1Amending the act of March 4, 1971 (P.L.6, No.2), entitled "An 
2act relating to tax reform and State taxation by codifying 
3and enumerating certain subjects of taxation and imposing 
4taxes thereon; providing procedures for the payment, 
5collection, administration and enforcement thereof; providing 
6for tax credits in certain cases; conferring powers and 
7imposing duties upon the Department of Revenue, certain 
8employers, fiduciaries, individuals, persons, corporations 
9and other entities; prescribing crimes, offenses and 
10penalties," providing for an Energy Star-related glass or 
11window technologies tax credit.

12The General Assembly of the Commonwealth of Pennsylvania
13hereby enacts as follows:

14Section 1. Article XVIII-C heading of the act of March 4, 
151971 (P.L.6, No.2), known as the Tax Reform Code of 1971, added 
16July 9, 2008 (P.L.922, No.66), is amended to read:

17ARTICLE XVIII-C

18[(RESERVED)]

19ENERGY STAR-RELATED GLASS

20OR WINDOW TECHNOLOGIES TAX CREDIT

21Section 2. The act is amended by adding sections to read:

1Section 1801-C. Definitions.

2The following words and phrases when used in this article
3shall have the meanings given to them in this section unless the
4context clearly indicates otherwise:

5"Department." The Department of Revenue of the Commonwealth.

6"Energy Star-related glass or window technologies tax credit" 
7or "tax credit." The credit provided under this article.

8"Energy Star-related glass or window technology." A glass or 
9window that has been certified as in compliance with and 
10qualifies as an Energy Star product pursuant to the 
11Environmental Protection Agency and the Department of Energy, 
12Energy Star Program and bears the Energy Star label.

13"Qualified tax liability." The liability for taxes imposed 
14under Article III, IV, V or VI. The term does not include any 
15tax withheld by an employer from an employee under Article III.

16"Taxpayer." An entity subject to tax under Article III, IV, 
17V or VI.

18Section 1802-C. Eligible applicants.

19A taxpayer that manufactures Energy Star-related glass or
20window technologies may apply for the Energy Star-related glass
21or window technologies tax credit as provided under this
22article. By February 1 of each year, a taxpayer must submit an
23application to the department for the amount of investment in
24the manufacturing of Energy Star-related glass or window
25technologies that was made in the taxable year that ended the
26prior calendar year.

27Section 1803-C. Award of tax credits.

28A taxpayer that is qualified under section 1802-C may receive
29an Energy Star-related glass or window technologies tax credit
30for the taxable year in an amount equal to 20% of the total

1amount of all capital, operation and maintenance costs paid for
2Energy Star-related glass or window technologies in the taxable
3year to be applied against the taxpayer's qualified tax
4liability.

5Section 1804-C. Carryover and carryback of credit.

6(a) Carryover.--If the taxpayer cannot use the entire amount
7of the Energy Star-related glass or window technologies tax
8credit for the taxable year in which the tax credit is first
9approved, the excess may be carried over to succeeding taxable
10years and used as a credit against the qualified tax liability
11of the taxpayer for those taxable years. Each time that the tax
12credit is carried over to a succeeding taxable year, it is to be
13reduced by the amount that was used as a credit during the
14immediately preceding taxable year. The tax credit may be
15carried over and applied to succeeding taxable years for no more
16than five taxable years following the first taxable year for
17which the taxpayer was entitled to claim the tax credit.

18(b) Application.--An Energy Star-related glass or window
19technologies tax credit approved by the department in a taxable
20year first shall be applied against the taxpayer's qualified tax
21liability for the current taxable year as of the date on which
22the tax credit was approved before the tax credit is applied
23against any tax liability under subsection (a).

24(c) Carryback.--A taxpayer is not entitled to carry back or
25obtain a refund of an unused Energy Star-related glass or window
26technologies tax credit.

27Section 1805-C. Availability of tax credits.

28Each fiscal year, $10,000,000 in tax credits shall be made
29available to the department and may be awarded by the department
30in accordance with this article.

1Section 1806-C. Regulations.

2The department shall promulgate regulations necessary for the
3implementation and administration of this article.

4Section 3. The addition of sections 1801-C, 1802-C, 1803-C,
51804-C, 1805-C and 1806-C of the act shall apply to tax years
6beginning after December 31, 2012.

7Section 4. This act shall take effect immediately.