§ 26-51-447 - Deductions -- Tuition to post-secondary educational institutions.
26-51-447. Deductions -- Tuition to post-secondary educational institutions.
(a) In computing net income for the purposes of the Arkansas Income Tax Act, as amended, 26-51-101 et seq., there shall be allowed as a deduction in addition to all other deductions allowed by law for a portion of the amount paid by the taxpayer as tuition for the taxpayer, the taxpayer's spouse or dependent to attend a post-secondary educational institution. The deduction shall be equal to fifty percent (50%) of the lesser of either the amount of tuition paid or the weighted average tuition for post-secondary educational institutions of the same classification.
(b) On or before November 30, 1998 of each year thereafter, the director shall determine the weighted average tuition of post-secondary institutions of each of the following classifications:
(1) Four-year institutions of higher education;
(2) Two-year institutions of higher education; and
(3) Technical institutes.
(c) (1) For the purpose of this section, "weighted average tuition" means the tuition cost resulting from the following calculation:
(A) Add the products of the annual tuition at each state-supported post-secondary institution of the same classification multiplied by that institution's total number of fiscal-year-equated students; and
(B) Divide the gross total of the product from subdivision (1)(A) of this subsection by the total number of fiscal-year-equated students attending each state-supported post-secondary institution of the same classification.
(2) For four-year institutions of higher education only undergraduate tuition and undergraduate students shall be used in calculating weighted average tuition.