1     
TAX CREDIT FOR MEDICAL INSTRUCTORS

2     
2020 GENERAL SESSION

3     
STATE OF UTAH

4     
Chief Sponsor: Jennifer Dailey-Provost

5     
Senate Sponsor: ____________

6     

7     LONG TITLE
8     General Description:
9          This bill creates a nonrefundable individual income tax credit for medical instructors.
10     Highlighted Provisions:
11          This bill:
12          ▸     creates a nonrefundable income tax credit for medical instructors;
13          ▸     defines terms;
14          ▸     creates an application process for a medical instructor to apply to the Division of
15     Occupational and Professional Licensing for a tax credit certificate; and
16          ▸     requires the Division of Occupational and Professional Licensing to issue tax credit
17     certificates.
18     Money Appropriated in this Bill:
19          None
20     Other Special Clauses:
21          This bill provides a special effective date.
22     Utah Code Sections Affected:
23     AMENDS:
24          58-1-106, as last amended by Laws of Utah 2018, Chapter 318
25     ENACTS:
26          58-1-112, Utah Code Annotated 1953
27          59-10-1041, Utah Code Annotated 1953

28     

29     Be it enacted by the Legislature of the state of Utah:
30          Section 1. Section 58-1-106 is amended to read:
31          58-1-106. Division -- Duties, functions, and responsibilities.
32          (1) The duties, functions, and responsibilities of the division include the following:
33          (a) prescribing, adopting, and enforcing rules to administer this title;
34          (b) investigating the activities of any person whose occupation or profession is
35     regulated or governed by the laws and rules administered and enforced by the division;
36          (c) subpoenaing witnesses, taking evidence, and requiring by subpoena duces tecum
37     the production of any books, papers, documents, records, contracts, recordings, tapes,
38     correspondence, or information relevant to an investigation upon a finding of sufficient need by
39     the director or by the director's designee;
40          (d) taking administrative and judicial action against persons in violation of the laws
41     and rules administered and enforced by the division, including the issuance of cease and desist
42     orders;
43          (e) seeking injunctions and temporary restraining orders to restrain unauthorized
44     activity;
45          (f) complying with Title 52, Chapter 4, Open and Public Meetings Act ;
46          (g) issuing, refusing to issue, revoking, suspending, renewing, refusing to renew, or
47     otherwise acting upon any license;
48          (h) preparing and submitting to the governor and the Legislature an annual report of the
49     division's operations, activities, and goals;
50          (i) preparing and submitting to the executive director a budget of the expenses for the
51     division;
52          (j) establishing the time and place for the administration of examinations; [and]
53          (k) preparing lists of licensees and making these lists available to the public at cost
54     upon request unless otherwise prohibited by state or federal law[.]; and
55          (l) issuing a tax credit certificate as required by Section 58-1-111 or 58-1-112.
56          (2) The division may not include home telephone numbers or home addresses of
57     licensees on the lists prepared under Subsection (1)(k), except as otherwise provided by rules
58     of the division made in accordance with Title 63G, Chapter 3, Utah Administrative

59     Rulemaking Act.
60          (3) (a) The division may provide the home address or home telephone number of a
61     licensee on a list prepared under Subsection (1) upon the request of an individual who provides
62     proper identification and the reason for the request, in writing, to the division.
63          (b) A request under Subsection (3)(a) is limited to providing information on only one
64     licensee per request.
65          (c) The division shall provide, by rule, what constitutes proper identification under
66     Subsection (3)(a).
67          (4) (a) Notwithstanding any contrary provisions in Title 63G, Chapter 2, Government
68     Records Access and Management Act, the division may share licensee information with:
69          (i) the division's contracted agents when sharing the information in compliance with
70     state or federal law; and
71          (ii) a person who is evaluating the progress or monitoring the compliance of an
72     individual who has been disciplined by the division under this title.
73          (b) The division may make rules to implement the provisions of this Subsection (4).
74          (5) All rules made by the division under this title shall be made in accordance with
75     Title 63G, Chapter 3, Utah Administrative Rulemaking Act.
76          Section 2. Section 58-1-112 is enacted to read:
77          58-1-112. Tax credit certificate for medical instructor tax credit.
78          (1) As used in this section:
79          (a) "Health care student" means a student who is enrolled at an institution of higher
80     education within the state in a program that meets the educational requirements for licensure
81     as:
82          (i) a physician and surgeon, as described in Subsection 58-67-302(1)(e);
83          (ii) an osteopathic physician and surgeon, as described in Subsection 58-68-302(1)(e);
84          (iii) an advanced practice registered nurse, as described in Subsection
85     58-31b-302(4)(e);
86          (iv) a physician assistant, as described in Subsection 58-70a-302(4)(a);
87          (v) a dentist, as described in Subsection 58-69-302(1)(d); or
88          (vi) a pharmacist, as described in Subsection 58-17b-303(1)(f).
89          (b) "Medical instructor" means an individual who:

