SB853

Pennsylvania SB853 provides a tax credit for small businesses with 50 or fewer employees following a minimum wage increase.

Pennsylvania SB853 amends the Tax Reform Code of 1971 to introduce a small business minimum wage increase tax credit. This credit applies to employers with 50 or fewer full-time equivalent employees following an increase in the minimum wage. The credit is calculated based on the difference between the compensation paid before and after the wage increase. The credit is 50% for the first taxable year after the wage increase, 25% for the second year, and expires in the third year. The credit can be carried over to succeeding tax years for up to three years but cannot be carried back or refunded.