Bill > HB255

This bill increases the percentage of revenue from the business profits tax (BPT) that is deposited into the state's education trust fund, shifting from 41% to 59% starting July 1, 2025. Currently, the state commissioner determines a portion of BPT revenue to be certified for deposit into the education trust fund, which supports public education funding. The fiscal note indicates that while the total amount of business profits tax collected will remain unchanged, this change will result in a significant reallocation of funds - approximately $158.8 million will be transferred from the general fund to the education trust fund based on projected FY 2025 revenue of $881.3 million. The bill recognizes that this shift might create some complexity in revenue reporting, particularly because business tax allocations can involve estimated payments and returns filed up to 18 months after initial payments. The Department of Revenue Administration does not anticipate any additional administrative costs from implementing this change, and the bill is designed to provide more funding to the education trust fund without increasing overall tax collection.

Budget and Finance

https://gc.nh.gov/bill_status/legacy/bs2016/bill_status.aspx?lsr=0518&sy=2025&sortoption=&txtsessionyear=2025&txtbillnumber=HB255