Revision: April 2, 2009, midnight
SB 182-FN-A – AS AMENDED BY THE SENATE
04/01/09 1086s
2009 SESSION
09/10
SENATE BILL 182-FN-A
AN ACT establishing a committee to study business tax credits.
This bill establishes a committee to study business tax credits and the revenues attributable to business tax credits and their effectiveness.
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Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
04/01/09 1086s
09-0889
09/10
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Nine
AN ACT establishing a committee to study business tax credits.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 Committee Established. There is established a committee to study business tax credits and the revenues attributable to business tax credits and their effectiveness.
2 Membership and Compensation.
I. The members of the committee shall be as follows:
(a) Three members of the senate, appointed by the president of the senate.
(b) Three members of the house of representatives, appointed by the speaker of the house of representatives.
II. Members of the committee shall receive mileage at the legislative rate when attending to the duties of the committee.
3 Duties. The committee shall study business tax credits and the revenues attributable to business tax credits, including, but not limited to:
I. The community development finance authority investment tax credit under RSA 162-L:10.
II. The economic revitalization zone tax credit under RSA 162-N.
III. The research and development tax credit under RSA 77-A:5, XIII.
IV. The Coos county job creation credit under RSA 162-Q.
V. The business profits tax credit for insurance taxes paid pursuant to RSA 400-A under RSA 77-A:5, III.
VI. The credit for business enterprise taxes against the business profits tax under RSA 77-A:5, X.
VII. The net loss carry forward provisions under the business profits tax and the business enterprise tax.
4 Chairperson; Quorum. The members of the study committee shall elect a chairperson from among the members. The first meeting of the committee shall be called by the first-named senate member. The first meeting of the committee shall be held within 45 days of the effective date of this section. Four members of the committee shall constitute a quorum.
5 Report. The committee shall report its findings and any recommendations for proposed legislation to the president of the senate, the speaker of the house of representatives, the senate clerk, the house clerk, the governor, and the state library on or before December 1, 2009.
6 Effective Date. This act shall take effect upon its passage.
LBAO
09-0889
Revised 02/20/09
SB 182 FISCAL NOTE
AN ACT establishing a job creation credit against the business profits tax and the business enterprise tax for businesses manufacturing energy efficient products.
FISCAL IMPACT:
The Department of Revenue Administration states this bill will decrease state general fund and state restricted revenues and increase state expenditures by an indeterminable amount in FY 2010 and each year thereafter. This bill will have no fiscal impact on county and local revenues and expenditures.
METHODOLOGY:
The Department of Revenue Administration states this bill establishes a job creation credit against the business profits tax (BPT) and the business enterprise tax (BET) for businesses manufacturing energy efficient products. The allowable tax credit is $750 for each qualified tax credit employee earning wages which are equal to or greater than 150% but less than 200% of the current state minimum wage and $1,000 for each qualified tax credit employee earning wages which are equal to or greater than 200% of the current state minimum wage. The tax credit is allowed for up to five consecutive tax periods and is certified by the Commissioner of the Department of Resources and Economic Development (DRED). The maximum total tax credit available over the five year period is either $3,750 or $5,000 per qualified tax credit employee. The Department has no information to determine how many businesses manufacturing energy efficient products will apply for these tax credits or how many tax credits will be certified by the Commissioner of DRED. The Department states it will incur costs related to administrative functions for production of forms and computer programming related to this bill. Since this credit can be used to offset BPT and BET, the Department states this bill will decrease state general fund and state restricted education trust fund revenues and increase state expenditures by an indeterminable amount in FY 2010 and each year thereafter.
The Department of Resources and Economic Development states this bill has no fiscal impact to the Department.
This bill does not contain an appropriation or establish positions.