Budget & Taxes (Tax Credits)

in committee · Pennsylvania · House Jun 5, 2025

HB 1561: An Act providing for a tax credit for retrofitting residential high-rise structures with an automatic fire sprinkler system and associated monitoring or detection devices.

HB 1561 offers a tax credit to owners of residential high-rise buildings for installing automatic fire sprinkler systems and related monitoring or detection devices. The bill directly affects property owners or managers of qualifying high-rise residential structures who undertake these retrofits. It provides a financial incentive by allowing eligible taxpayers to reduce their state income tax liability based on the cost of the qualifying fire safety equipment. The credit aims to encourage improved fire safety in multi-story residential buildings through direct cost savings for property owners.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides tax credit reducing state income tax liability for fire safety retrofits, offering direct tax relief to property owners.95% confidence

Sub-Topics Government Spending Income Tax Tax Credits

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in committee · Pennsylvania · House Jun 25, 2025

HB 1662: An Act amending the act of April 9, 1929 (P.L.343, No.176), known as The Fiscal Code, providing for tax credit for Pennsylvania child learning investment.

HB 1662 would create a new tax credit under Pennsylvania's Fiscal Code for families who pay for early childhood education or learning materials for their children. Eligible taxpayers could reduce their state income tax bill by the amount spent on qualifying expenses, such as preschool tuition or educational supplies. The bill specifically targets child learning investments to offset costs for early education resources. It is currently referred to the House Finance Committee for further review.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates tax credit reducing state income tax for early education expenses, providing relief for families per Fiscal Code amendment.90% confidence ✓ EducationSupports EducationCreates tax credit for early childhood education expenses, increasing access to learning resources and reducing costs for families.95% confidence

Sub-Topics Income Tax Tax Credits Early Childhood Higher Education

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in committee · Pennsylvania · House May 29, 2025

HB 1514: An Act amending the act of March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of 1971, in personal income tax, providing for tax paid on tipped wages.

HB 1514 creates a tax credit for Pennsylvania taxpayers who earn tips, allowing them to get back the income tax paid on those tips. The credit equals 100% of the tax paid on "tipped wages" (wages received as voluntary customer tips, not set by employers) and is fully refundable, meaning it can reduce tax bills or generate refunds even if no tax was owed. Taxpayers must claim the credit using their employer's statement of tipped wages (required under 34 Pa. Code § 231.36) when filing their annual tax return on the standard PA 40 form. This change applies to tax returns for years starting after December 31, 2025.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates refundable tax credit for tipped wages, reducing tax burden on lower/middle income earners through direct tax relief.95% confidence ✓ Labor & EmploymentSupports Labor & EmploymentBill provides refundable tax credit for tipped wages, directly increasing net earnings for workers reliant on tips, aligning with wage support indicators.95% confidence

Sub-Topics Income Tax Tax Credits

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in committee · Pennsylvania · House Jun 10, 2025

HB 1586: An Act amending the act of March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of 1971, in personal income tax, providing for tax paid on overtime wages.

HB 1586 creates a refundable tax credit for Pennsylvania taxpayers who earn overtime wages. It allows eligible workers to reduce their state income tax bill by 100% of taxes paid on overtime wages, calculated using employer-provided documentation (as required by 34 Pa. Code § 231.36). The credit applies to tax returns filed for taxable years beginning after December 31, 2025, and will be integrated into the standard PA 40 tax form. This directly affects Pennsylvania workers receiving overtime pay under the Minimum Wage Act of 1968.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides refundable tax credit reducing state income tax for overtime workers, offering direct tax relief to eligible taxpayers (middle/lower income), aligning with tax relief indicators.95% confidence ✓ Labor & EmploymentSupports Labor & EmploymentProvides refundable tax credit for overtime wages, directly increasing workers' net compensation by eliminating tax on overtime earnings.95% confidence

Sub-Topics Income Tax Tax Credits Labor Standards Minimum Wage

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in committee · Pennsylvania · House Jun 26, 2025

HB 1672: An Act amending the act of March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of 1971, providing for Firefighter and Emergency Medical Service Provider Recruitment and Retention Tax Credit.

HB 1672 creates a $2,500 annual tax credit against individual income tax for active paid or volunteer firefighters and emergency medical service (EMS) providers in Pennsylvania. It directly affects qualifying professionals working in fire or EMS roles as defined by state law, including career responders and volunteers. The credit reduces tax owed on wages earned, applies for up to three years (the year they become qualified plus the next two), and requires proof of eligibility to the Department of Revenue. The credit expires for new applicants after 2028 and ends entirely by December 31, 2031.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides $2,500 annual tax credit for firefighters/EMS, reducing tax burden for essential workers, aligning with tax relief for middle/lower income.95% confidence ✓ HealthcareSupports HealthcareTax credit for EMS providers strengthens healthcare workforce retention, improving emergency medical access and supporting medical professionals.85% confidence

Sub-Topics Income Tax Tax Credits

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in committee · Pennsylvania · Senate Jun 22, 2026

SB 792: An Act amending the act of March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of 1971, in research and development tax credit, further providing for definitions, for credit for research and development expenses and for limitation on credits.

