TAX CREDITS: Postpones the termination of a tax credit for C-corporations for local inventory taxes paid but reduces the amount of the credit for those taxpayers (EG1 -$130,000,000 SD RV See Note)

HB 383 modifies an existing tax credit for C-corporations that pay local inventory taxes. It postpones the credit's termination from 2028 to 2027 and reduces the credit amount by 50% for tax years starting July 1, 2026, through June 30, 2027. This bill directly affects C-corporations subject to federal income tax that claim this specific local inventory tax credit. The change creates a temporary reduction in the credit value during the 2026-2027 transition period before the credit fully terminates. The bill is currently pending passage after recent committee amendments.