PRINTER'S NO. 1402
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No.
1180
Session of
2017
INTRODUCED BY SIMS, FREEMAN, O'BRIEN, SCHWEYER AND McNEILL,
APRIL 12, 2017
REFERRED TO COMMITTEE ON FINANCE, APRIL 12, 2017
AN ACT
Amending the act of March 4, 1971 (P.L.6, No.2), entitled "An
act relating to tax reform and State taxation by codifying
and enumerating certain subjects of taxation and imposing
taxes thereon; providing procedures for the payment,
collection, administration and enforcement thereof; providing
for tax credits in certain cases; conferring powers and
imposing duties upon the Department of Revenue, certain
employers, fiduciaries, individuals, persons, corporations
and other entities; prescribing crimes, offenses and
penalties," providing for an Energy Star-related glass or
window technologies tax credit.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. The act of March 4, 1971 (P.L.6, No.2), known as
the Tax Reform Code of 1971, is amended by adding an article to
read:
ARTICLE XVIII-H
ENERGY STAR-RELATED GLASS
OR WINDOW TECHNOLOGIES TAX CREDIT
Section 1801-H. Definitions.
The following words and phrases when used in this article
shall have the meanings given to them in this section unless the
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context clearly indicates otherwise:
" Department. " The Department of Revenue of the Commonwealth.
" Energy Star-related glass or window technologies tax credit "
or " tax credit. " The credit provided under this article.
" Energy Star-related glass or window technology. " A glass or
window that has been certified as in compliance with and
qualifies as an Energy Star product under the Environmental
Protection Agency and the Department of Energy, Energy Star
Program and bears the Energy Star label.
" Qualified tax liability. " The liability for taxes imposed
under Article III, IV, V or VI. The term does not include any
tax withheld by an employer from an employee under Article III.
" Taxpayer. " An entity subject to tax under Article III, IV,
V or VI.
Section 1802-H. Eligible applicants.
A taxpayer that manufactures Energy Star-related glass or
window technologies may apply for the Energy Star-related glass
or window technologies tax credit as provided under this
article. By February 1 of each year, a taxpayer must submit an
application to the department for the amount of investment in
the manufacturing of Energy Star-related glass or window
technologies that was made in the taxable year that ended the
prior calendar year.
Section 1803-H. Award of tax credits.
A taxpayer that is qualified under section 1802-H may receive
an Energy Star-related glass or window technologies tax credit
for the taxable year in an amount equal to 20% of the total
amount of all capital, operation and maintenance costs paid for
Energy Star-related glass or window technologies in the taxable
year to be applied against the taxpayer's qualified tax
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liability.
Section 1804-H. Carryover and carryback of tax credit.
(a) Carryover.--If the taxpayer cannot use the entire amount
of the Energy Star-related glass or window technologies tax
credit for the taxable year in which the tax credit is first
approved, the excess may be carried over to succeeding taxable
years and used as a credit against the qualified tax liability
of the taxpayer for those taxable years. Each time that the tax
credit is carried over to a succeeding taxable year, it is to be
reduced by the amount that was used as a credit during the
immediately preceding taxable year. The tax credit may be
carried over and applied to succeeding taxable years for no more
than five taxable years following the first taxable year for
which the taxpayer was entitled to claim the tax credit.
(b) Application.--An Energy Star-related glass or window
technologies tax credit approved by the department in a taxable
year first shall be applied against the taxpayer's qualified tax
liability for the current taxable year as of the date on which
the tax credit was approved before the tax credit is applied
against any tax liability under subsection (a).
(c) Carryback.--A taxpayer is not entitled to carry back or
obtain a refund of an unused Energy Star-related glass or window
technologies tax credit.
Section 1805-H. Availability of tax credits.
Each fiscal year, $10,000,000 in tax credits shall be made
available to the department and may be awarded by the department
in accordance with this article.
Section 1806-H. Regulations.
The department shall promulgate regulations necessary for the
implementation and administration of this article.
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Section 2. The addition of sections 1801-H, 1802-H, 1803-H,
1804-H, 1805-H and 1806-H of the act shall apply to tax years
beginning after December 31, 2016.
Section 3. This act shall take effect immediately.
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