USA Workforce Investment Act

This legislation amends the Internal Revenue Code of 1986 to introduce a new federal tax credit for individuals. This credit is specifically designed to encourage charitable cash contributions to eligible nonprofit organizations. These organizations must provide workforce development or apprenticeship training programs. Individuals can claim a credit against their federal income tax for qualified contributions, with a maximum annual credit of $1,700. The amount of the federal credit will be reduced by any similar state tax credit received for the same contributions. To qualify, organizations must be 501(c)(3) non-private foundations listed as eligible providers under the Workforce Innovation and Opportunity Act, and the donations must be designated for training services. A key provision prevents a double benefit , meaning contributions for which this credit is claimed cannot also be deducted as charitable contributions under existing tax law. Any unused portion of the credit can be carried forward for up to five subsequent taxable years, ensuring taxpayers can fully utilize the incentive. The amendments will apply to taxable years beginning after the bill's enactment.