SB 526 — An Act amending the act of March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of 1971, in tax credit and tax benefit administration, further providing for definitions; providing for volunteer certified emergency medical technician and volunteer firefighter tax credit; and imposing duties on the Department of Revenue.

PRINTER'S NO.    499

                     THE GENERAL ASSEMBLY OF PENNSYLVANIA



                         SENATE BILL
                         No. 526
                                               Session of
                                                 2025

     INTRODUCED BY BROOKS, GEBHARD, HUTCHINSON, LANGERHOLC,
        PENNYCUICK, FONTANA, PHILLIPS-HILL, MASTRIANO, BARTOLOTTA,
        COSTA, ROBINSON, BOSCOLA, CULVER, SANTARSIERO, J. WARD,
        TARTAGLIONE, STEFANO, KANE, DUSH AND COLLETT, MARCH 26, 2025

     REFERRED TO FINANCE, MARCH 26, 2025


                                    AN ACT
 1   Amending the act of March 4, 1971 (P.L.6, No.2), entitled "An
 2      act relating to tax reform and State taxation by codifying
 3      and enumerating certain subjects of taxation and imposing
 4      taxes thereon; providing procedures for the payment,
 5      collection, administration and enforcement thereof; providing
 6      for tax credits in certain cases; conferring powers and
 7      imposing duties upon the Department of Revenue, certain
 8      employers, fiduciaries, individuals, persons, corporations
 9      and other entities; prescribing crimes, offenses and
10      penalties," in tax credit and tax benefit administration,
11      further providing for definitions; providing for volunteer
12      certified emergency medical technician and volunteer
13      firefighter tax credit; and imposing duties on the Department
14      of Revenue.
15      The General Assembly of the Commonwealth of Pennsylvania
16   hereby enacts as follows:
17      Section 1.    The definition of "tax credit" in section 1701-
18   A.1 of the act of March 4, 1971 (P.L.6, No.2), known as the Tax
19   Reform Code of 1971, is amended by adding a paragraph to read:
20   Section 1701-A.1.    Definitions.
21      The following words and phrases when used in this article
22   shall have the meanings given to them in this section unless the
23   context clearly indicates otherwise:
 1      * * *
 2      "Tax credit."    A tax credit authorized under any of the
 3   following:
 4          * * *
 5          (14.2)     Article XVIII-I.
 6          * * *
 7      Section 2.     The act is amended by adding an article to read:
 8                              ARTICLE XVIII-I
 9              VOLUNTEER CERTIFIED EMERGENCY MEDICAL TECHNICIAN
10                    AND VOLUNTEER FIREFIGHTER TAX CREDIT
11   Section 1801-I.    Definitions.
12      The following words and phrases when used in this article
13   shall have the meanings given to them in this section unless the
14   context clearly indicates otherwise:
15      "Active volunteer certified emergency medical technician."        A
16   volunteer for a nonprofit emergency medical services agency who
17   is certified under 35 Pa.C.S. § 79A23 (relating to
18   certification).
19      "Active volunteer firefighter."        A volunteer for a volunteer
20   fire company who is certified under 35 Pa.C.S. § 79A23.
21      "Department."    The Department of Revenue of the Commonwealth.
22      "Nonprofit emergency medical services agency."       An emergency
23   medical services agency as defined in 35 Pa.C.S. § 8103
24   (relating to definitions) that is chartered as a nonprofit
25   corporation.
26      "Qualified tax liability."      The liability for taxes imposed
27   under Article III for the taxable year beginning after December
28   31, 2026, and each taxable year thereafter. The term does not
29   include amounts withheld or required to be withheld from
30   employees under Article III.

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 1      "Tax credit."    The tax credit authorized under this article.
 2      "Taxpayer."    An individual subject to payment of taxes under
 3   Article III.
 4      "Volunteer."    A member of a volunteer fire company or a
 5   nonprofit emergency medical services agency.
 6      "Volunteer fire company."    As defined in 35 Pa.C.S. § 7802
 7   (relating to definitions).
 8   Section 1802-I.    Application and procedure.
 9      (a)   Application to department.--A taxpayer may claim a tax
10   credit against the qualified tax liability of the taxpayer by
11   submitting an application for the tax credit in a manner
12   required by the department. The application shall contain the
13   following information:
14            (1)   The name and tax identification number of the
15      taxpayer.
16            (2)   Documentation that the taxpayer meets the
17      eligibility criteria specified in section 1803-I.
18            (3)   Any other information deemed appropriate by the
19      department.
20      (b)   Procedure.--The application shall be attached to the
21   applicant's annual tax return required to be filed under Article
22   III.
23   Section 1803-I.    Taxpayer eligibility.
24      (a)   Criteria.--A taxpayer who is an active volunteer
25   certified emergency medical technician or active volunteer
26   firefighter shall be eligible for a tax credit if the taxpayer
27   meets the following criteria:
28            (1)   Is a resident of this Commonwealth.
29            (2)   Has at least two full years of service as a
30      certified emergency medical technician or volunteer

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 1      firefighter by December 31 of the taxable year and has
 2      responded to at least 20% of the agency's or company's
 3      emergency calls during that two-year period.
 4            (3)   Is an active volunteer certified emergency medical
 5      technician or active volunteer firefighter on the date the
 6      taxpayer files the tax return.
 7      (b)     Maximum credit.--A taxpayer who qualifies under
 8   subsection (a) may claim a tax credit of $500.
 9   Section 1804-I.    Carryover and carryback prohibited.
10      A taxpayer may not carry over, carry back, obtain a refund
11   of, sell or assign an unused tax credit.
12   Section 1805-I.    Self certification.
13      The making or filing by a taxpayer of any return,
14   declaration, statement or other document required to be made or
15   filed under this article shall constitute a certification by the
16   taxpayer that the statements, including the taxpayer's residency
17   status and years of service as an active volunteer certified
18   emergency medical technician or active volunteer firefighter,
19   contained in the return, declaration, statement or other
20   document are true and that any copy filed is a true copy.
21   Section 1806-I.    Guidelines.
22      (a)     Duty of department.--The department shall adopt
23   guidelines, including forms, necessary to administer this
24   article.
25      (b)     Joint income.--A tax credit granted under this article
26   may be applied to the tax liability of the spouse of an eligible
27   taxpayer if both the eligible taxpayer and the spouse report
28   income on a joint income tax return.
29   Section 1807-I.    Report to General Assembly.
30      No later than December 31, 2027, and each December 31

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 1   thereafter, the department shall submit a report on the tax
 2   credits granted under this article. The report shall include the
 3   number of active volunteer certified emergency medical
 4   technicians and active volunteer firefighters who utilized the
 5   tax credit as of the date of the report and the amount of
 6   credits approved. The report may include recommendations for
 7   changes in the calculation or administration of the tax credit.
 8   The report shall be submitted to the chairperson and minority
 9   chairperson of the Appropriations Committee of the Senate, the
10   chairperson and minority chairperson of the Appropriations
11   Committee of the House of Representatives, the chairperson and
12   minority chairperson of the Veterans Affairs and Emergency
13   Preparedness Committee of the Senate and the chairperson and
14   minority chairperson of the Veterans Affairs and Emergency
15   Preparedness Committee of the House of Representatives. The
16   report may include other information that the department deems
17   appropriate.
18   Section 1808-I.    Penalty.
19      A taxpayer who claims a credit under this article but fails
20   to meet the standards under this article shall repay the full
21   amount of the tax credit to the Commonwealth, plus interest as
22   prescribed under section 351.
23      Section 3.     This act shall take effect immediately.




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