SB 792 sets annual limits on Pennsylvania's research and development (R&D) tax credit program. It caps total annual credits at $120 million, with $24 million specifically reserved for small businesses. Unused portions of either the small business allocation or the general allocation can roll over to the other group if not fully claimed in a given year. This bill directly affects businesses claiming R&D tax credits in Pennsylvania, particularly small businesses that receive priority funding. The change modifies the existing tax credit structure under the 1971 Tax Reform Code.

Topics ✗ Budget & TaxesOpposes Budget & TaxesBill caps R&D tax credit at $120M total, restricting credit availability and limiting program funding per tax policy framework.95% confidence ✓ TechnologySupports TechnologyBill provides R&D tax credits with $24M reserved for small tech businesses, directly funding technology innovation through tax incentives.90% confidence

Sub-Topics Business Taxes Tax Credits Tags Small Business

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in committee · Pennsylvania · Senate Mar 6, 2025

SB 401: An Act amending the act of March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of 1971, in tax credit and tax benefit administration, further providing for definitions; and providing for the Pennsylvania National Guard employer tax credit.

SB 401 creates a $1,000 tax credit for Pennsylvania employers who hire, have an employee enlist, or have an employee reenlist in the Pennsylvania National Guard. The credit applies against taxes under Articles III or IV of the Tax Reform Code and can be carried over for up to three years if not fully used in the first year. The total annual credit amount is capped at $5 million, with unused credits allocated proportionally if the cap is exceeded. This credit applies to tax years beginning after December 31, 2025, and requires employers to claim it in their first eligible tax year.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates $1,000 employer tax credit for National Guard hiring, reducing tax burden per tax relief indicators95% confidence ✓ VeteransSupports VeteransCreates $1,000 tax credit for employers hiring PA National Guard members, directly supporting veteran employment through financial incentive.85% confidence

Sub-Topics Tax Credits National Guard & Reserve

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in committee · Pennsylvania · Senate Sep 4, 2025

SB 986: An Act amending the act of March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of 1971, in Pennsylvania Economic Development for a Growing Economy (PA EDGE) Tax Credits, providing for Pennsylvania space economy.

SB 986 amends Pennsylvania's Tax Reform Code of 1971 to create a new tax credit under the PA EDGE economic development program specifically for businesses in the space economy. This provision would allow eligible space industry companies - such as those involved in satellite manufacturing, launch services, or space-related research - to claim tax credits for job creation and capital investments within Pennsylvania. The credits would reduce these businesses' state income tax liability, aiming to incentivize growth in the state's emerging space sector. The bill is currently referred to the Finance committee for further review.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates tax credits for space industry businesses, reducing their state income tax liability under PA EDGE program to incentivize economic development.95% confidence ✓ TechnologySupports TechnologyCreates tax credits for space industry businesses (satellite manufacturing, launch services), directly promoting growth in technology sector through economic incentives.95% confidence

Sub-Topics Income Tax Tax Credits Tax Incentives

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in committee · Pennsylvania · Senate Jun 18, 2025

SB 853: An Act amending the act of March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of 1971, providing for small business minimum wage increase tax credit.

SB 853 creates a tax credit for small Pennsylvania businesses (with 50 or fewer full-time equivalent employees) affected by minimum wage increases. It allows employers to claim a credit equal to 50% of the wage increase cost in the first year after a minimum wage hike, and 25% in the second year, against their state tax liability. Unused credit can be carried over for up to three years but cannot be refunded or carried back. Pass-through businesses may also transfer unused credits to owners in proportion to their share of business income.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates tax credit reducing state tax liability for small businesses affected by minimum wage hikes, providing tax relief for middle-income employers.95% confidence ✓ Labor & EmploymentSupports Labor & EmploymentProvides tax credit to help small businesses comply with minimum wage hikes, supporting worker wage increases without restricting employer obligations.85% confidence

Sub-Topics Business Taxes Tax Credits Minimum Wage Tags Small Business

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in committee · Pennsylvania · House Jul 22, 2025

HB 1749: An Act amending the act of March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of 1971, in sales and use tax, further providing for exclusions from tax; and establishing a fueling opportunities for the revitalization, growth and efficiency of steel tax credit.

HB 1749 amends Pennsylvania's 1971 Tax Reform Code to modify sales and use tax exclusions and create a new tax credit specifically for the steel industry. The bill establishes a "fueling opportunities" tax credit aimed at supporting steel businesses engaged in revitalization, growth, and operational efficiency. This credit directly affects steel manufacturers and related businesses by potentially reducing their tax burden for qualifying activities. The bill focuses on concrete tax code changes rather than broader policy shifts, with its key mechanism being the new credit program within the existing tax framework.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates a tax credit for steel businesses, reducing their tax burden per bill's tax code amendment, directly advancing tax policy for industry growth.90% confidence

Sub-Topics Sales Tax Tax Credits

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