SB 103-FN - AS INTRODUCED
2003 SESSION
09/10
SENATE BILL 103-FN
AN ACT establishing a credit against the business profits tax for contributions under a rental equity builder program.
SPONSORS: Sen. Peterson, Dist 11; Sen. Foster, Dist 13; Sen. Martel, Dist 18; Sen. Green, Dist 6; Sen. Gallus, Dist 1; Rep. Dexter, Ches 27; Rep. Tahir, Hills 50
This bill establishes a credit against the business profits tax for contributions under a rental equity builder program.
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Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
03-1070
09/10
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Three
AN ACT establishing a credit against the business profits tax for contributions under a rental equity builder program.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 New Paragraph; Business Profits Tax; Credit for Contributions Under Rental Equity Builder Program. Amend RSA 77-A:5 by inserting after paragraph XI the following new paragraph:
XII. There shall be allowed a rental equity builder program credit equal to the total amount of qualifying cash contributions made during the taxable period to the credit of a tenant who purchases a qualifying owner-occupied dwelling pursuant to a rental equity builder program. The credit shall be available only for a contribution which exceeds 15 percent of the tenant's rent. This credit shall only be available against the specific rental property portion, which may include both annual income and proceeds from the sale of the rental property, of business profits tax owed and may not be carried forward to subsequent taxable periods. The commissioner shall adopt rules, pursuant to RSA 541-A, relative to the definitions of "qualifying cash contributions," "qualifying owner-occupied dwelling," and "rental equity builder program" and relative to any other criteria necessary for purposes of administration of the credit under this paragraph.
2 Effective Date. This act shall take effect July 1, 2003.
LBAO
03-1070
Revised 2/19/03
SB 103 FISCAL NOTE
AN ACT establishing a credit against the business profits tax for contributions under a rental equity builder program.
FISCAL IMPACT:
The Department of Revenue Administration indicates this bill will decrease state unrestricted general fund revenues by an indeterminable amount in FY 2004 and each year thereafter. There is no fiscal impact on state, county and local expenditures or county and local revenue.
METHODOLOGY:
The Department states this bill does not adequately define the credit to apply against the Business Profits Tax (BPT) for contributions under the rental equity builder program. Therefore, the Department cannot estimate the decrease that will be realized by applying this credit against the BPT tax.