secondary teacher, and
    - any early childhood educator.
- (2) Elementary or secondary teacher
  - (A) In general
    - The term elementary or secondary teacher means an individual who—
      - (i) is a teacher of record who provides direct classroom teaching (or classroom-type teaching in a nonclassroom setting) in a public elementary school or a public secondary school for not less than 75 percent of the normal or statutory number of hours of work for a full-time teacher over a complete school year (as determined by the State in which the school is located),
      - (ii) meets the applicable requirements for State certification and licensure in the State in which such school is located in the subject area in which the individual is the teacher of record, and
      - (iii) has met the requirements of clauses (i) and (ii) for a period of not less than 1 year before the first day of the taxable year.
  - (B) Teacher of record
    - For purposes of subparagraph (A), the term teacher of record means a teacher who has been assigned the responsibility for specified pupils’ learning in a grade, subject, or course as reflected on the school’s official record of attendance.
    - Teacher of record
- (3) Early childhood educator
  - The term early childhood educator means an individual who—
    - has a Child Development Associate credential (or an equivalent credential), or has an associate's degree or higher,
    - meets the applicable requirements for State certification, licensure, or permitting under State law for early childhood education,
    - has primary responsibility for the learning and development of children in an early childhood education program (as defined in section 103 of the Higher Education Act of 1965 ()) for not less than 75 percent of the normal or statutory number of hours of work for a full-time teacher over a complete program year, as determined by the Secretary of Health and Human Services, and 20 U.S.C. 1003
    - has met the requirements of subparagraphs (A), (B), and (C) for a period of not less than 1 year before the first day of the taxable year.
(d) Qualifying school
- (1) In general
  - The term qualifying school means, with respect to any school year—
    - a public elementary school or a public secondary school that—
      - (i) is served by a local educational agency that is eligible in such year for assistance pursuant to part A of title I of the Elementary and Secondary Education Act of 1965 (), or 20 U.S.C. 6311 et seq.
      - (ii) is served by an educational service agency, or a location operated by an educational service agency, that is eligible, for the year in which the determination is made, for assistance under part A of title I of the Elementary and Secondary Education Act of 1965 (), 20 U.S.C. 6311 et seq.
    - an elementary school or secondary school that is funded by the Bureau of Indian Education, or
    - an early childhood education program (as defined in section 103 of the Higher Education Act of 1965 ()) that serves children who receive, or are eligible for, services for which financial assistance is provided in accordance with the Child Care and Development Block Grant of 1990 () or the child and adult care food program established under section 17 of the Richard B. Russell National School Lunch Act (). 20 U.S.C. 1003; 42 U.S.C. 9857 et seq.; 42 U.S.C. 1766
- (2) ESEA definitions
  - For purposes of this subsection, the terms , , , , and have the meanings given such terms in section 8101 of the Elementary and Secondary Education Act of 1965 (). educational service agency,elementary school,local educational agency,secondary school,State educational agency 20 U.S.C. 7801
(e) Student poverty ratio
- (1) In general
  - The term student poverty ratio means—
    - with respect to any qualifying school described in subparagraph (A) or (B) of subsection (d)(1), the ratio (expressed as a percentage) of—
      - (i) the total number of children served at such qualifying school meeting at least one measure of poverty described in section 1113(a)(5) of the Elementary and Secondary Education Act of 1965 (), to 20 U.S.C. 6313(a)(5)
      - (ii) the total number of children served at such qualifying school, and
    - with respect to any qualifying school described in subsection (d)(1)(C), the ratio (expressed as a percentage) of—
      - (i) the total number of children attending such qualifying school who are eligible for services under the Child Care and Development Block Grant of 1990 () or for the child and adult care food program established under section 17 of the Richard B. Russell National School Lunch Act (), to 42 U.S.C. 9857 et seq.; 42 U.S.C. 1766
      - (ii) the total number of children attending such qualifying school.
- (2) Determination of ratio
  - In determining the student poverty ratio with respect to a qualifying school under paragraph (1)(A), the Secretary shall use the same measure of poverty as is used for purposes of determining the allocation of funds under part A of title I of the Elementary and Secondary Education Act of 1965 () with respect to the qualifying school. 20 U.S.C. 6311 et seq.
(f) Inflation adjustment
- (1) In general
  - In the case of any taxable year beginning after 2026, each of the dollar amounts in subsections (a) and (b) shall be increased by an amount equal to—
    - such dollar amount, multiplied by
    - the cost-of-living adjustment determined under section 1(f)(3) for the calendar year in which the taxable year begins, determined by substituting in subparagraph (A)(ii) thereof for . calendar year 2025 calendar year 2016
- (2) Rounding
  - If any increase determined under paragraph (1) is not a multiple of $50, such increase shall be rounded to the nearest multiple of $50.

H.R. 1611

Table of contents

Sec. 36C. Teacher tax credit.