Pennsylvania SB 1175: An Act amending the act of April 12, 1951 (P.L.90, No.21), known as the Liquor Code, in licenses and regulations, liquor, alcohol and malt and brewed beverages, further providing for performing arts facility license.

Bill Text

PRINTER'S NO. 1516
THE GENERAL ASSEMBLY OF PENNSYLVANIA
SENATE BILL
No. 1175
Session of
2026
INTRODUCED BY HUGHES, SANTARSIERO, COSTA, TARTAGLIONE, SCHWANK,
KIM, HAYWOOD, STREET, KANE, FONTANA, PENNYCUICK AND
CAPPELLETTI, MARCH 18, 2026
REFERRED TO FINANCE, MARCH 18, 2026
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," in Innovate in PA Tax Credit, further providing
for legislative intent, for definitions, for duties, for use
of tax credits by qualified taxpayers, for sale, carryover
and carryback, for sale of tax credits to qualified
taxpayers, for Innovate in PA Program, for guidelines and for
report and providing for second distribution report.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Section 1802-F of the act of March 4, 1971
(P.L.6, No.2), known as the Tax Reform Code of 1971, is amended
to read:
Section 1802-F. Legislative intent.
It is the intent of this article to invest in innovation as a
catalyst for economic growth. Investment in the Ben Franklin
Technology Development Authority, the Ben Franklin Technology
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Partners, regional biotechnology research centers, the
[department] life sciences industry, workforce development
programs and venture capital funds will advance the
competitiveness of this Commonwealth's companies in the global
economy.
Section 2. The definition of "recipient" in section 1803-F
of the act is amended to read:
Section 1803-F. 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:
* * *
"Recipient." An entity that receives a distribution of funds
under section 1811-F(c) or section 1811-F(d).
* * *
Section 3. Section 1805-F(b) of the act is amended and the
section is amended by adding a subsection to read:
Section 1805-F. Duties.
* * *
(a.1) Sale of additional tax credits.--The department may
sell up to $350,000,000 in tax credits to qualified taxpayers.
The sale of the tax credits shall be in accordance with section
1808-F.
(b) Time of sale.--The sale authorized under subsection (a)
may not occur before October 1, 2013. The sale authorized under
subsection (a.1) may not occur prior to October 1, 2026.
Section 4. Section 1806-F(a) of the act is amended and
subsection (d) is amended by adding a paragraph to read:
Section 1806-F. Use of tax credits by qualified taxpayers.
(a) Use against insurance premiums tax liability.--A
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qualified taxpayer that purchases tax credits under [section
1805-F] section 1805-F(a) may claim the credits beginning in
calendar year 2017 against insurance premiums tax liability
incurred for a taxable year that begins on or after January 1,
2016. A qualified taxpayer that purchases tax credits under
section 1805-F(a.1) may claim the credits beginning in calendar
year 2030 against insurance premiums tax liability incurred for
a taxable year that begins on or after January 1, 2029.
* * *
(d) Limitations.--The following shall apply:
* * *
(1.1) The total amount of tax credits applied against
insurance premiums tax liability by all qualified taxpayers
in a fiscal year may not exceed $70,000,000 per year
beginning in calendar year 2030.
* * *
Section 5. Sections 1807-F(a) and 1808-F(g) of the act are
amended to read:
Section 1807-F. Sale, carryover and carryback.
(a) Carryover.--If the qualified 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, provided that the credit may not be carried over
to any taxable year that begins after December 31, 2025[.], for
tax credits sold under section 1805-F(a) and after December 31,
2034, for tax credits sold under section 1805-F(a.1).
* * *
Section 1808-F. Sale of tax credits to qualified taxpayers.
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* * *
(g) Limitation.--No tax credits may be sold under section
1805-F(a) if the bidding process, upon completion, has failed to
yield at least $40,000,000 in revenue. No tax credits may be
sold under section 1805-F(a.1) if the bidding process, upon
completion, has failed to yield at