SB1376 Summary: Tax Credit Reduction Act

• Reduces the amount of multiple state tax credits by 25% for transactions occurring on or after July 1, 2016, allowing taxpayers to claim only 75% of the otherwise allowable credit amount.

• Applies the 25% reduction to credits including: manufacturing/job creation (Section 2357.4), coal production (Section 2357.11), clean-burning vehicles (Section 2357.22), child care facilities (Section 2357.27), renewable energy (Section 2357.32A), historic rehabilitation (Section 2357.41), biomedical research donations (Section 2357.45), and energy-efficient housing (Section 2357.46).

• Also reduces credits for: worker training/modification expenses (Section 2357.47), aerospace sector employees (Section 2357.303 & 2357.304), electronic funds transfer fees (Section 2357.401), affordable housing (Section 2357.403), volunteer firefighter training (Section 2358.7), and rural economic development loans (Section 2370).

• Becomes effective July 1, 2016, with an emergency clause allowing immediate enactment upon passage and approval.

• Represents a broad fiscal measure reducing tax credit incentives across manufacturing, renewable energy, education, housing, and other economic development programs.