Bill > A1331

Introduced Session

This bill gradually reduces the corporation business tax rate from 9 percent to 2.5 percent of income. For privilege periods ending between January 1, 2021 and December 31, 2021, the rate will be 7 percent. For privilege periods ending between January 1, 2022 and December 31, 2022, the rate will be 5 percent. For privilege periods ending between January 1, 2023 and December 31, 2023, the rate will be 3 percent. For privilege periods ending after December 31, 2023, the rate will 2.5 percent. For a taxpayer with less than $100,000 of income, the rate of tax will be reduced faster. Currently, the rate is 7.5 percent for taxpayers with income between $50,000 and $100,000, and 6.5 percent for taxpayers with less than $50,000 of income. Pursuant to this bill, the rate will be 3.5 percent for taxpayers with less than $100,000 of income for privilege periods ending between January 1, 2021 and December 31, 2021. For privilege periods ending after December 31, 2021, the rate will be 2.5 percent. A "privilege period" is the 12 month accounting period for which tax is due for the privilege of doing business in the State.

AI Summary

Committee Categories

Brian Bergen (R)*,  Chris DePhillips (R)*,  John DiMaio (R)*,  Bob Auth (R),  Al Barlas (R),  Dawn Fantasia (R),  Vicky Flynn (R),  Michael Inganamort (R),  Alex Sauickie (R),  Gerry Scharfenberger (R), 

Introduced, Referred to Assembly Commerce, Economic Development and Agriculture Committee (on 01/09/2024)

Official Document