Legislation Quick Search
06/08/2023 11:45 PM
Pennsylvania House of Representatives
Home / House Co-Sponsorship Memoranda

House Co-Sponsorship Memoranda

Subscribe to PaLegis Notifications

Subscribe to receive notifications of new Co-Sponsorship Memos circulated

By Member | By Date | Keyword Search

House of Representatives
Session of 2015 - 2016 Regular Session


Posted: February 2, 2016 02:24 PM
From: Representative James R. Santora
To: All House members
Subject: EITC- Educational Improvement Tax Credit - Budget Impasse
Please join me in cosponsoring legislation that would resolve issues relating to the issuance of the Educational Improvement Tax Credit (EITC) and the Opportunity Scholarship Tax Credits (OSTC). This legislation will resolve issues that have arisen this fiscal year and will ensure that the issues will not re-appear in the future.
During the impasse over the 2015-2016 budget, the Department of Community and Economic Development did not issue award letters for the EITC and OSTC until the last week of December. As a result, business firms that applied to make contributions to scholarship programs and innovative education programs did not have enough time to make the planned contribution during their 2015 taxable year. This legislation allows those credits to be used in the correct taxable year.
To avoid this issue in the future, the legislation sets deadlines for the issuance of the award letters. Further, the legislation reaffirms the legislature’s intent that, as permanent statutory tax credit programs, no annual appropriation or re-authorization is necessary for the programs to continue to operate, even amid a budget impasse.
I ask for your support in resolving this year’s issues with the operation of the EITC and the OSTC and in ensuring that the same issues do not arise in the future.

Introduced as HB1876