Pennsylvania HB 1094: An Act amending the act of March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of 1971, providing for historic homeownership preservation incentive tax credit; imposing duties on the Department of Community and Economic Development and the Pennsylvania Historical and Museum Commission; and establishing the Historic Homeowner Preservation Tax Credit Administration Fund.

Bill Text

PRINTER'S NO. 1189
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No. 1094
Session of
2025
INTRODUCED BY CIRESI, JAMES, SANCHEZ, WAXMAN, HILL-EVANS,
MADDEN, MAYES, GIRAL, NEILSON, PROBST, CEPEDA-FREYTIZ,
MALAGARI, HOWARD, D. WILLIAMS, BRENNAN, STEELE, SAPPEY,
BOROWSKI AND GREEN, MARCH 31, 2025
REFERRED TO COMMITTEE ON HOUSING AND COMMUNITY DEVELOPMENT,
MARCH 31, 2025
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," providing for historic homeownership preservation
incentive tax credit; imposing duties on the Department of
Community and Economic Development and the Pennsylvania
Historical and Museum Commission; and establishing the
Historic Homeowner Preservation Tax Credit Administration
Fund.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. The act of March 4, 1971 (P.L.6, No.2), known as
the Tax Reform Code of 1971, is amended by adding an article to
read:
ARTICLE XVII-H.1
HISTORIC HOMEOWNERSHIP PRESERVATION INCENTIVE TAX CREDIT
Section 1701-H.1. Scope of article.
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This article relates to the historic homeownership
preservation incentive tax credit.
Section 1702-H.1. 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:
"Certified historic property." A property located within
this Commonwealth that is:
(1) l isted individually in the National Register of
Historic Places;
(2) located in a historic district listed in the
National Register of Historic Places and identified as a
contributing building in the National Register of Historic
Places or as determined by the commission;
(3) individually designated as a historic property by
local ordinance; or
(4) located in a historic district that is:
(i) certified by the commission under the act of
June 13, 1961 (P.L.282, No.167), entitled "An act
authorizing counties, cities, boroughs, incorporated
towns and townships to create historic districts within
their geographic boundaries; providing for the
appointment of Boards of Historical Architectural Review;
empowering governing bodies of political subdivisions to
protect the distinctive historical character of these
districts and to regulate the erection, reconstruction,
alteration, restoration, demolition or razing of
buildings within the historic districts";
( ii) established by a municipality that has adopted
a home rule charter; or
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(iii) established by a municipality under the act of
July 31, 1968 (P.L.805, No.247), known as the
Pennsylvania Municipalities Planning Code.
"Commission." The Pennsylvania Historical and Museum
Commission.
"Completed project." The completion of the rehabilitation of
a qualified historic home in accordance with a qualified
rehabilitation plan. If the property is unoccupied, the owner
shall obtain an occupancy certificate prior to completing the
project.
"Department." The Department of Community and Economic
Development of the Commonwealth.
"Internal Revenue Code." 26 U.S.C. § 1 et seq. (Internal
Revenue Code of 1986), as amended.
"Qualified census tract." A federally qualified census tract
or area of chronic economic distress that is identified by the
department and is:
(1) at 100% or below the State family median income
level; or
(2) designated as a qualified opportunity zone under 26
U.S.C. § 1400Z-1 (relating to designation).
"Qualified expenditures." As follows:
(1) The costs and expenses that:
(i) are properly chargeable to a capital account;
(ii) are incurred by a qualified taxpayer in the
rehabilitation of a qualified historic home pursuant to a
qualified rehabilitation plan; and
(iii) adhere to the guidelines for eligible
rehabilitation expenditures developed under section 1705-
H.1.
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(2) The term does not include:
(i) The cost of acquiring a building or interest in
a building.
(ii) An expenditure attributable to the enlargement
of an existing building.
(iii) Expenditures related to interior improvements
or maintenance, except as necessary to stabilize or
structurally support the qualified historic home's
exteriors.
(3) The commission may develop guidelines on the types
of costs and expenses that are appropriately determined to be
qualified expenditures.
"Qualified hist