To amend the Internal Revenue Code of 1986 to allow a credit against income tax for contributions for scholarships to attend elementary and secondary schools, for upgrading elementary and secondary school facilities, and for expenses related to technology for elementary and secondary schools.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Voluntary Opportunities for 
Increasing Contributions to Education Act''.

SEC. 2. CREDIT FOR CONTRIBUTIONS FOR THE BENEFIT OF ELEMENTARY AND 
              SECONDARY SCHOOLS.

    (a) In General.--Subpart B of part IV of subchapter A of chapter 1 
of the Internal Revenue Code of 1986 is amended by adding at the end 
the following new section:

``SEC. 30B. CREDIT FOR CONTRIBUTIONS FOR THE BENEFIT OF ELEMENTARY AND 
              SECONDARY SCHOOLS.

    ``(a) Allowance of Credit.--There shall be allowed as a credit 
against the tax imposed by this chapter for the taxable year an amount 
equal to 75 percent of the qualified charitable contributions of the 
taxpayer for the taxable year.
    ``(b) Maximum Credit.--
            ``(1) Individuals.--In the case of a taxpayer other than a 
        corporation, the credit allowed by subsection (a) for any 
        taxable year shall not exceed $500 ($1,000 in the case of a 
        joint return).
            ``(2) Corporations.--In the case of a corporation, the 
        credit allowed by subsection (a) shall not exceed $100,000.
    ``(c) Qualified Charitable Contribution.--For purposes of this 
section--
            ``(1) In general.--The term `qualified charitable 
        contribution' means, with respect to any taxable year, the 
        aggregate amount allowable as a deduction under section 170 
        (determined without regard to subsection (d)(1)) for cash 
        contributions--
                    ``(A) to a school tuition organization,
                    ``(B) for the improvement, renovation, or 
                construction of a school facility that is used 
                primarily to provide education at the elementary or 
                secondary level, and
                    ``(C) for the acquisition of computer technology or 
                equipment (as defined in subparagraph (E)(i) of section 
                170(e)(6)), or for training related to the use of such 
                technology or equipment, for use in a school facility 
                described in subparagraph (B).
            ``(2) School tuition organization.--
                    ``(A) In general.--The term `school tuition 
                organization' means any organization which--
                            ``(i) is described in section 170(c)(2),
                            ``(ii) allocates at least 90 percent of its 
                        gross income and contributions and gifts to 
                        elementary and secondary school scholarships, 
                        and
                            ``(iii) awards scholarships to any student 
                        who is eligible for free or reduced cost lunch 
                        under the school program established under the 
                        Richard B. Russell National School Lunch Act.
                    ``(B) Elementary and secondary school 
                scholarship.--The term `elementary and secondary school 
                scholarship' means any scholarship excludable from 
                gross income under section 117 for expenses related to 
                education at or below the 12th grade.
            ``(3) School facility.--The term `school facility' shall 
        not include any stadium or other facility primarily used for 
        athletic contests or exhibitions or other events for which 
        admission is charged to the general public.
    ``(d) Special Rules.--
            ``(1) Denial of double benefit.--No deduction shall be 
        allowed under this chapter for any contribution for which 
        credit is allowed under this section.
            ``(2) Application with other credits.--The credit allowable 
        under subsection (a) for any taxable year shall not exceed the 
        excess (if any) of--
                    ``(A) the regular tax for the taxable year, reduced 
                by the sum of the credits allowable under subpart A and 
                the preceding sections of this subpart, over
                    ``(B) the tentative minimum tax for the taxable 
                year.
            ``(3) Controlled groups.--All persons who are treated as 
        one employer under subsection (a) or (b) of section 52 shall be 
        treated as 1 taxpayer for purposes of this section.
    ``(e) Election To Have Credit Not Apply.--A taxpayer may elect to 
have this section not apply for any taxable year.''.
    (b) Clerical Amendment.--The table of sections for subpart B of 
part IV of subchapter A of chapter 1 of such Code is amended by adding 
at the end the following new item:

                              ``Sec. 30B. Credit for contributions for 
                                        the benefit of elementary and 
                                        secondary schools.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2001.

Summary: Voluntary Opportunities for Increasing Contributions to Education Act - Amends the Internal Revenue Code to allow an annual tax credit of up to $500 for an individual and $100,000 for a corporation for 75 percent of the qualified charitable contributions made on behalf of elementary or secondary schools.