PRINTER'S NO. 1430
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No.
1306
Session of
2023
INTRODUCED BY SCHEUREN AND CONKLIN, JUNE 5, 2023
REFERRED TO COMMITTEE ON FINANCE, JUNE 5, 2023
AN ACT
Amending Title 75 (Vehicles) of the Pennsylvania Consolidated
Statutes, providing for school vehicle driver tax credit; and
making editorial changes.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Chapter 98 heading of Title 75 of the
Pennsylvania Consolidated Statutes is amended to read:
CHAPTER 98
[MOTORBUS ROAD TAX CREDIT OR REFUND] TAXATION PROVISIONS
Section 2. Chapter 98 is amended by adding a subchapter
heading immediately after the chapter heading to read:
SUBCHAPTER A
MOTORBUS ROAD TAX CREDIT OR REFUND
Section 3. Chapter 98 is amended by adding a subchapter to
read:
SUBCHAPTER B
SCHOOL VEHICLE DRIVER TAX CREDIT
Sec.
9831. Scope of subchapter.
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9832. Definitions.
9833. School Vehicle Driver Tax Credit Program.
9834. Application process.
9835. Tax credits.
9836. Carryover, carryback and refund.
9837. Reports.
§ 9831. Scope of subchapter.
This subchapter relates to the school vehicle driver tax
credit.
§ 9832. Definitions.
The following words and phrases when used in this subchapter
shall have the meanings given to them in this section unless the
context clearly indicates otherwise:
"Qualified taxpayer." A taxpayer who qualifies as provided
in this subchapter for the tax credit.
"School vehicle driver." An individual who:
(1) possesses a valid school bus endorsement under
section 1509 (relating to qualifications for school bus
driver endorsement) and receives compensation to drive a
school bus; or
(2) receives compensation to drive a school vehicle.
"Tax credit." The school vehicle driver tax credit
authorized under this subchapter.
"Taxpayer." An individual who is a resident of this
Commonwealth and has tax liability under Article III of the act
of March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of
1971.
§ 9833. School Vehicle Driver Tax Credit Program.
(a) Establishment.--The School Vehicle Driver Tax Credit
Program is established in the department to provide an
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incentive, in the form of a tax credit, for taxpayers to become
and remain school vehicle drivers.
(b) Maximum amount.--A qualified taxpayer may claim a tax
credit in an amount not to exceed $2,500 in a taxable year if
the qualified taxpayer works as a school vehicle driver and
meets the requirements of this subchapter.
§ 9834. Application process.
(a) General rule.--A taxpayer may become a qualified
taxpayer if:
(1) The taxpayer has worked as a school vehicle driver
for a total of not less than 180 days in a calendar year.
(2) The taxpayer completes and submits an application on
a form acceptable to the department.
(b) Procedure.--The department shall consult with the
Department of Transportation and the employer of a school
vehicle driver, or with whom the school vehicle driver has
entered into a contract for school vehicle driving services, as
necessary to determine whether the school vehicle driver
satisfies the requirements to be a qualified taxpayer and
receive a tax credit.
(c) Notification.--The department shall notify a school
vehicle driver whether the school vehicle driver meets the
requirements for the tax credit no later than 60 days after the
school vehicle driver has submitted the application required
under this section.
(d) Expiration.--The department may not approve an
application for a tax credit under this article after June 30,
2026.
§ 9835. Tax credits.
(a) Applicable taxes.--A qualified taxpayer may apply the
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tax credit against the qualified taxpayer's personal income tax
liability under Article III of the act of March 4, 1971 (P.L.6,
No.2), known as the Tax Reform Code of 1971.
(b) Availability.--For a fiscal year beginning after June
30, 2023, and ending prior to July 1, 2026, the department may
approve not more than $10,000,000 in tax credits.
§ 9836. Carryover, carryback and refund.
(a) General rule.--If a qualified taxpayer cannot use the
entire amount of the tax credit for the taxable year in which
the tax credit is first approved, the excess may be carried over
to succeeding taxable years and used as a tax credit against the
tax liability of the qualified taxpayer for those taxable years.
Each time the tax credit is carried over to a succeeding taxable
year, the tax credit shall be reduced by the amount that was
used as a tax credit during the immediately preceding taxable
year. The tax credit under this subchapter may be carried over
and applied to succeeding taxable years for three taxable years
following the first taxable year the qualified taxpayer was
entitled to claim the tax credit.
(b) Application.--A tax credit certificate received by the
department in a taxable year shall first be applied against the
qualified taxpayer's tax liability for the current taxable year
as of the date on which the tax credit was approved before the
tax credit may be applied against tax liability under subsection
(a).
(c) No carryback or refund.--A qualified taxpayer may not
carry back or obtain a refund of all or any portion of an unused
tax credit approved for the qualified taxpayer.
§ 9837. Reports.
The secretary shall submit an annual report to the General
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Assembly indicating the effectiveness of the tax credits no
later than March 15, 2024, and each March 15 thereafter. The
report shall include the amount of tax credits approved.
Notwithstanding any law providing for the confidentiality of tax
records, the information contained in the report shall be public
information. The report may also include recommendations for
changes in the calculation or administration of the tax credit.
Section 4. This act shall take effect immediately.
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