Bill > HB1629

This bill repeals the business enterprise tax (BET) in New Hampshire, effectively eliminating this tax and all references to it across various state statutes, starting July 1, 2027. The bill systematically removes mentions of the BET from numerous sections of state law, including tax credit provisions, reporting requirements, and corporate dissolution procedures. By repealing the BET, the legislation will reduce state revenues, with the Department of Revenue Administration estimating a potential cumulative fiscal impact of approximately $533.7 million by fiscal year 2030, with decreases affecting both the General Fund and the Education Trust Fund. The bill also eliminates associated tax credits and removes the BET from various tax reporting and administrative contexts. Notably, the Department of Revenue Administration suggests that this repeal could potentially reopen past legal arguments about business taxation, as the BET was originally enacted during a legal challenge to the business profits tax. The fiscal note indicates that while the bill will decrease state revenues, it will not significantly increase administrative costs, with only a minor expense of about $36,500 anticipated for a mail campaign to inform affected taxpayers about the tax's repeal.

Budget and Finance

https://gc.nh.gov/bill_Status/billinfo.aspx?id=2213&inflect=2