VirginiaSB7862026 Regular SessionSenate

Income tax, state and corporate; microchip & semiconductor manufacturing & supply chain tax credits.

Sponsored By: Jennifer D. Carroll Foy (Democratic)

In Committee

Summary

Microchip and semiconductor manufacturing and supply chain tax credits; Virginia Economic Development Partnership Authority evaluation; report. Creates a series of individual and corporate income tax credits for companies engaged in the microchip and semiconductor manufacturing and supply chain business that between January 1, 2026, and December 31, 2036, (i) invest at least $400 million, (ii) create at least 100 new jobs, (iii) pay an average prevailing wage salary, and (iv) submit a plan for use of and committing $50 million of community investments. The bill creates three refundable tax credits in taxable years 2026 through 2030 in amounts equal to (a) five percent of capital investment expenditures incurred during the year, (b) six percent of child care services expenditures incurred during the year, and (c) 7.5 percent of gross wages paid for each new job created during the year. The bill also requires the Virginia Economic Development Partnership Authority, in collaboration with the Joint Legislative Audit and Review Commission and the Department of Taxation, to evaluate the benefits and impacts of new economic development incentives for companies engaging in the microchip, semiconductor, and related equipment and material supplies sector. A report on such evaluation is due by November 30, 2026.

Finance and Appropriations

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Bill Overview

No Economic Impacts Identified for this Bill

Sponsors & Cosponsors

Sponsor

  • Jennifer D. Carroll Foy

    Democratic • Senate

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 14 • No: 0

Senate vote 2/5/2026

Continued to 2027 in Finance and Appropriations

Yes: 14 • No: 0

Actions Timeline

  1. Continued to 2027 in Finance and Appropriations (14-Y 0-N)

    2/5/2026Senate
  2. Fiscal Impact statement From TAX (2/2/2026 7:16 pm)

    2/2/2026Senate
  3. Referred to Committee on Finance and Appropriations

    1/23/2026Senate
  4. Presented and ordered printed 26102841D

    1/23/2026Senate

Bill Text

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