AN ACT to create and enact a new section to chapter 57-38 and a new subdivision to subsection 7 of section 57-38-30.3 of the North Dakota Century Code, relating to a prison industries workforce development income tax credit; to provide for a legislative management study; and to provide an effective date.

The bill's section number was changed from 25.1273.01000 to 25.1273.02000, and the title was updated to reflect 'First Engrossment.'

The definition of eligible expenses was expanded to include the cost of labor from prison industries alongside purchased components.

Reporting requirements were updated to require taxpayers to submit substantiation of their primary sector status and a description of the components or labor purchased by January 31st.

New provisions were added to clarify that the tax commissioner must notify applicants of approved credits and must prescribe specific forms for administration.

The legislative management study regarding prison industries was moved to Section 3, while the effective date for the credit remains for taxable years beginning after December 31, 2024.