|Posted:||December 15, 2020 09:52 AM|
|From:||Representative Martina A. White|
|To:||All House members|
|Subject:||Net Operating Losses|
|In the near future, I plan to reintroduce legislation, previously HB1796, to extend the ability of businesses operating in the City of Philadelphia to carry-forward Net Operating Losses (NOLs).
Under current law, the City of Philadelphia is authorized to permit businesses operating in the city to carry-forward a NOL against their local Business Income and Receipts Tax (BIRT) for a three-year period. In December of 2018, the Philadelphia City Council voted 15:2 to extend this ability to 20 years upon authorization by the General Assembly.
As such, my legislation amends the “First Class City Business Tax Reform Act” to provide the necessary statutory authorization that will give effect to the passage of Bill No. 180909 by City Council. This measure will not only prove invaluable in strengthening the tax climate to attract and retain businesses but will also bring the city of Philadelphia in line with the current state-wide treatment of NOLs – which is also 20 years.
Please join me in co-sponsoring this legislation.
Introduced as HB324