Section 1605-H.2. Use of tax credits by qualified taxpayers.
(a) Use against insurance premiums tax liability.--A qualified taxpayer that purchases tax credits under section 1604-H.2 may claim the credits beginning in calendar year 2030 against insurance premiums tax liability incurred for a taxable year that begins on or after January 1, 2029.
(b) Application to department.--A qualified taxpayer seeking to use purchased tax credits may submit an application to the department in a manner prescribed by the department.
(c) Construction.--
(1) A qualified taxpayer may not be required to reduce the amount of insurance premiums tax included by the taxpayer in connection with ratemaking for any insurance contract written in this Commonwealth because of a reduction of the taxpayer's insurance premiums tax liability derived from the tax credit purchased under this article.
(2) If, under the insurance laws of this Commonwealth, the assets of the qualified taxpayer are examined or considered, the taxpayer's balance of tax credits shall be treated as an admitted asset subject to the same financial rating as held by the Commonwealth.
(d) Limitations.--
(1) The total amount of tax credits applied against insurance premiums tax liability by all qualified taxpayers in a fiscal year may not exceed $15,000,000 per year beginning in calendar year 2030.
(2) The credit to be applied in any one year may not exceed the insurance premiums tax liability of the qualified taxpayer for that taxable year.
(1605-H.2 added July 12, 2026, P.L.265, No.21)