Bill > HB242

This bill modifies existing tax credit provisions for beginning farmers in Pennsylvania, primarily changing how agricultural assets are transferred between established farmers and those just starting out. The bill updates definitions and processes for tax credits, shifting the oversight from the Department of Community and Economic Development to the Department of Agriculture. Key changes include removing language about leasing agricultural assets and focusing instead on sales, increasing the maximum tax credit from $32,000 to $50,000, and modifying application requirements for beginning farmers. The bill now requires beginning farmers to provide projected earnings statements, verify their agricultural income or experience, and clarify they are either individuals or part of a joint venture where all members meet the beginning farmer definition. The tax credit can now be carried forward for up to three years, with a potential partial refund of up to 75% of the remaining balance or $15,000, whichever is less. The Department of Agriculture is also tasked with creating a public awareness campaign to inform potential participants about the tax credit program. These changes aim to make it easier for new farmers to enter agriculture by providing financial incentives for established farmers to sell their agricultural assets to them.

Budget and Finance

https://www.legis.state.pa.us/cfdocs/billinfo/bill_history.cfm?syear=2025&sind=0&body=H&type=B&bn=242