Bill > SB636

This bill establishes a tax credit program for small businesses to help offset increased costs resulting from federal tariffs, creating a new provision in both the business profits tax (RSA 77-A) and business enterprise tax (RSA 77-E) statutes. Specifically, qualifying small businesses—defined as manufacturing businesses with fewer than 50 employees in the state or non-manufacturing businesses with annual gross receipts under $500,000—can receive a non-refundable tax credit equal to 25% of their documented tariff-related costs, with a maximum credit of $7,500 per business per year. The total credits statewide are capped at $8 million annually and will be awarded on a first-come, first-served basis, with any excess claims prorated. Businesses must apply by March 31 following the tax year in which the tariff-related costs were incurred, and unused credits can be carried forward for up to three consecutive years. The Department of Revenue Administration will manage the program, including auditing claims and establishing rules for documentation and application procedures. The bill also requires an annual report detailing the credits' implementation and impact, and is set to apply to tax periods beginning on or after January 1, 2027, with a sunset provision on June 30, 2032.

Budget and Finance

https://gc.nh.gov/bill_Status/billinfo.aspx?id=1461&inflect=2