Iowa Senate Bill SF391

Iowa 2025-2026 Regular Session

• Introduced: 2/20/25
• Refer: 2/26/25

Caption

A bill for an act creating an advanced registered nurse practitioner preceptor tax credit available against the individual income tax, and including applicability provisions.(Formerly SSB 1082.)

Impact

The tax credit is structured to provide $1,000 per clinical preceptorship for preceptors who provide at least 100 hours of instruction without compensation, allowing them to claim up to $2,000 in total credits. This financial incentive is designed to encourage more advanced registered nurses to take on precepting roles, which is significant for addressing the nursing shortage by ensuring that nursing students receive the practical experience necessary for their professional development. The bill stipulates that the credit is refundable, introducing an appealing tax measure for individuals involved in nursing education.

Summary

Senate File 391, also known as the Advanced Registered Nurse Practitioner Preceptor Tax Credit Bill, aims to introduce a tax credit for advanced registered nurse practitioners who mentor nursing students under specific conditions. The bill defines 'clinical preceptorship' as a mentoring experience for nursing students that necessitates the supervision of the preceptor in a clinical setting. This initiative seeks to incentivize and support the role of experienced nurses in educating future nurses, thereby enhancing the quality of nursing education in the state.

Contention

While the bill stands to benefit nursing education significantly, certain points of contention may arise regarding its implementation. Critics might question the sustainability of such tax incentives in the long run, particularly if the demand for nurse practitioners fluctuates. Additionally, there may be debates about the appropriateness of tax credits in sectors primarily governed by educational funding rather than private incentives. As the bill requires rigorous documentation to claim the credits, concerns regarding administrative burdens on both preceptors and the Department of Revenue might also surface.

Applicability

This tax credit will be applicable from the tax years starting January 1, 2026. The Department of Revenue is required to monitor the impact of the tax credit and submit reports on its activities, potentially providing valuable insights into the effectiveness and reach of the program.