Bill Text: PA HB83 | 2009-2010 | Regular Session | Introduced

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Bill Title: Establishing a tax credit for small businesses offering 12 weeks of paid family and medical leave annually; providing for tax credits for participating businesses; and conferring powers and imposing duties upon the Department of Revenue.

Spectrum: Strong Partisan Bill (Democrat 27-2)

Status: (Introduced - Dead) 2009-01-28 - Referred to FINANCE [HB83 Detail]

Download: Pennsylvania-2009-HB83-Introduced.html

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PRINTER'S NO. 75
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No. 83 Session of2009
INTRODUCED BY FRANKEL, BELFANTI, BRENNAN, CALTAGIRONE, DeLUCA, DONATUCCI, FREEMAN, GEORGE, GIBBONS, HORNAMAN, JOSEPHS, KOTIK, MAHONEY, MANDERINO, MANN, McGEEHAN, McILVAINE SMITH, MELIO, MURT, M. O'BRIEN, READSHAW, SCAVELLO, SIPTROTH, K. SMITH, SOLOBAY, STABACK AND WALKO, JANUARY 28, 2009
REFERRED TO COMMITTEE ON FINANCE, JANUARY 28, 2009
AN ACT
Amending the act of March 4, 1971 (P.L.6, No.2), entitled "An
act relating to tax reform and State taxation by codifying
and enumerating certain subjects of taxation and imposing
taxes thereon; providing procedures for the payment,
collection, administration and enforcement thereof; providing
for tax credits in certain cases; conferring powers and
imposing duties upon the Department of Revenue, certain
employers, fiduciaries, individuals, persons, corporations
and other entities; prescribing crimes, offenses and
penalties," establishing a tax credit for small businesses
offering 12 weeks of paid family and medical leave annually;
providing for tax credits for participating businesses; and
conferring powers and imposing duties upon the Department of
Revenue.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Article XVIII-C heading of the act of March 4,
1971 (P.L.6, No.2), known as the Tax Reform Code of 1971, added
July 9, 2008 (P.L.922, No.66), is amended to read:
ARTICLE XVIII-C
[(Reserved)]
PAID FAMILY AND MEDICAL LEAVE TAX CREDIT
Section 2. The act is amended by adding sections to read:
Section 1801-C. Short title.
This article shall be known and may be cited as the Paid
Family and Medical Leave Tax Credit Act.
Section 1802-C. Definitions.
The following words and phrases when used in this article
shall have the meanings given to them in this section unless the
context clearly indicates otherwise:
"Business firm." A corporation, partnership, sole
proprietorship or other entity with 500 employees or fewer that
is authorized to do business in this Commonwealth and subject to
any of the taxes imposed by Article III, IV, V, VI, VII, VIII,
IX, X or XV.
"Employee." An individual who has worked for a business firm
for at least 12 months and for 1,250 hours during the last year
and is eligible for family and medical leave under the Family
and Medical Leave Act of 1993 (Public Law 103-3, 29 U.S.C. §
2601 et seq.).
"Family and Medical Leave Act of 1993." The Family and
Medical Leave Act of 1993 (Public Law 103-3, 29 U.S.C. § 2601 et
seq.).
"Family leave." Time away from work to care for any of the
following:
(1) A person in an employee's family.
(2) A newborn, newly adopted child or a child.
(3) A spouse.
(4) A parent with a serious health condition.
"Medical leave." Time away from work to seek medical
treatment or to recover from an employee's own serious health
condition.
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"Tax credit." The paid family and medical leave tax credit
established by this article.
Section 1803-C. Purpose.
It shall be the purpose of this article to provide fiscal
incentives to small business owners to encourage them to provide
to employees 12 weeks of paid family and medical leave which may
be used consecutively with any leave granted under the Family
and Medical Leave Act of 1993.
Section 1804-C. Authorization of credit.
A business firm with fewer than 500 employees that chooses to
offer to employees 12 weeks of paid family and medical leave
which may be used consecutively and in addition to any leave
permitted under the Family and Medical Leave Act of 1993 shall
be eligible to receive the tax credit.
Section 1805-C. Calculation of credit.
The amount of the tax credit available to a business firm
which qualifies under this article shall be calculated as
follows:
(1) Business firms with 50 employees or fewer shall be
eligible to receive a 50% tax credit.
(2) Business firms with 50 to 100 employees shall be
eligible to receive a 40% tax credit.
(3) Business firms with 101 to 200 employees shall be
eligible to receive a 25% tax credit.
(4) Business firms with 201 to 300 employees shall be
eligible to receive a 20% tax credit.
(5) Business firms with 301 to 400 employees shall be
eligible to receive a 15% tax credit.
(6) Business firms with 401 to 500 employees shall be
eligible to receive a 10% tax credit.
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Section 1806-C. Taxes against which credit may be taken.
The tax credit may be applied against any tax due under
Article III, IV, V, VI, VII, VIII, IX, X or XV.
Section 1807-C. Limit on total credit.
The following limits are imposed on the tax credits:
(1) The total tax credit that may be claimed by any
single business firm shall not exceed $10,000 in any one
year.
(2) The total amount of all tax credits granted under
this article shall not exceed $10,000,000 in any one fiscal
year.
Section 1808-C. Powers and duties.
The Department of Revenue shall have the power and duty to do
all of the following:
(1) Promulgate and publish any rules and regulations
which may be required to implement this article.
(2) Publish as a notice in the Pennsylvania Bulletin
forms upon which taxpayers may apply for the tax credit.
(3) Within five months after the close of any calendar
year during which tax credits granted under this article were
used, furnish to the members of the General Assembly an
annual report concerning each business firm which used tax
credits during the preceding calendar year pursuant to this
article: the employer's name, address, standard industrial
classification code and the amount of tax credits granted.
Section 3. This act shall apply to taxable years beginning
on and after January 1, 2008.
Section 4. This act shall take effect immediately.
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