90          (i) is licensed:
91          (A) as a physician under Chapter 67, Utah Medical Practice Act; Chapter 67b,
92     Interstate Medical Licensure Compact; or Chapter 68, Utah Osteopathic Medical Practice Act;
93          (B) as an advanced practice registered nurse under Chapter 31b, Nurse Practice Act;
94          (C) as a physician assistant under Chapter 70a, Utah Physician Assistant Act;
95          (D) as a dentist under Chapter 69, Dentist and Dental Hygienist Practice Act; or
96          (E) as a pharmacist under Chapter 17b, Pharmacy Practice Act;
97          (ii) is actively practicing in this state in the area for which the individual is licensed;
98          (iii) provides personal instruction, training, or supervision in the practice area for
99     which the individual is licensed to a health care student who is enrolled in a program described
100     in:
101          (A) Subsection (1)(a)(i) or (ii) if the individual is licensed as a physician or osteopathic
102     physician;
103          (B) Subsection (1)(a)(iii) if the individual is licensed as an advanced practice registered
104     nurse;
105          (C) Subsection (1)(a)(iv) if the individual is licensed as a physician assistant;
106          (D) Subsection (1)(a)(v) if the individual is licensed as a dentist; or
107          (E) Subsection (1)(a)(vi) if the individual is licensed as a pharmacist; and
108          (iv) does not receive financial compensation from any source for providing personal
109     instruction, training, or supervision to a health care student.
110          (c) "Qualifying application" means an application for a tax credit certificate that meets
111     the requirements of Subsection (3).
112          (d) "Tax credit" means a tax credit described in Section 59-10-1041.
113          (2) An individual who seeks to claim a tax credit shall apply annually to the division
114     for a tax credit certificate.
115          (3) The individual shall include in the application for a tax credit certificate the
116     following information for the calendar year for which the individual seeks to claim a tax credit:
117          (a) an attestation that the individual was a medical instructor;
118          (b) the number of health care students to whom the individual provided personal
119     instruction, training, or supervision; and
120          (c) any supporting information that the division requires by rule made in accordance

121     with Title 63G, Chapter 3, Utah Administrative Rulemaking Act.
122          (4) (a) Subject to Subsection (5), the division shall issue a tax credit certificate:
123          (i) to an individual whom the division determines was a medical instructor during the
124     calendar year for which the individual seeks to claim a tax credit; and
125          (ii) in an amount equal to the lesser of:
126          (A) $100 per health care student described in Subsection (3)(b); and
127          (B) $2,000.
128          (b) An individual who receives a tax credit certificate in accordance with this section
129     shall retain the certificate for the same time period a person is required to keep books and
130     records under Section 59-1-1406.
131          (5) (a) The maximum aggregate amount of tax credit certificates that the division may
132     issue for a calendar year is $500,000.
133          (b) If the division receives qualifying applications for tax credit certificates in amounts
134     that exceed the aggregate amount of tax credit certificates that the division may issue for the
135     calendar year, the division shall issue tax credit certificates:
136          (i) in the order that the division receives the qualifying applications until the total
137     aggregate amount is met; and
138          (ii) for the final individual to receive a tax credit certificate, in an amount equal to the
139     difference between the maximum aggregate amount described in this Subsection (5) and the
140     aggregate dollar amount of the tax credit certificates that the division has already issued for the
141     calendar year.
142          (6) The division shall submit to the State Tax Commission an electronic list that
143     includes:
144          (a) the name and identifying information of each individual to whom the division
145     issues a tax credit certificate; and
146          (b) for each individual, the amount of the tax credit stated on the tax credit certificate.
147          Section 3. Section 59-10-1041 is enacted to read:
148          59-10-1041. Nonrefundable tax credit for medical instructor.
149          (1) As used in this section, "medical instructor" means the same as that term is defined
150     in Section 58-1-112.
151          (2) (a) A claimant who is a medical instructor and who receives a tax credit certificate

152     from the Division of Occupational and Professional Licensing as provided in Section 58-1-112
153     may claim a nonrefundable tax credit in an amount equal to the amount stated on the tax credit
154     certificate described in Section 58-1-112.
155          (b) A claimant may carry forward the amount of a tax credit that exceeds the claimant's
156     tax liability to the next taxable year.
157          (c) A claimant may not carry back the amount of a tax credit that exceeds the
158     claimant's tax liability.
159          Section 4. Effective date.
160          This bill takes effect for a taxable year beginning on or after January 1, 2021.