SB 467-FN-A – AS INTRODUCED
2010 SESSION
09/10
SENATE BILL 467-FN-A
AN ACT establishing job creation incentives under the business profits tax and the business enterprise tax.
SPONSORS: Sen. Bradley, Dist 3; Sen. Barnes, Jr., Dist 17; Sen. Bragdon, Dist 11; Sen. Carson, Dist 14; Sen. Cilley, Dist 6; Sen. Gallus, Dist 1; Sen. Letourneau, Dist 19; Sen. Roberge, Dist 9; Sen. Downing, Dist 22; Rep. Boutin, Merr 9; Rep. Wendelboe, Belk 1; Rep. Major, Rock 8
This bill allows a deduction from the business profits tax for each new employee for the first 2 years of employment. The bill also allows deductions from the business enterprise tax of compensation for new employees for the first 2 years of employment.
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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Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
10-2684
09/10
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Ten
AN ACT establishing job creation incentives under the business profits tax and the business enterprise tax.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 New Paragraph; Business Profits Tax; Deductions. Amend RSA 77-A:4 by inserting after paragraph XVIII the following new paragraph:
XIX. A deduction of $25,000 for each new employee who has been employed by the business organization for 2 years or less.
2 New Paragraph; Business Enterprise Tax; Special Adjustments. Amend RSA 77-E:3 by inserting after paragraph III the following new paragraph:
IV. In the case of a business enterprise, a deduction of an amount equal to compensation paid by the business enterprise to new employees during the first 2 years of their employment by such business enterprise.
3 Effective Date. This act shall take effect July 1, 2010.
LBAO
10-2684
12/30/09
SB 467-FN-A - FISCAL NOTE
AN ACT establishing job creation incentives under the business profits tax and the business enterprise tax.
FISCAL IMPACT:
The Department of Revenue Administration states the fiscal impact of this bill on state general and education trust fund revenue is indeterminable in FY 2011 and each fiscal year thereafter. This bill will have no fiscal impact on state, county and local expenditures or county and local revenue.
METHODOLOGY:
The Department of Revenue Administration states this bill allows a deduction from the business profits tax and business enterprise tax of compensation for new employees for the first 2 years of employment. The Department does not have data to determine the number of employees that a business would have that would qualify for this deduction and therefore did not estimate the fiscal impact of this bill. The Department further believes that allowing different tax treatment to taxpayers with new employees from all other business profits and business enterprise taxpayers may result in constitutional challenges.