Section 1903-J. Credit for employer matching contributions to tuition savings accounts and ABLE accounts.
(a) Tax credit.--For taxable years beginning after December 31, 2024, and ending before January 1, 2030, an employer that makes a matching contribution to an account owned by an employee under this article or an ABLE account may claim a tax credit against the employer's State tax liability.
(b) Amount of tax credit.--The amount of the tax credit under subsection (a) shall be equal to 25% of the employer's aggregate matching contributions made to accounts owned by employees during the tax year.
(c) Tax credit limit for employers.--The total amount of matching contributions to accounts owned by employees for which an employer may claim a tax credit shall be no more than $500 per employee during the tax year.
(d) Proof of matching contribution.--In order to receive the tax credit, an employer shall provide the department with proof that the employer has made qualifying matching contributions to employee-owned accounts under this article at the time of filing the employer's tax return.
(e) Proof of employee contribution.--In a manner prescribed by the employer, an employee shall provide to the employer evidence of the total amount deposited into the employee's account during the previous tax year.
(1903-J added July 11, 2024, P.L.674, No.56)