Tax credit; contributions; procedure; annual limit

(1) Prior to making a contribution to an eligible charitable organization, any taxpayer desiring to claim a tax credit under the Nebraska Pregnancy Help Act shall notify the eligible charitable organization of the taxpayer's intent to make a contribution and the amount to be claimed as a tax credit. Upon receiving each such notification, the eligible charitable organization shall notify the department of the intended tax credit amount. If the department determines that the intended tax credit amount in the notification would exceed the limit specified in subsection (3) of this section, the department shall notify the eligible charitable organization of its determination within thirty days after receipt of the notification. The eligible charitable organization shall then promptly notify the taxpayer of the department's determination that the intended tax credit amount in the notification is not available. If an amount less than the amount indicated in the notification is available for a tax credit, the department shall notify the eligible charitable organization of the available amount and the eligible charitable organization shall notify the taxpayer of the available amount within three business days.

(2) In order to be allowed a tax credit as provided by the act, the taxpayer shall make its contribution between thirty-one and sixty days after notifying the eligible charitable organization of the taxpayer's intent to make a contribution. If the eligible charitable organization does not receive the contribution within the required time period, it shall notify the department of such fact and the department shall no longer include such amount when calculating whether the limit prescribed in subsection (3) of this section has been exceeded. If the eligible charitable organization receives the contribution within the required time period, it shall provide the taxpayer with a receipt for the contribution. The receipt shall show the name and address of the eligible charitable organization, the name, address, and, if available, tax identification number of the taxpayer making the contribution, the amount of the contribution, and the date the contribution was received.

(3) The department shall consider notifications regarding intended tax credit amounts in the order in which they are received to ascertain whether the intended tax credit amounts are within the annual limit provided in this subsection. The annual limit on the total amount of tax credits for fiscal year 2025-26 shall be five hundred thousand dollars. The annual limit on the total amount of tax credits for fiscal year 2026-27 and each fiscal year thereafter shall be one million dollars. Once credits have reached the annual limit for any fiscal year, no additional credits shall be allowed for such fiscal year. Credits shall be prorated among the notifications received on the day the annual limit is exceeded. No more than fifty percent of the credits allowed for any fiscal year shall be for contributions to a single eligible charitable organization.