House Bill 1273

Committee Chair: Larry O’Neal

Committee:Ways & Means

House Sponsor: Barry Fleming

Chairman O’Neal’s opinion of the legislation:

HB 1273 eases the requirements for receiving an income tax credit for certain businesses that create new jobs in less developed areas of pervasive poverty.  Currently, businesses in less developed areas are allowed a job tax credit equal to $3,500 per new full-time employee job for five years, so long as the business creates at least five new jobs.  This legislation would provide that in pervasive poverty areas, businesses shall only have to increase employment by two or more jobs to be eligible for the credit.  The bill also decreases the poverty percentage required in a pervasive poverty area from 20 to 15%.

This bill comes to the House Floor under the Structured Rule.

Further Action

The House agreed to the Senate Substitute.