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§ 8773-L. Application and approval of tax credit

Purdon's Pennsylvania Statutes and Consolidated StatutesTitle 72 P.S. Taxation and Fiscal AffairsEffective: January 3, 2023

Purdon's Pennsylvania Statutes and Consolidated Statutes
Title 72 P.S. Taxation and Fiscal Affairs
Chapter 5. Tax Reform Code of 1971 (Refs & Annos)
Article XVII-L. Pennsylvania Economic Development for a Growing Economy (PA Edge) Tax Credits (Refs & Annos)
Subarticle E. Semiconductor Manufacturing and Biomedical Manufacturing and Research
Effective: January 3, 2023
72 P.S. § 8773-L
§ 8773-L. Application and approval of tax credit
Currentness
(a) Determination of tax credit amount.--The annual tax credit amount may be determined based upon any one or more of the following:
(1) No more than 2.5% of the capital investment.
(2) No more than 100% of tax withheld from employees and paid under Article III1 or $20,000, whichever is less, for each permanent job at the project facility.
(b) Application.--
(1) A qualified taxpayer may apply to the department for a tax credit under this section.
(2) The application must be submitted to the department by March 1 for the tax credit claimed for semiconductor manufacturing, biomedical manufacturing or biomedical research conducted by the qualified taxpayer at the project facility during the prior calendar year.
(3) The application must be on the form required by the department which shall include the following:
(i) information required by the department to document the semiconductor manufacturing, biomedical manufacturing or biomedical research conducted at the project facility;
(ii) information required by the department to verify that the applicant is a qualified taxpayer; and
(iii) any other information as the department deems appropriate.
(c) Review and approval.--
(1) The department shall review the applications and shall issue an approval or disapproval by May 1.
(2) Upon approval, the department shall issue a certificate stating the amount of the tax credit granted for semiconductor manufacturing, biomedical manufacturing or biomedical research conducted at the project facility in the prior calendar year.
(d) Availability of tax credits.--
(1) Each fiscal year, $20,000,000 in tax credits shall be made available to the department in accordance with this subarticle.
(2) The department shall issue up to $10,000,000 in a fiscal year to the qualified taxpayer engaged in semiconductor manufacturing which first meets the qualifications to receive a tax credit under this subarticle.
(3) The department shall issue up to $10,000,000 in a fiscal year to the qualified taxpayer engaged in biomedical manufacturing or biomedical research which first meets the qualifications to receive a tax credit under this subarticle.
(4) An amount under paragraph (1) which remains unallocated under paragraph (2) or (3) shall be issued to the qualified taxpayer which next meets the qualifications to receive a tax credit under this subarticle.
(5) The total aggregate amount of tax credits awarded to a qualified taxpayer under this subarticle may not exceed 25% of the capital investment made to construct a project facility.

Credits

1971, March 4, P.L. 6, No. 2, art. XVII-L, § 1773-L, added 2022, Nov. 3, P.L. 1695, No. 108, § 16, effective in 60 days [Jan. 3, 2023].

Footnotes

1
72 P.S. § 7301 et seq.
72 P.S. § 8773-L, PA ST 72 P.S. § 8773-L
Current through Act 11 of the 2024 Regular Session. Some statute sections may be more current, see credits for details.
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