H1189B2742A05045 NAD:JSL 04/14/20 #90 A05045
AMENDMENTS TO HOUSE BILL NO. 1189
Sponsor: REPRESENTATIVE SAYLOR
Printer's No. 2742
Amend Bill, page 3, lines 11 through 21, by striking out all
of said lines and inserting
Amending Titles 35 (Health and Safety) and 75 (Vehicles) of the
Pennsylvania Consolidated Statutes, providing for volunteer
emergency responders employer tax credit; and, in general
provisions, providing for extensions for COVID-19 disaster
emergency.
Amend Bill, page 16, lines 29 and 30; pages 17 through 20,
lines 1 through 30; page 21, lines 1 through 5; by striking out
all of said lines on said pages and inserting
Section 1. Title 35 of the Pennsylvania Consolidated
Statutes is amended by adding a chapter to read:
CHAPTER 74A
COVID-19 VOLUNTEER EMERGENCY RESPONDERS
EMPLOYER TAX CREDIT
Sec.
74A01. Scope of chapter.
74A02. Definitions.
74A03. Volunteer responders employer tax credit.
74A04. Limitations.
74A05. Carryover, carryback and sale or assignment of tax
credit.
74A06. Department duties.
74A07. Applicability.
§ 74A01. Scope of chapter.
This chapter relates to the volunteer responders employer tax
credit.
§ 74A02. Definitions.
The following words and phrases when used in this chapter
shall have the meanings given to them in this section unless the
context clearly indicates otherwise:
"Department." The Department of Community and Economic
Development of the Commonwealth.
"Line of duty." Going to, coming from or during fire
prevention and safety activities, including fire prevention,
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first aid, rescue and salvage, ambulance service, fire police
work, assistance at accidents, control of crowds both on the
fire grounds and at occasions of public or general assembly,
animal rescue, abatement of conditions due to storm, flood or
general peril, abatement or removal of hazards to safety and
other activities as are commonly undertaken by fire companies,
ambulance services or rescue squads or affiliated organizations.
"Qualified tax liability." The liability for taxes imposed
under Article III, IV, VI, VII, VIII, IX or XV of the act of
March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of
1971. The term shall not include tax withheld by an employer
from an employee under Article III of the Tax Reform Code of
1971.
"Tax credit." The volunteer emergency responders employer
tax credit provided under this chapter.
"Taxpayer." A person that has a qualified tax liability as
defined in this chapter.
"Volunteer emergency responder." A member of a volunteer
emergency service organization who is in the employ of the
Commonwealth, a political subdivision or an employer.
"Volunteer emergency service organization." An organization
that is a volunteer fire company, volunteer ambulance service or
volunteer rescue company, as those terms are defined in this
title, or volunteer hazardous material response team.
§ 74A03. Volunteer responders employer tax credit.
(a) Application.--A taxpayer may apply to the department for
a tax credit under this section. The application shall be
submitted on the form required by the department and shall
include all of the following information:
(1) The name and address of the taxpayer.
(2) Documentation of the following for each eligible
volunteer emergency responder in which a tax credit is being
claimed:
(i) the name of the volunteer emergency responder;
(ii) the address of the volunteer emergency
responder;
(iii) The number of hours the volunteer emergency
responder missed work due to serving in the line of duty;
and
(iv) the amount of wages paid to the volunteer
emergency responder during missed work due to serving in
the line of duty.
(3) Any other information required by the department.
(b) Review and approval.--The department shall:
(1) Review and approve applications according to the
order applications are received and the availability of tax
credits.
(2) Notify an applicant within 30 days of receipt of the
application of the department's determination.
(c) Certificate.--Upon approval of an application, the
department shall award the taxpayer a tax credit to be used
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against qualified tax liabilities in accordance with this
chapter and issue the recipient a tax credit certificate.
§ 74A04. Limitations.
(a) Amount.--A tax credit certificate issued under this
section shall equal the least of the sum of wages paid to all
the taxpayer's volunteer emergency responders during the taxable
year in which the tax credit is being sought, 20% of a
taxpayer's qualified tax liability or $10,000.
(b) Prohibition.--In granting tax credits, the department
may not grant more than $5,000,000 in tax credit certificates in
a fiscal year.
§ 74A05. Carryover, carryback and sale or assignment of tax
credit.
(a) General rule.--If the taxpayer cannot use the entire
amount of the tax credit for the taxable year in which the
taxpayer is eligible for the credit, 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 the tax credit is carried over to a succeeding
taxable year, it shall be reduced by the amount that was used as
a credit during the immediately preceding taxable year. The tax
credit provided by this chapter may be carried over and applied
to succeeding taxable years for no more than one taxable year
following the first taxable year for which the taxpayer was
entitled to claim the credit.
(b) Application.--A tax credit approved by the department in
a taxable year shall first be applied against the taxpayer's
qualified liability for the current taxable year as of the date
on which the credit was approved before the tax credit can be
applied against any tax liability under subsection (a).
(c) Limitations.--A taxpayer is not entitled to carry back,
obtain a refund of, sell or assign an unused tax credit.
§ 74A06. Department duties.
(a) Guidelines.--The department shall develop written
guidelines necessary for the implementation and administration
of this chapter. The guidelines shall be posted on the
department's publicly accessible Internet website.
(b) Report to General Assembly.--
(1) No later than June 1, 2021, and each June 1
thereafter, the department shall submit a report on the
effectiveness of the tax credits granted under this chapter.
The report shall include the names of taxpayers who were
issued tax credits as of the date of the report. The report
may include recommendations for changes in the calculation or
administration of the tax credits and other information as
the department deems appropriate.
(2) The report shall be submitted to all of the
following:
(i) The chairperson and minority chairperson of the
Appropriations Committee of the Senate.
(ii) The chairperson and minority chairperson of the
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Finance Committee of the Senate.
(iii) The chairperson and minority chairperson of
the Appropriations Committee of the House of
Representatives.
(iv) The chairperson and minority chairperson of the
Finance Committee of the House of Representatives.
§ 74A07. Applicability.
This chapter shall apply to taxable years beginning after
December 31, 2019.
Section 2. Title 75 is amended by adding a section to read:
§ 105. Extensions for COVID-19 disaster emergency.
The following shall be extended during the the Governor's
declaration of disaster emergency issued on March 6, 2020,
published at 50 Pa.B. 1644 (March 21, 2020), and for 60 days
after the declaration of disaster emergency is terminated by
executive order, proclamation or operation of law:
(1) The expiration of a registration under section 1307
(relating to period of registration).
(2) The expiration of a person with disability parking
placard under section 1338(b) (relating to person with
disability plate and placard).
(3) The expiration of drivers' licenses under section
1514 (relating to expiration and renewal of drivers'
licenses).
Section 3. This act shall take effect as follows:
(1) The addition of 35 Pa.C.S. Ch. 74A shall take effect
immediately.
(2) The remainder of this act shall take effect in 60
days.
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