HCS/HB 1476 - For all taxable years beginning on or after January 1, 2012, the act authorizes air export tax credits for freight forwarders in an amount equal to thirty cents per chargeable kilo shipped on a qualifying outbound flight. In lieu of the previously mentioned tax credit, a freight forwarder will be entitled to an air export tax credit equal to thirty-five cents per chargeable kilo if the shipment contains perishable freight. The Department of Economic Development is required to adjust the tax credit amounts based upon fluctuations in fuel costs for over-the-road transportation. In order to receive air export tax credits, freight forwarders must file an application with the department containing the master airway bill for the shipment. The act requires the department to establish procedures to allow freight forwarders to receive air export tax credits within ten business days of the departure of the qualifying flight. The total amount of air export tax credits which may be authorized under the act during the eight years that the department may authorize air export tax credits cannot exceed sixty million dollars. The act establishes annual caps on issuance of air export tax credits, and to the extent that in any given year more tax credits are authorized than may be issued, the amount in excess of the cap on issuance will be carried forward for issuance in the following year. The authorization of air export tax credits is prohibited after August 28, 2020, but the act allows for the subsequent issuance of any tax credits which are authorized prior to such date.
All tax credits provided under the act will be fully transferrable and non-refundable, but may be carried forward up to six years.
The programs created by this act will sunset on December 31st sixteen years after the effective date of the act.
This act has an emergency clause.
This act is similar to provisions of SS/SCS/SB 8 (1st Ext. Session 2011).
EMILY KALMER