(1) In computing the tax imposed under this chapter, a credit is allowed for participants in the Washington customized employment training program created in RCW 28B.67.020. The credit allowed under this section is equal to 50 percent of the value of a participant's payments to the employment training finance account created in RCW 28B.67.030. If a participant in the program does not meet the requirements of RCW 28B.67.020(2)(b)(ii), the participant must remit to the department the value of any credits taken plus interest. The credit earned by a participant in one calendar year may be carried over to be credited against taxes incurred in a subsequent calendar year. No credit may be allowed for repayment of training allowances received from the Washington customized employment training program on or after July 1, 2031.
(2) A person claiming the credit provided in this section must file a complete annual tax performance report with the department under RCW 82.32.534.
(3) By December 31, 2028, the college board, as defined in RCW 28B.50.030, shall submit to the higher education committees of the legislature a report on:
(a) The distribution of credit eligibility by county, as indicated by participants in the Washington customized employment training program created in RCW 28B.67.020;
(b) The distribution of qualified training institutions that provided trainings under the Washington customized employment training program, by county; and
(c) Efforts taken by the college board to encourage use of the credit by a greater variety of industries and participation of a greater variety of qualified training institutions, as defined in RCW 28B.67.010.
(4) This section expires July 1, 2033.